At the Committee’s session held on 13 October, members of the Finance Committee of the National Assembly of the Republic of Serbia adopted the Bill Modifying the Act on the Budget of the Republic of Serbia for 2004, together with proposals for authorising decisions modifying 2004 financial plans of bodies administering compulsory social security.

The Minister of Finance, Mladjan Dinkic, presented the Bill, which was proposed by the Government of the Republic of Serbia. Mr Dinkic stressed that the only way to reduce the budget deficit was to cut public spending, adding that the aims of the new budget were to encourage economic growth while maintaining macro-economic stability and regular payments of pensions and other benefits. He also said that profits from privatisation, donations, loans and net domestic financing would be used to finance the budget deficit.

Aleksandar Vlahovic, Zoran Andjelkovic, Dusan Prorokovic, and the chairman of the Committee, Nenad Bogdanovic, took part in the discussion on the Bill Modifying the Act on the Budget of the Republic of Serbia for 2004.

The Finance Committee discussed, and unanimously adopted, the Bill on Providing Counter-guarantees of the Republic of Serbia to Serbia and Montenegro for the Repayment of Loans with the European Investment Bank for Financing the Republic of Serbia Energy Sector Reconstruction Project and the Urgent Health Project, the Bill on Providing Counter-guarantees of the Republic of Serbia to Serbia and Montenegro for the Repayment of Loans with the European Bank for Reconstruction and Development (Serbian National Power Corporation, Project II) and the Bill on Providing Counter-guarantees of the Republic of Serbia to Serbia and Montenegro for the Repayment of Loans with the European Investment Bank the City of Belgrade Reconstruction Project, the Power Grid Management System Project and the Serbia Urban Waterworks Project.