What could Serbia have built for EUR 1 BILLION – the amount it spent on fines and penalties?

In the last ten years, Serbia paid about a billion euros from the budget for fines and penalties, which is two and a half times more than the total cost of building four clinical centres and more than the construction of the southern and eastern branches of Corridor 10 – this is the conclusion of today’s forum „Why is the state losing disputes at international arbitrations“.

As pointed out at the conference, this year alone, 280 million euros are earmarked for fines and penalties in the Serbian budget.

Special adviser to the Fiscal Council, Marko Milanovic, pointed out that the budget documentation regarding the money that went to arbitrations remained unclear and that the losses from arbitration today amounted to roughly 200 million euros per year, and that in 2010 they amounted to 30 to 40 million euros.

„When we sum up the total amount, in 10 years it is the amount or EUR 1 billion. This is not a cost that will cause the budget to collapse, but it is a significant amount, because it is, for example, money for the construction of the southern or eastern branches of Corridor 10 or twice as much for the construction of four Clinical Centres, and it is also somewhat more than money for the modernization of the Belgrade-Novi Sad railway,“ Milanovic said.

Izvor: Beta

Foto: BIZLife