Cacak, Oct 1, 2003 - Serbian Deputy Prime Minister Cedomir Jovanovic visited Cacak on Wednesday where he met with students of the local Faculty of Engineering, businessmen of the Moravica district, and representatives of three trade unions, local authorities and non-governmental organizations to discuss Serbia-Montenegrin accession to the European Union and implementation of the action plan for economic harmonization between the two state union members.

Jovanovic urged young people to fight for better working, learning and living conditions, but also for better laws, adding that students will bring Serbia closer to the EU. He also stressed that Serbian democracy has been created at universities across the country over the past few years.

During a meeting with businessmen of the Moravica district, Jovanovic said that the government's reform model stipulates a tight monetary policy, market liberalization and fast privatisation, noting that EU accession is in Serbia's economic and political interest.

The Deputy Prime Minister said that the government has privatized 19 companies in the district so far for 600 million. Noting that part of the revenues was allocated for restructuring large companies in the district, he added that 95 local companies are currently undergoing privatisation procedure. However, Jovanovic went on to say, the 231,000 people district is still facing a high unemployment rate, with some 16,000 jobless workers.

Jovanovic announced the restructuring at Jat Airways, NIS oil company and EPS power utility service, and reiterated that the privatisation in Serbia should complete by mid-2005, by which time private companies should become the mainstay of the country's economy.

The Deputy Prime Minister also met today with three trade unions representatives. He said that in year 2003 the government set aside 30 million dinars for Moravica district from the Development Fund, while 400 millions are allocated for social welfare programmes and 200 millions for subsidies. The government is currently backing the companies Javor, Spik, Proleter, Sloboda, Takovo, and Milan Blagojevic.

Trade unions objected to the way the privatisation process is being carried out. They claim that some of the new owners do not fulfill all obligations as stipulated by the contracts. They say they are dissatisfied with reforms in institutions, particularly in the judiciary, pointing out to the cases against certain directors that are still "in the drawer."

The Deputy Prime Minister called on the trade unions to submit all mentioned proofs in writing to the Ministry of Economy and Privatisation and the Privatisation Agency.

At the end of his visit to Cacak, Jovanovic held talks with local officials and NGOs.