Serbia - Media Review - October 28

- Serbia public debt has been rising by 3.15 million euro daily, economist Miroslav Zdravkovic said.

- The global financial crisis is taking its toll on Serbia’s banking sector as indicated by the deterioration of the business results of the country’s 34 banks through September, the Sinteza brokerage house said.

- The Impol-Seval aluminum rolling mill, located in Sevojno, will hit its 2009 production target of 61,900 tonnes of aluminum, which is 2.0% lower than last year’s, Director Ninko Tesic said. The mill is owned by Slovenian aluminum products maker Impol.

- Serbian arms producer Zastava Oruzje will wrap up its 2009 fiscal year with a 15% output increase and 1.45 billion dinars in sales, Director Rade Gromovic said.

- The process of licensing a second domestic provider of fixed-line voice services may be delayed due to the financial crisis, Serbian Telecommunications Minister Jasna Matic said. The government in Belgrade will delay the awarding of the licence if it is not able to secure a financially sound bid, Matic said. Serbia said earlier it will call a tender by November 11 and award a licence by the end of this year.

VECERNJE NOVOSTI

- Serbia will propose to Moscow that $800 million of Russia’s $1.0 billion loan to the government in Belgrade is spent for the construction of a Belgrade railway station and a city bypass as well as for the electrification of railway sections and the upgrade of key motorway sections, Finance Ministry official Zoran Cirovic said. Russia approved the loan last week, including $200 million which Serbia will use to finance its budget deficit.

($=0.6764 euro)