Source: Russia-Serbia loan delayed

BELGRADE, Serbia, Oct. 20 (UPI) -- Russian President Dmitry Medvedev won't sign a $1.5 billion loan to Serbia on his Tuesday visit to Belgrade, Russian sources say.

Instead, an unnamed source in Medvedev's delegation told RIA Novosti, talks on the loan -- meant to cover the Balkan nation's budget deficit -- would continue after the Russian leader's trip has concluded.

"There were no plans to sign an agreement on providing credit to Serbia during the Russian president's visit to Belgrade," the source told RIA Novosti.

Medvedev arrived for his first official visit to Belgrade at 11 a.m. Tuesday, and was taken by motorcade to the Palace of Serbia in New Belgrade where he was welcomed by Serbian President Boris Tadic, the Serbian news Web site B92 reported.

The Russian leader was earlier greeted by First Deputy Prime Minister Ivica Dacic and Foreign Minister Vuk Jeremic. Along with the proposed loan, Medvedev and Tadic were expected to discuss strengthening the two countries' strategic partnerships and economic ties, B92 said.