JPM Jankovic Popovic Mitic

New privatisation deadline or simply buying time

The Serbian Parliament has passed a Law on Amendments to the Privatization Law, relating to creditors’ claims against companies in restructuring. This issue has been the focus of attention of business circles for a number of years now, since its resolution will have a great impact on the business climate to be established in Serbia in the years to come.

After the political changes of 2000, a Privatization Law was enacted, intended to provide a legal framework for unhindered transition in the field of commerce and inflow of foreign investments, by laying down the terms and methods for changing ownership over socially and state-owned capital. The planned privatisation models were sale of capital (by public auction or public bidding) and transfer of capital free of charge (to employees or citizens), while initiating and carrying out privatisation was entrusted to a state body — the Privatization Agency.

The law established a separate category of so-called companies in restructuring, comprising socially/state-owned companies, the privatisation of which was to be preceded by organisational changes and changes of status, as a prerequisite for their transfer into private property. Although this concept of companies in restructuring was designed as but a transitional stage in the privatisation process, a number of companies have retained this status for more than a decade now since the passing of the law. There being no strategic solution for the 162 companies currently in the restructuring stage has necessitated frequent amendments of the legal framework, which achieved the sole effect of temporarily securing social peace, while the creditors of these companies have been prevented from collecting their claims…

Click on the link below to read the rest of the JPM Jankovic Popovic Mitic briefing.  

Sign in or Register to continue reading this article

Sign in


It's quick, easy and free!

It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.

Register now

Why register to The Lawyer


Industry insight

In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.


Market intelligence

Identify the major players and business opportunities within a particular region through our series of free, special reports.


Email newsletters

Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.

More relevant to you

To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.

Briefings from JPM Jankovic Popovic Mitic

View more briefings from JPM Jankovic Popovic Mitic


6 Vladimira Popovica Street
11070 Belgrade