Monday, 26 November 2007

Sixth Sitting of the Committee on Transportation and Communications

At its sixth sitting, held on 26 November, the Committee on Transportation and Communications discussed the Bill on the Budget of the Republic of Serbia for 2008 focusing on the allotment of budgetary means pertaining to the Ministry of Infrastructure.



At its sixth sitting, held on 26 November, the Committee on Transportation and Communications discussed the Bill on the Budget of the Republic of Serbia for 2008 focusing on the allotment of budgetary means pertaining to the Ministry of Infrastructure.

The sitting was chaired by the Committee Chairman, Vladan Vucicevic, and attended by the Minister of Infrastructure, Velimir Ilic, State Secretary at the Ministry of Finance, Janko Guzjan and Director General of PE “Serbian Railways“, Milanko Sarancic.

The Committee members were briefed on the key issues dealing mainly with the lack of funds for development and maintenance of roads and railways in Serbia and debts from the previous period. During the discussion several proposals were voiced as to the resolution of the inherited debt and securing sources of finance for road maintenance in Serbia.

Minister Ilic stressed that the debts of the Public Enterprise “Serbian Roads” should be turned into public debt, and that the share in the fuel excise should be increased from 10 to 15% from 1 January 2008 in order to secure funds for road maintenance. The proposal was supported by State Secretary at the Ministry of Finance, Guzjan who stated that the share in 2009 should be raised to 20%. He also agreed with the proposal to turn the inherited debts into public debt.

The discussion also pointed out the problems arising from not confirming international agreements on foreign loans which wait as much as two years to be confirmed by the parliament. The Committee members stressed that it causes a considerable damage because the funds cannot be realised, while the state still pays interest.

It was also pointed out that it is necessary to define the amount of funds and the tempo of their use from the National Investment Plan (NIP) for Corridor 10 and the Belgrade Bypass, as these are priorities for the future development of Serbia, so it was proposed that the Minister in charge of conducting NIP, Dragan Djilas, attend the following Committee sitting.

The Committee decided to hold another sitting before voting on the budget for the upcoming year and reevaluate the proposed budgetary means for these purposes. It was also concluded that Public Enterprise “Serbian Roads” should submit a plan and programme of unloading debt and business plans, as well as have the Ministries of Infrastructure and Finance submit a Report to the Committee on the results of the agreement.


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friday, 29 march
  • 9.00 - the National Assembly Speaker meets with the Head of the EU Delegation to Serbia (National Assembly House, 13 Nikola Pasic Square, Speaker’s Cabinet)

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