Today, the Government of Serbia has adopted the Proposal of the Rebalance of the Budget for 2021, in which the allocations for capital investments have been increased.
The total budget revenues envisaged by the rebalance amount to 12.6 million euros. Tax revenues are planned in the amount of 10.8 million euros, and non-tax revenues in the amount of 1.6 billion euros.
In the revenue structure, tax revenues account for 85.9 percent of non-tax 12.9 percent, while the remaining 1.2 percent relate to donations.
In the revenue projection, almost all revenue categories recorded an increase compared to the previous projection, while the largest positive changes were recorded in corporate income tax and VAT. Other categories have been revised upwards due to a stronger recovery than expected, the Serbian government said in a statement.
The budget revision envisages total expenditures and expenses in the amount of 15.1 million euros.
Compared to the April rebalance, the fiscal deficit was reduced to 2.5 billion euros, mostly due to significantly better revenue realization, and it now stands at 4.9 percent of GDP, instead of the planned 6.9 percent of GDP.
The general government’s public debt at the end of the year will be up to 58.2 percent, instead of 60 percent of GDP, as previously estimated.
The rebalance allocated 3.2 billion euros, ie 6.3 percent of GDP, for capital investments, while at the level of the general government, that figure is around four billion euros, or 7.8 percent of GDP.
At today’s session of the Government, the regulations agreed with the International Monetary Fund (IMF) in April, which are part of the current arrangement, were adopted, thus fulfilling certain reform goals.
The Conclusion on the adoption of a unified methodology for monitoring fiscal risks in Serbia, the Strategy for the development of capital markets for the period from 2021 to 2026, the Regulation on rules and conditions for granting small value aid for services of general economic interest, the Regulation on conditions and state aid compliance criteria in the form of compensation for the provision of services of general economic interest and the Regulation on the conditions and criteria for state aid compliance criteria for environmental protection and in the energy sector.
The government has adopted regulations in the field of state aid control, which relate to services of general economic interest, environmental protection and energy.
The Draft Law on Biocidal Products was also adopted, the main goal of which is to improve the system of placing on the market and use of biocidal products and treated products on the territory of Serbia. In this way, a high level of protection of human, animal and environmental health is further ensured, trade in these products with the countries of the European Union and other countries is improved and the competitiveness of the economy is ensured, it is stated in the announcement.
The Government also adopted the Bill on Ratification of the Agreement on Mutual Recognition and Exchange of Driving Licenses between the Governments of Serbia and China, which, as it was pointed out, represents a solution to an important issue for the citizens of the two countries in their daily lives.
In this way, it is possible to replace valid licenses without first taking the theoretical and practical part of the driving test, and for certain categories of vehicles.
At the Government session, an Interdepartmental Working Group for the Organization and Development of Southern Serbia was formed on the territory of the cities of Leskovac and Prokuplje and the municipalities of Kursumlija, Lebane and Bojnik, with the task of monitoring, coordinating and monitoring the activities of competent institutions in the field of tourism, environment and infrastructure, Danas reports.
