Serbia has become among the most attractive investment destinations in CEE, having lowest income tax rate in Europe of 10% and experiencing exceptional GDP growth in the past few years - 9.3% in 2004 and 6.5% in 2005 (2006 IMF forecast 5.5%). In 2005, Serbia was ranked No. 1 Reformer amongst 155 world countries, according to the World Bank Report on business environment reform. FDI growth has shown a continual upward trend, increasing from $50m in 2000 to $1.5bn in 2005. Forecasted 2006 FDI inflow of over $3.5bn demonstrates Serbia’s position as the top investment destination within SEE region.

Raiffeisen Investment AG started its operations in the Serbian market in 2001, and has become the leading M&A and privatisation advisor, advising the Government of Serbia on more than 40 privatisation transactions. In addition, Team Serbia has been providing buy-side advisory services for number of foreign investors (Uniqa, Vienna Stock Exchange, Tvornica duhana Rovinj, Agrana, Kraft, Kras). According to Thomson Financial 2005 data, Raiffeisen Investment is No.1 financial advisor in Serbia ranked by number of deals.

Raiffeisen Investment is currently advising on the largest deal so far in Serbia – the privatisation of the oil industry of Serbia (NIS), jointly with Merrill Lynch. Furthermore, being the largest Raiffeisen Investment office in former Yugoslavia, the Serbian team has also actively participated in the biggest deals in Montenegro (Telecom Montenegro; Coal mine and Thermo Power Plant Pljevlja), Bosnia & Herzegovina (buy-side mandate for LNM Holdings in the largest transaction in this market - acquisition of the Steel plant in Zenica), and Republic of Srpska (privatization of Telekom Srpske)

Raiffeisen Investment Serbia has been active in the following industries: telecommunications, food & beverage, agriculture, construction, energy, oil & gas, insurance, pharmaceuticals, tobacco, transportation.