Political life in Serbia has gone through…

Political life in Serbia has gone through a period of acute disorder following the Bosnian uprising.

Although many Serb political figures prefer to develop close relations with Russia rather than with Austria, Prince Milan favors the pro-Austrian policy: he appoints pro-Austrian ministers, concludes trade and tariff agreements that make Serbia's economy dependent on Austria's.

Milan enters into a secret agreement with Austria in 1881,  pledging to conclude no treaties with other governments without Austria's approval.

In return, Serbia gains valuable export conditions for its agricultural goods on the understanding that if Serbia refrains from causing further disorder in Bosnia and Herzegovina, Austria will support Serbian expansion into Macedonia.