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Serbia Corporate Sector Needs More Liquidity Loans, Novosti Says

Liquidity in Serbia’s corporate sector is “catastrophic,” with accounts of more than 63,000 companies currently blocked due to their inability to pay their debts, Vecernje Novosti newspaper reported, citing Milos Bugarin, who heads the country’s Chamber of Commerce.

He said the number of blocked accounts would have been even higher had it not been for state-subsidized liquidity loans this year, which the authorities intend to phase out in 2011, the newspaper quoted Bugarin, who also urged the government to continue with the financial support.

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