Aleksandar Vucic’s “outright victory” in the presidential elections “will ensure continued structural reforms and a positive Ba3 stable credit rating.”
This is according to the credit rating agency Moody’s latest report, cited by Tanjug.
Assuming that no new snap general elections are called, the next round of elections would not take place until 2020, curtailing policy volatility and facilitating Serbia’s EU integration efforts, the “Credit Implications of Current Events” report said, according to the website seenews.com.
Serbia’s authorities have so far “remained committed to the measures included under a stand-by arrangement signed with the IMF,” it said.
“The measures include a highly successful fiscal consolidation drive under which the general government deficit tumbled to 1.4 percent of GDP in 2016 from 6.6 percent of in 2014 and the reduction of state aid to state-owned enterprises. State aid, in the form of direct subsidies, net lending through the budget, guarantees and arrear payments to state-owned enterprises, fell to 3.7percent of GDP in 2016 from 5.2percent two years earlier,” the report said.
