Serbian Finance Minister, Sinisa Mali said that the state’s investments in road and rail infrastructure stemmed from responsible economic policies, the basis of which was financial consolidation and growth policy.
Mali told TV Prva that such investments contributed to higher GDP, which means a higher standard of living for citizens. He went on to say that Corridor 10 was extremely important and that it was the basis for even greater investments.
“Corridor 10 is important and this is the beginning of a brighter future for South Serbia, especially now we can ask for more investors to come to that part of the country, and for young people to stay and build their future there. A lot of money has been invested in the construction projects in the country, and we have secured funds partly from favourable loans too. This year, RSD 220 billion for capital investments is envisaged in the state budget, and we are discussing with the International Monetary Fund (IMF) how to increase our investments even further, as the return on such investments is twice higher,” the minister said.
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Mali also mentioned the Serbian construction industry participating in the construction of motorways and other capital investments in Serbia.
“The Serbian construction industry is engaged in these projects and it was our builders who have completed Corridor 10. Also, our construction workers are engaged in Belgrade Waterfront development. It is precisely through the engagement of the construction industry that the entire industry is contributing to the GDP growth. Also, Chinese companies operating hire have hired Serbian subcontractors,” said Mali.
The minister announced that the eastern segment of Corridor 10, in the direction of Bulgaria, would have been opened by the end of August, while next month, the Obrenovac- Cacak motorway segment would be finished too. Later, by the end of the year, the Surcin-Obrenovac segment would be finished.
Mali went on to say that last year’s economic growth was 4.3%, which, he said, was one of the highest growth rates in Europe. As he pointed out, Eurostat made an overview of the growth rates in Europe for 2018 and ranked Serbia among the top ten countries in Europe in terms of growth percentage.
“The World Bank and IMF have estimated that, by 2023, Serbia will be the dominant economy in the region and predict a growth rate of 4%. The World Bank even predicts that we can reach 7%,” said Mali.
The Minister reminded that a budget surplus of RSD 5 billion was generated in the first four months of 2019, which means that there will be more money for civil servant salaries and pensions.
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