Finance Minister Dusan Vujovic and World Bank Country Manager for Serbia Tony Verheijen signed a EUR 69 million results-based loan on Monday.
The loan should support Serbia in improving efficiency in public sector employment and finances.
The approval of the Program for Results on Modernization and Optimization of Public Administration demonstrates the Bank’s strong commitment to support ongoing reforms in Serbia’s public sector.
The Serbian government embarked on an ambitious administrative reform effort with the launch in 2014 of the Public Administration Reform Strategy and the Action Plan for its implementation, the WB noted.
“Along with improving business climate and restructuring of public companies, reforms in the public sector should clear the field for faster private sector development and new job creation, as well as ensure Serbia’s readiness for EU accession,” Verheijen said.
“This program supports the establishment of a merit based public service system and an efficient public administration. It will contribute to better use of scarce fiscal resources in order to create space for investments in important infrastructure,” he added.
One unique feature of this engagement is that, for the first time, the World Bank and the EU are jointly financing a single government program, aligning EU Sector Budget Support and World Bank result-based financing.
Source; B92
