Serbia Economic Outlook

$4.1billion IMF Loan Agreed, Sharp Spending Cuts Ahead

• March 26: The IMF reached a preliminary agreement with
  Serbia on a 3 billion euro ($4.1 billion) stand-by loan to help the Balkan
  nation shore up its finances during the global financial crisis. The new
  agreement will replace a $520 million stand-by loan approved in Jan 2009
  

• The IMF deal calls for drastic cuts in public spending, a
  freeze in wages, pensions and hiring in the state sector, and the introduction
  of an additional 6% tax on salaries and pensions to contain the 2009 deficit to
  3% of GDP 

Source:RGE Monitor