BELGRADE, May 28 (Reuters) - Serbia will ask the International Monetary Fund in August to approve an expansion of its fiscal deficit to 4 percent of GDP from a previously agreed 3 percent, Finance Minister Diana Dragutinovic said on Thursday. "According to our latest figures, I think a fiscal gap of four percent of GDP would be more appropriate for Serbia," Dragutinovic told a panel discussion organised by Reuters. "Faced with a choice of low and stable inflation and fiscal stimuli, the IMF seems to have chosen the latter."
She was commenting on what the government planned to ask the IMF at their next meeting in early August. Belgrade has recently drawn the first, 788 million euro tranche of a 3.0 billion euro loan, which was approved earlier this month, (Reporting by Aleksandar Vasovic; Editing by Gordana Filipovic/David Stamp)