Montenegro decided to be independent on May 21, 2006. ... U

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• EU Accession
• Status of Serbia and other Western Balkan
  Countries
  

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Serbia (and) Montenegro in Europe
R USSIA
POLAND
GERMANY
ROMANIA
SERBIA
ITALY
MONTENEGRO
GREECE
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Western Balkans
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Stabilization and Association Process/
Stabilization and Association Agreements
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Foreign Direct Investment in 2006
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Regional Integration

• CEFTA - A good signal to foreign investors
• 31 bilateral agreements market of 30 million
  people
  
• Serbia is the only country outside the CIS? that
  has an FTA with the Russian Federation market
  of 150 million people
  
• - Serbia is in the middle of the SEE Free Trade
  Area duty free access to a market of 60 million
  people.
  

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Macroeconomic Data 2006
Serbia
Montenegro
GDP 25.5 Billion
GDP 1.9 Billion
GDP per Capita 3,525
GDP per Capita 3,271
Real GDP growth 5.8
Real GDP growth 5
Inflation 6.5
Inflation 1.8
Unemployment 27.0
Unemployment 20.0
FDI 4 billion
FDI 620
Currency DINAR
Currency EURO
Credit rating BB-
Credit rating BB
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Latest Developments
At the end of 2005, EU announced a positive
Feasibility Study and the start of negotiations
on the Stabilization and Association Agreement
The World Banks guide Doing Business in 2006
named Serbia the top global reformer
EBRD rated Serbia as having the highest graded
structural reform progress in Central and Eastern
Europe
The F.T. awarded Belgrade as the City of the
Future in Southern Europe for 2006/2007
U.S. Department of Commerce named Serbia and
Montenegro Market of the Month in January 2006
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Legal Reform
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Major U.S. Investors 2003-2006

• Phillip Morris, 2003, EUR 700 million
• Largest Foreign Investment

• U.S. Steel, 2003, EUR 250 million
• Largest EX/IM in Serbia

• Ball Corporation, 2004, EUR 80 million
• Largest Greenfield Investment

• NewsCorp, 2006, EUR 70 million
• First Foreign TV Broadcaster in Serbia

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Advantages of Doing Business in Serbia
Unsaturated Market
South East Europe Free Trade Zone
Favorable Taxes
Positive FDI Track Record
Privatization Opportunities (Public Companies)
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Leading Sectors for U.S. Export and Investment
Telecommunications equipment and services
Airport and ground support equipment
Energy
Computer hardware and peripherals
Pharmaceuticals
Financial services
Medical equipment
Pollution control equipment
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Thank You!
Maria J. Andrews, Regional Senior Commercial Off
icer U.S. Commercial Service American Embassy Be
lgrade
www.buyusa.gov/yugoslavia/en