Governor of the National Bank of Serbia Radovan Jelasic confirmed that the reduction of public spending within the GDP, primarily pensions and salaries, have a dominant position in the negotiations of Serbian officials and the IMF Mission.

Jelasic announced that the third tranche of the stand-by arrangement in value of 350 million Euros will be withdrawn.

Thus, the total debt of Serbia with the IMF will reach the limit of 300% of the approved installment, and the withdrawal of additional funds would not be good, because that would mean a greater burden on the balance of the NBS, said Jelasic.

According to him, reduction of number of employees in public administration can also lead to increased social tensions, because it is a very unpopular measure. Jelasic also expressed expectation that this will be the last phase of the reform of the pension system.