Serbian Prime Minister Mirko Cvetkovic stated in Athens today that the Serbian government is fully committed to developing regional cooperation and the EU integration of the Balkans.

Opening the panel discussion on South-eastern Europe, organised by The Economist magazine, Cvetkovic, being the key speaker, recalled that the Balkans were a source of instability for decades, but added that Serbia has learned its lesson from this unfortunate experience.

We are convinced that the EU is our final destination and the only guarantee of lasting stability and regional progress. The Serbian government will endorse every activity aimed at boosting regional cooperation because this is an investment in our joint future, the Serbian Prime Minister said.

Speaking about the economic situation in Serbia, he said that this year has seen the first signs of economic recovery, but noted that this is not enough to improve citizens’ standard of living.

He said that industrial output has increased by 3% in the first two months of 2010, compared to the same period last year, while exports rose by 30% against the same period.

For the first time since the crisis began, March saw a slight increase in employment, Cvetkovic said adding that these are good signs, although insufficient to improve the standard of living.

The Prime Minister said that Serbia will continue implementing the stand-by arrangement with the IMF, which is a basis for macro economic stability and the increase in investors’ confidence.

Cvetkovic also underlined that there will be further investment in infrastructure projects, with special attention paid to Corridor 10, adding that the beginning of construction of the Belgrade–Bar motorway and modernisation of this railway route have also been planned.

The plan is to invest €1.6 billion in these projects, the Prime Minister specified.

He especially underscored the significance of regional cooperation, adding that governments of countries in the region should more actively promote economic cooperation and provide institutional support to joint business endeavours.

As a fine example of cooperation Cvetkovic recalled CEFTA, reiterating that governments of countries in the region should coordinate and help in the development of regional infrastructure projects, creating a sound basis for future economic growth.

Our individual national markets are often too small for multinational investors, but a regional market could help to secure capital that would bring good to all of us, he explained.

The Prime Minister recalled that the region is an important energy hub and a transit route for energy sources arriving from Russia and central Asia.

We should take advantage of our position and invest joint efforts to have new transit projects adopted as soon as possible, since they would ensure stable energy supplies to Europe, Cvetkovic concluded.

Before the panel discussion began, Prime Minister Cvetkovic met with Cypriot President Dimitris Christofias, who also attended the Athens conference.