Previous loans to be repaid with Russian money

The Russian loan for Serbia will be used for repayment of old loans, and then an arab loan will be used to pay for the russian loan, and then an EU loan will be used to pay back the Arabs, and then we can borrow some money from the Chinese to settle with the EU, and . . . . oh yeah, and Kosovo is Serbia.

yes - they are going around to get money to pay off loans, meanwhile there is nothing for the people, just the government officials in Belgrade who are making all the extra money. Cities outside of Belgrade are so poor but hay - they still have Kosovo.

Let me get this straight, Serbia is going to pay back loans with loaned money? Who is doing the accounting for the country? Everyone knows that leads to more and more debt and trouble. Gypsy accounting is what that is. It will all catch up to Serbia. Then, Russia will have you by the balls. You will have to borrow more and more money and they will then demand more and more state sell offs!!

Let me get this straight, Serbia is going to pay back loans with loaned money? Who is doing the accounting for the country? Everyone knows that leads to more and more debt and trouble. Gypsy accounting is what that is. It will all catch up to Serbia. Then, Russia will have you by the balls. You will have to borrow more and more money and they will then demand more and more state sell offs!!
(Captain America, 16 April 2013 15:30)

http://www.brillig.com/debt_clock/

"According to the minister, President Vladimir Putin told a visiting Serbian delegation recently that a limited number of Fiat's vehicles could be imported to Russia under these conditions, and that Serbia would have to import an equal number of cars made in Russia in return."

Aha. Interesting idea of a 'Free trade agreement'. Maybe Dacic should tell Russia that it would have to import an equal amount of Serbian mineral water for each import barrel of oil :)

My understanding is the Russian loan comes with favorable conditions. So, this seems like a proper use of the money as it will in the short and mid term alleviate stress on government coppers which will help keep inflation in line and potentially increase growth, albeit small. A loan at 5% is better than a loan at 10%. Simple math.

"Everyone knows that leads to more and more debt and trouble. Gypsy accounting is what that is. "
(Captain America, 16 April 2013 15:30)

I hope you are not really a captain in America :) It's clearly written in the text, and it makes sense: If you pay back a previous loan with worse condition by a loan with better conditions, you don't have any more debt than before(but exactly the same). The difference is that you have to spend less money for interest in the future.

The Russian loan for Serbia will be used for repayment of old loans, and then an arab loan will be used to pay for the russian loan, and then an EU loan will be used to pay back the Arabs, and then we can borrow some money from the Chinese to settle with the EU, and . . . . oh yeah, and Kosovo is Serbia.

Let me get this straight, Serbia is going to pay back loans with loaned money? Who is doing the accounting for the country? Everyone knows that leads to more and more debt and trouble. Gypsy accounting is what that is. It will all catch up to Serbia. Then, Russia will have you by the balls. You will have to borrow more and more money and they will then demand more and more state sell offs!!

yes - they are going around to get money to pay off loans, meanwhile there is nothing for the people, just the government officials in Belgrade who are making all the extra money. Cities outside of Belgrade are so poor but hay - they still have Kosovo.

Let me get this straight, Serbia is going to pay back loans with loaned money? Who is doing the accounting for the country? Everyone knows that leads to more and more debt and trouble. Gypsy accounting is what that is. It will all catch up to Serbia. Then, Russia will have you by the balls. You will have to borrow more and more money and they will then demand more and more state sell offs!!
(Captain America, 16 April 2013 15:30)

http://www.brillig.com/debt_clock/

My understanding is the Russian loan comes with favorable conditions. So, this seems like a proper use of the money as it will in the short and mid term alleviate stress on government coppers which will help keep inflation in line and potentially increase growth, albeit small. A loan at 5% is better than a loan at 10%. Simple math.

"Everyone knows that leads to more and more debt and trouble. Gypsy accounting is what that is. "
(Captain America, 16 April 2013 15:30)

I hope you are not really a captain in America :) It's clearly written in the text, and it makes sense: If you pay back a previous loan with worse condition by a loan with better conditions, you don't have any more debt than before(but exactly the same). The difference is that you have to spend less money for interest in the future.

"According to the minister, President Vladimir Putin told a visiting Serbian delegation recently that a limited number of Fiat's vehicles could be imported to Russia under these conditions, and that Serbia would have to import an equal number of cars made in Russia in return."

Aha. Interesting idea of a 'Free trade agreement'. Maybe Dacic should tell Russia that it would have to import an equal amount of Serbian mineral water for each import barrel of oil :)