Macut meets with IMF delegation

BELGRADE - Serbian PM Djuro Macut met on Thursday with an International Monetary Fund (IMF) delegation headed by IMF Mission Chief to Serbia Annette Kyobe, noting that Serbia's economic fundamentals were sound in spite of challenges in the international environment.

"During the meeting, the implementation of the current programme under the Policy Coordination Instrument, as well as current macroeconomic developments in Serbia, were discussed," a government statement said.

"Macut emphasised that Serbia fully meets all obligations under the programme with the IMF and is staying within the agreed fiscal deficit of 3 pct of GDP.

He underlined that the government will continue to pursue a responsible and balanced economic policy, based on preserving fiscal stability and continuing structural reforms, with strong support for economic growth and investments.

Today, Serbia has a stable public debt, record foreign exchange reserves and a well-capitalised banking sector. Despite challenges in the international environment, Serbia’s economic fundamentals are sound, and the government’s policy is aimed at preserving stability, stimulating growth and protecting citizens’ living standards, the Prime Minister said.

During the talks, matters related to the limitation of retail margins and the implementation of fiscal rules were discussed," the statement said.

"Macut emphasised that all measures in the field of trade and price regulation will be adopted with a careful balance between consumer protection and the sustainability of economic operations.

He noted that the government will continue to cooperate with the IMF in analysing the effects of these measures to ensure their full efficiency and market sustainability.

According to him, the results achieved in the past few months – a decline in consumer prices, a slowdown in inflation and an increase in real incomes – confirm that the government’s policy is headed in the right direction," it said.

Serbia will continue reforms in public finances, energy and trade in line with European standards and in cooperation with its international partners, Macut said.

He added that the Serbian government remained committed to implementing major infrastructure and development projects, such as the Leap into the Future programme and preparations for EXPO 2027, while fully respecting fiscal rules and preserving the stability of public finances.

"Macut expressed his expectation that successful cooperation with the IMF will continue in the coming period, as a confirmation of the stability and credibility of Serbia’s economic policy," the statement also said.