Nepal invests in Serbia, noodles factory opened in Ruma

East Side Office at October 5th, 2017

The food factory was officially opened in Ruma, as the first investment in Europe by Nepalese company CG Foods Europe which operates within the Chaudhary Group. The investment is worth EUR 9 million.
The factory, which will produce noodles and other semi-prepared meals, started working in September and employs 100 workers. The plan is to employ 407 workers by the end of next year, and about 800 workers by the end of final phase.
Procurement of raw materials for the production will be from Serbian market and the plan is to supply the entire Europe with the products from Ruma.
Nepalese billionaire Binod Chaudri is among the top 50 in the Forbes list of the richest people in the world, and besides food, his companies produce steel, cigarettes, technical equipment, electricity. He also owns companies dealing with construction and hotel industry.


Serbia leads global greenfield investment index – FT report

East Side Office at August 4th, 2017

Serbia has led a global greenfield foreign direct investment index compiled by fDi Intelligence, a data division of the Financial Times, the London-based newspaper reported on Thursday.

Serbia’s “otherwise disappointing economic performance” has been outweighed by regulatory reform, low labour costs and access to the EU single market, the Financial Times said.

Serbia scored 12.02 in the index, which measures the appeal of countries as destinations for greenfield FDI relative to their GDP.

Another country in the region of Southeast Europe, Macedonia, ranked third with 9.18 points, the FT noted.

The number of greenfield projects in Serbia announced by foreign investors rose to 77 last year from 57 in 2015, and 53% of them were in manufacturing, primarily in electronic components and car parts, followed by real estate and textiles, the Financial Times said.

“Most investors are attracted to Serbia as an export platform rather than as a market in its own right,” the newspaper added.

The net inflow of foreign direct investment (FDI) into Serbia rose to 1.861 billion euro ($2.205 billion) in 2016, from 1.804 billion euro in the previous year, official figures from the country’s statistical office show.

IMF: Serbia’s economic recovery exceeded expectations

East Side Office at September 1st, 2016

The IMF Executive Board Wednesday completed the combined fourth and fifth reviews of Serbia’s economic performance under a stand-by arrangement, noting the country’s economic recovery “has exceeded expectations, supported by efforts to strengthen public finances, advance structural reforms and boost investment confidence.”

“However, vulnerabilities remain, including from elevated public debt and lingering structural challenges in an uncertain external environment. Full implementation of program commitments is critical to strengthen the foundations for robust and inclusive growth, restore public debt sustainability and rebuild policy buffers,” said Deputy Managing Director Tao Zhang.

“The fiscal over-performance has continued in 2016. The challenge is to sustain the fiscal adjustment to place the high public debt firmly on a downward path,” he said.


Source: Tanjug

EBRD ready to back efforts to solve issue of NPLs in Serbia

East Side Office at May 18th, 2016

The European Bank for Reconstruction and Development (EBRD) is interested in supporting efforts to solve the issue of non-performing loans (NPLs) in Serbia, and restructure the companies with poor business results in cooperation with private investors, EBRD Director for Serbia Daniel Berg told Tanjug.

The EBRD can be a co-investor to funds that are interested in restructuring the companies with poor business results in Serbia, Berg said.

A good example of this is the recently announced project of American investment fund KKR in Greece where the restructuring efforts are focused on the companies that have underperformed, which delivers greater value to investors – including banks, related companies and the state, he noted.

The level of NPLs in the Serbian banking sector exceeds 20 percent, for both commercial and consumer loans, but the situation with business loans is even worse, as one in four loans is either in default or close to being in default.

Under Serbian laws, banks can sell commercial loan portfolios, which is not the case with consumer loans unless the buyer is a licensed bank in Serbia.


Source: Tanjug

Serbia – Engine for Attracting Investors to Region

East Side Office at February 21st, 2016

The Western Balkans region has much to offer to prospective investors and with the backing from the European Bank for Reconstruction and Development (EBRD), Serbia can be an engine for attracting investments, EBRD Director for Serbia Daniel Berg said on Sunday.

Ahead of the Western Balkans Investment Summit, which will kick off in London on Monday, Berg said this would be an excellent opportunity for showcasing the Western Balkans region.

The aim is to highlight investment opportunities and promote an inflow of FDIs and cross-border projects, Berg told Tanjug.

He is convinced the region has much to offer, notably the advantage of strategic trade ties with the EU and access to the Adriatic Sea.

On the other hand, investors are hesitant as the market is relatively small and the business climate has not been improved enough, the EBRD official said.


Source: TANJUG