Financing of foreign business in Serbia is most often realized in the following forms:
- financing through direct investments (founders’ investments, subordinated loans and credits, additional payments, etc.)
- foreign currency lending in the country
- taking loans and borrowings from abroad
- contracting factoring transactions.
Direct investments
By the Law on Foreign Currency Transactions (“Official Herald of the Republic of Serbia”, Nos. 62/2006, 31/2011, 119/2012, 139/2014 and 30/2018 – further: Law on Foreign Currency Transactions) capital investments were defined as transactions between residents and non-residents and the purpose of which is the transfer of capital. One of the capital investments regulated by the Law on Foreign Currency Transactions shall be direct investments. Continue reading Conditions and methods of financing foreign business