Equity
One of Serbia's largest banks goes up for sale - Will Hungary's OTP make a bid?
According to the privatisation announcement, bids are welcome by 21 June only by those that have been operating in the banking sector for at least three years, have a stake of at least 20% in any large banking group or had assets of over one billion euros in 2018.
The Serbian government is selling off most state-owned companies under an agreement signed with the International Monetary Fund (IMF). In mid-July last year, the Executive Board of the International Monetary Fund (IMF) approved a new 30-month Policy Coordination Instrument (PCI) for Serbia. (The PCI is available to all IMF members that do not need Fund financial resources at the time of approval. It is designed for countries seeking to demonstrate commitment to a reform agenda or to unlock and coordinate financing from other official creditors or private investors.)
“The PCI-supported program will build on the precautionary Stand-By Arrangement successfully completed in February 2018 and aims at maintaining macroeconomic and financial stability and advancing an ambitious structural and institutional reform agenda to foster rapid and inclusive growth, job creation and improved living standards," the IMF said at that time.
While the PCI involves no use of IMF financial resources, successful completion of program reviews will help signal Serbia’s commitment to continued strong macroeconomic policies and structural reforms, the Fund added.
Serbian press had previously speculated that Komercijalna Banka could be acquired either by Hungary’s OTP Bank or Austria’s Raiffeisen Bank.
The Serbian government is selling off most state-owned companies under an agreement signed with the International Monetary Fund (IMF). In mid-July last year, the Executive Board of the International Monetary Fund (IMF) approved a new 30-month Policy Coordination Instrument (PCI) for Serbia. (The PCI is available to all IMF members that do not need Fund financial resources at the time of approval. It is designed for countries seeking to demonstrate commitment to a reform agenda or to unlock and coordinate financing from other official creditors or private investors.)
“The PCI-supported program will build on the precautionary Stand-By Arrangement successfully completed in February 2018 and aims at maintaining macroeconomic and financial stability and advancing an ambitious structural and institutional reform agenda to foster rapid and inclusive growth, job creation and improved living standards," the IMF said at that time.
While the PCI involves no use of IMF financial resources, successful completion of program reviews will help signal Serbia’s commitment to continued strong macroeconomic policies and structural reforms, the Fund added.
Serbian press had previously speculated that Komercijalna Banka could be acquired either by Hungary’s OTP Bank or Austria’s Raiffeisen Bank.
