At the sitting held on 12 October, the members of the Committee on Development and International Economic Relations discussed the Bill amending and modifying the Law on the Republic of Serbia Development Fund, Bill amending and modifying the Law on the Export Credit and Insurance Agency of the Republic of Serbia, Bill on the Confirmation of the Protocol between the Government of the Republic of Serbia and the Government of the Czech Republic to the Economic Cooperation Agreement between the Council of Ministers of Serbia and Montenegro and the Government of the Czech Republic, Bill on the Confirmation of the Economic, Technical and Scientific Cooperation Agreement between the Government of the Republic of Serbia and the Government of the Arab Republic of Egypt, Bill on the Confirmation of the Agreement between the Government of the Republic of Serbia and the Government of the Czech Republic amending and modifying the Agreement between the Federal Government of the Federal Republic of Yugoslavia and the Government of the Czech Republic on mutual stimulation and protection of investment and the Bill on the Confirmation of the Agreement between the Government of the Republic of Serbia and the Government of the Republic of Malta on mutual stimulation and protection of investment.

Since the sitting lacked a decision-making quorum the Committee members merely completed a debate on the Bills presented to them by representatives of the Ministry of Economy and Regional Development.

The Bill amending and modifying the Law on the Republic of Serbia Development Fund alters and improves the existing Law. The relocation of the Fund seat from Belgrade to Nis is one of the innovations which will create the opportunity for the Fund to open branches all over the territory of Serbia. The Bill defines the conversion of receivables in cases when the receivables cannot be collected, with the Government’s previous consent; it increases the Fund’s obligation to keep the capital at 10 billion EUR so as to strengthen the capital base; gives a more precise definition of guarantee and loan granting and enables investment into securities. Also, the Bill states that the Fund is obliged to submit quarterly activity reports to the competent ministry.

The Bill amending and modifying the Law on the Export Credit and Insurance Agency of the Republic of Serbia envisages the relocation of the Agency seat from Belgrade into central Serbia with the possible opening of Agency branches. The Bill enables the insurance of export dealings on the domestic market and expands guarantee granting. The Bill is drafted in compliance with the practice in all global export credit agencies.

The Bill on the Confirmation of the Protocol between the Government of the Republic of Serbia and the Government of the Czech Republic to the Economic Cooperation Agreement between the Council of Ministers of Serbia and Montenegro and the Government of the Czech Republic defines infrastructural cooperation. It was concluded in May of this year and relates to the revitalisation and modernisation of road transport on the Corridor 10 railroad, section Nis-Dimitrovgrad. The joint mixed commission established under the Protocol can propose the realisation of other infrastructural projects within this project. The Protocol also secures favourable crediting at the Czech Credit bank for 85% of the project value.

The Bill on the Confirmation of the Economic, Technical and Scientific Cooperation Agreement between the Government of the Republic of Serbia and the Government of the Arab Republic of Egypt was singed in May this year and defines the institutional framework for the improvement of cooperation. The initiative for the signing was launched by the Egyptian side, it is general and complies with both countries’ market principles. Once it is ratified the current Agreement signed in the 1960s will expire.

The Bill on the Confirmation of the Agreement between the Government of the Republic of Serbia and the Government of the Czech Republic amending and modifying the Agreement between the Federal Government of the Federal Republic of Yugoslavia and the Government of the Czech Republic on mutual stimulation and protection of investment and the Bill on the Confirmation of the Agreement between the Government of the Republic of Serbia and the Government of the Republic of Malta on mutual stimulation and protection of investment are a standard form Agreement for countries which invest mutually. Essentially, both Bills deal with the protection of mutual investment and protection from measures with an expropriation effect.

The Bills amending and modifying the Law on the Republic of Serbia Development Fund and amending and modifying the Law on the Export Credit and Insurance Agency of the Republic of Serbia were the focus of the debate. The Committee members commended the work of both institutions stressing that their capital should be increased so as to make the industry and export stimulation funds adequate.

In the continuation, the Committee Chairman informed the Committee members about the EFTA Parliamentary Committee’s visit to the National Assembly in late October and invited them to attend the meeting.

The sitting was chaired by Milos Jevtic, Committee Chairman.