"We've been responsible and economical in our use of the state coffers. If this were not the case, we wouldn't have the results that we have today. Serbia has in the past two years been number one in Europe in terms of the rate of economic growth. While unemployment is on the rise around the world, here it has been going down, with foreign investors coming in at a rate that's as high as ever. That is no small feat, but a huge success of all of Serbia's citizens," Minister of Finance Siniša Mali said in his interview with Kurir.
"So, the government didn't make the citizens or businesses shoulder the burden of the global economic crisis during the most difficult times, and won't do so in the coming period either. Any claim to the contrary is malicious and untrue."
Criticism has been voiced by some that the financial assistance is being provided because of the April elections. Do you have any counterarguments?
"My counterarguments are the facts. The assistance offered to citizens and businesses is continual. We have had three relief packages worth 8.7 billion euros, or around 18 percent of the GDP, since the start of the pandemic. We initiated the relief programme as soon as the pandemic broke out – nearly two years ago – and have been helping both businesses and different citizen categories month in, month out. It's not like there have been elections all along! I find the claim that the assistance is offered because of the elections funny. I guess they are unable to come up with a better one. By offering relief to businesses and citizens, the government has shown that it's there for them, that it's taking care of them, and that they can rely on it when times are rough. I think that is the right thing to do, because we have avoided the worst scenarios – no factories have been shut down, we've had no job losses, and the standard of living hasn't fallen, as has been the case with some of the economies that are stronger than ours."
Speaking of government assistance, is anything else in the works?
"We have been preparing a new relief package for the young aged 16-29. They will each receive aid in the amount of 100 euros in RSD equivalent again. The young people who have already received 100 euros early this month – 1,059,411 of them – will automatically receive financial assistance again, while those who didn't register then or have in the meantime become eligible will be able to register between 16 and 31 May. Payments will begin as early as 1 June."
Why the President calls
'Vučić wakes me up at 2am or 3am'
The Prime Minister said that the President would sometimes wake her up at 6am to ask why we were importing raspberries. Have you had something like that happen to you? How often? Why does he wake you up?
"I've had that happen often, and I know how the PM feels when the President gives her a call at 6am. Sometimes he would call me when I was in a different time zone, so it would be at 2am or 3am, when I was sound asleep. But I'm used to it and don't mind. As luck would have it, I'm also a light sleeper. The President is fully committed to the progress and development of Serbia, and doesn't look at the watch if he needs some information, especially when he is in the field, with citizens who need help. He mostly calls me up 'suddenly' to check if we have enough money for projects that the citizens bring up on the spot – for local roads, parks, building the communal infrastructure, etc. I think that makes sense, because we're here for the citizens and work to ensure that their quality of life is even higher."
What exactly is the state of the public coffers? You have probably also heard some economists say that the GDP situation is not what it is made out to be.
"Our public finances are completely stable, and we have enough money. In July 2012, there was RSD 8.5 billion in the public account, which wasn't even enough for paying one month's worth of pensions. Consequently, we were facing bankruptcy at the time. Our public debt stands at 51.2 percent of the GDP now, unemployment is at 10.5 percent, and last year's economic growth at 7.4 percent. On top of this, since the start of the pandemic we have paid 8.7 billion euros in relief to citizens and businesses. You can hear the criticisms made by all sorts of pseudo-experts every day, but what they're saying really is absolute ignorance of the basics of economics. Our 2021 GDP was approximately 53 billion euros in total. By contrast, it stood at 33.7 billion euros in 2012, which means that in less than ten years we have created nearly 20 billion euros of added value. What's important here is the public debt, and that its nominal amount isn't the only indicator of whether a country is heavily indebted or not. You must also consider the public debt-to-GDP ratio, which stands at 51.2 percent of the GDP here – far below the 60 percent debt limit under the Maastricht Treaty."
Problems at the Electric Power Industry of Serbia have shaken the domestic energy market. Has the situation definitely stabilized?
"There are disruptions in the energy markets around the world, and the fight for energy sources is taking place everywhere. However, Serbia's response to the challenges in the energy sector has been successful. It's true that there have been problems, but they have now been resolved. As a result of its good business practices, the EPIS – which notched 14 billion dinars in gains in the first three quarters of 2021 and 12.8 billion in 2020 – had enough money in December, when the problems obtaining the much-needed energy sources started. Of course, if at any point more money is needed to obtain electricity or gas, the government is ready to help. What is most important is that both citizens and businesses will have heating and electricity, and they shouldn't worry about it."
On crazy parties of his youth
'We'd be out till late, and then catch a bus or walk home'
PM Brnabić has openly discussed a period in her private life, admitting that she was rebellious and used to throw raves. What were you like in your youth? Any partying back then?
"Like all young people, I liked going out and hanging out with friends. We'd be out till late at night, then grab a bite to eat on our way back, and catch a morning bus or just walk home. I was into rock and was in a band called We're No Country Bumpkins. We had gigs at Dadov and some other clubs and venues around Belgrade, so going out was mostly about that. Those were really great times, and I still have some beautiful memories from back then."
Since we have brought up the elections, it is only natural to ask you where you see yourself in the new government? It is speculated that you are tapped for prime minister.
"It's too early to talk about posts and speculate about who will be a government minister or the PM. I have no ambition or wish to be the prime minister because the job that I'm doing now suits me really well. I have degrees in economics and finance, I'm in that line of work, and I'm fully committed to it. I'm happy to have been given a chance to use the knowledge I've gained in the past 20 years to make Serbia a better place to live, to fully stabilize our public finances, ensure we have enough money for new infrastructural projects, and help our businesses and citizens when help is needed."
Will the makeup of the government be considerably changed?
"The elections haven't been called yet and the election campaign still lies ahead, so it's too early to talk about the makeup of the future government. Let's first wait for the results of the elections and then talk about who will be prime minister or a minister in the government. If the Serbian Progressive Party wins the elections, we'll offer our best people, who will give their utmost to Serbia and to ensuring an even better life for its people."
President Vučić has announced that he will not be at the helm of the Progressive Party after the elections. Will you try to persuade him not to retire from his post?
"Just like many others in the Progressive Party, I think that Aleksandar Vučić should lead the party after the elections as well. He has made the Progressive Party a strong political party which works in the best interest of all citizens of Serbia. So, I hope that he won't retire from party leadership, and if he needs convincing to stay on, I will use the utmost of my negotiating abilities. And I am a very good negotiator."
One gets the impression that the political opposition believes they can win the Belgrade elections. Do you think they stand a chance?
"All of us running in the elections will present what we have done for the citizens and what we can offer to them. The people see everything clearly and know who works in their interest and who for private interests. Ever since the Progressives took the helm of the City Hall, Belgrade has become a much better place to live, the centre of this part of Europe, an attractive tourism and investment destination, and a city of cranes and hoists, as I used to say when I was Mayor. The metro is currently being built in Belgrade, Belgrade Waterfront is well under way, a new bus station is under construction, Prokop has been commissioned after decades of waiting, the construction of the national stadium is about to start, and pedestrian zones are being made. By contrast, Belgrade and its citizens remember the days of the previous city administration by the Pioneer Village being taken away from the children, by the Puzzle City and the replica of Terazije, by the empty city coffers and the full pockets of the then City Hall leaders. An incredible 619 million euros lined some of those pockets too. So, I wouldn't want to project anyone's chances – the citizens will do it best, because the citizens remember."
Kurir.rs/ Ivana Žigić
