Serbia Introduces New Measures to Combat Coronavirus Pandemic

November 20, 2020

Serbia Introduces New Measures to Combat Coronavirus Pandemic

November 20, 2020

Milan Samardžić

Milan Samardžić

Partner

Dragan Martin

Dragan Martin

Junior Associate

As the number of people infected by the COVID-19 disease marks a continuous rise, the Serbian Government has recently enacted new and amended existing regulations in order to combat the ongoing surge in numbers of confirmed COVID-19 cases.

Here is a brief summary of the enacted regulations.

 

a) Legislative Measures for prevention and mitigation of COVID-19

Working hours of hospitality business, retail stores, shopping malls and other wholesale stores, theaters and cinemas, special and classic lottery game venues is limited from 5 AM to 21 PM until 1 December of 2020.

This limitation does not apply to pharmacies, gas stations and restaurants while performing food delivery services.

 

b) Limitations to entry into the Republic of Serbia

Persons entering onto Serbian territory from Bulgaria, Romania and Croatia shall be granted a permission of entry if they submit a negative RT-PCR test issued by the reference laboratory from the state of entry not older than 48h from the moment of entry.

 Citizens of the Republic of Serbia and foreigners who were granted a temporary stay or permanent residence permit in the Republic of Serbia, during passport control will be presented with a written notice regarding the obligation to report their entry to the competent COVID-19 hospital or public health institution within 24h period.

 

c) Decision on establishment of COVID-19 Crisis Center 

The Decision on Establishment of Crisis Center for Control of Infectious Disease COVID-19 has been enacted on 30 October 2020.

The task of the Crisis Center is to:

  • monitor the situation;
  • direct and coordinate the actions and activities of all competent authorities, organizations and services;
  • give proposals and recommendations for measures and activities in controlling COVID-19 pandemic;
  • perform other tasks in controlling the spread and protecting of the population from the infectious disease COVID-19.

 

d) Financial benefits and state aid

On 23 October 2020, the Regulation on amendments to the regulation on the conditions and criteria of compliance of state aid in order to eliminate serious disorders in the economy caused by the COVID-19 pandemic has been enacted in order to introduce a state aid measure in addition to those already prescribed by the said regulation.

State aid in question is provided for maintaining liquidity by partial reimbursement of fixed costs to market participants who have reduced or suspended their business activities due to the COVID-19 pandemic, if the following criteria are met:

 State aid is granted no later than 30 June 2021 and covers part of the fixed costs incurred in the period between 1 March 2020 and 30 June 2021;

  • state aid is granted in the form of a scheme, i.e. a program for market participants who have suffered a drop in turnover of at least 30% in the period referred to in point 1), in relation to the same period in 2019;
  • the state aid intensity does not exceed 70% of the uncovered fixed costs of market participants, i.e. 90% of the uncovered fixed costs of micro and small enterprises;
  • the gross monetary equivalent, i.e. the nominal amount of individual state aid per market participant does not exceed EUR 3,000,000 in RSD equivalent at the official middle exchange rate of the National Bank of Serbia on the day of granting state aid (regardless of the aid instrument).

 State aid may also be granted on the basis of the expected loss (future circumstances), whereby the final amount of aid is determined based on the auditor’s report.

 

 

This text is for informational purposes only and should not be considered legal advice. Should you require any additional information, feel free to contact us.

Contact:

Milan Samardžić, Partner
milan.samardzic@sog.rs

Dragan Martin, Junior Associate
dragan.martin@sog.rs

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