Serbian Deputy Prime Minister Jovan Krkobabic reiterated on Thursday that pensioners should have no concerns as to whether fiscal regulations would be respected, according to which pensions should be adjusted to the growth of inflation and GDP on October 1.

Pensions and salaries in the public sector will be upped by the total of inflation rate recorded over the past six months and a half of the country's GDP from 2010, he added.

However, in his interview for Tanjug, Krkobabic did not specify the exact percentage of the increase.

In 2012, Serbia should get between 35.000 and 30.000 new pensioners and the state budget would need to ensure funds

for their pensions, Krkobabic said and added that if the regular increase of pension checks in 2012 is added to this figure, the budget would need additional RSD 50 to 60 billion for this purpose.

In 2011, the budget should set aside around RSD 480 billion for pension payments and if pensions continue to increase at the same pace as they did in 2011, that is by around ten per cent on the annual level, RSD 47 billion would be needed just to cover the increase, Krkobabic's rough estimate shows.

When asked if he sees how the increased pension costs could be covered and primarily how the employment rate could be upped, the deputy PM replied that there are some local resources that have not been fully exploited but which, together with funds of foreign investors and the Serbian Diaspora, can yield positive results in lucrative industrial branches.