New debt instalment is due: We pay EUR 22 million for Tito’s loan

The citizens of Serbia will repay Tito’s debts for exactly 21 more years,  and more than EUR 20 million is due to be paid next week.

Next Tuesday, December 15, EUR 22.14 million is due for collection. Of that amount, the interest is EUR 4 million, while the principal is EUR 17.8 million.

The last instalments of the loan that „old Yugoslavia“ took in the seventies and eighties are due in 2031 and 2041, and the total amount is higher than EUR 1.7 billion.

Thus, those who remember the times when loans were approved could be already retired at the time of their repayment, the Blic daily reports.

In the 1970s and 1980s, Serbia borrowed a total of 8.8 billion euros. We borrowed US$3.8 billion from the Paris Club and US$2.2 billion from the London Club. During the previous years, we repaid 250 million euros of old loans on average, last year about 230 million, and this year even more.

Today, we owe the most to the Paris Club – 1.09 billion euros, from which, as a republic, we borrowed a total of four billion euros four decades ago. Then comes the World Bank (700 million euros), i.e. its branch IBRD, which approved 1.8 billion in the same period, and we will repay the loans to China and Kuwait for several more decades.

The Ministry of Finance has repeatedly stated that Serbia duly repays its obligations and loans, both in terms of financing capital investments and infrastructure, as well as debts incurred in previous decades.

Izvor: Blic

Foto: Pixabay