ANALYSTS VIEW - Serbian parties seek coalition

Mon May 12, 2008 8:12am EDT
 
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(Reuters) - A coalition of pro-Western parties led by the Democratic Party won first place in Serbia's general election on Sunday, ahead of the nationalist Radical Party.

Both now seek partners that will give them the majority needed for a government. Following are reactions from analysts, commentators and politicians:

JURIJ BAJEC, ECONOMICS PROFESSOR, BELGRADE UNIVERSITY

"Foreign investors are likely to wait and see who'll get the chance to form the government. A pro-Western coalition in power would mean more stability as it would guarantee a policy of pursuing European Union membership. A nationalist coalition would not deter investors but rather make them wary about Serbia's future direction."

JON LEVY, ANALYST, EURASIA GROUP

"It is still a question of what kind of coalition there will be. Investors' preference will be for accession to the European Union, for stable macroeconomic policy."

MIROSLAV PROKOPIJEVIC, ANALYST, FREE MARKET CENTER

"Election results are one thing, what will come out of the election is another. A coalition of the Democratic Party and the Socialist Party will not last long as the two parties have different programs. A coalition of the nationalist parties will be more stable but would deter investors and make them suspicious towards the government's future policy."

STANDAR & POOR'S RATING SERVICES

"The outcome of the Serbian general election does not have an immediate impact on the sovereign credit ratings on the Republic of Serbia (BB-/Negative/B). The eventual governing coalition's response to the political and macroeconomic risks facing the country will be a crucial factor for the ratings".

MARKO BLAGOJEVIC, ANALYST, CESID POLLING AGENCY

"We still have to wait and see who will be the winner. We have the results, but government coalitions are yet to be agreed."

GORAN SVILANOVIC, FORMER FOREIGN MINISTER

"Such a convincing victory of the Democratic Party over the Radicals paves the way for fast negotiations on the future government. The quick formation of the government would stabilize the country and allow the economy, in the second half of the year, to make up for everything it missed in the first half while investors were waiting to see what is going on."

DAVOR GJENERO, POLITICAL ANALYST IN CROATIA

"The Radicals and the Democratic Party of Serbia of (outgoing nationalist PM Vojislav) Kostunica could probably form a government more easily. The Democrats have no natural allies except the Liberal Democratic Party (LDP) and the minorities. But which ever government there is, it will hardly be stable and consistent."  Continued...

 

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