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Iosif Vangelatos, General Manager, Inos Balkan

Proud of Tripling Trade Volume

Inos Balkan already possessed extensive expertise in the recycling sector, with its collection and processing centres, while it has today transformed itself successfully to...

Aris Karousos, CEO of Eko Serbia

Drivers Know Why They Choose Eko

Two decades ago, when this company launched its operations in Serbia, the desire was for the EKO brand to become synonymous with reliability, quality...

Danilo Đurović, General Manager, Autotechnica Serbia – Hertz

Introducing Flex Drive

As part of the Autohellas Group, which has been the absolute leader of Greece’s automotive sector since 1974, Hertz is more than just a...

Nikos Veropoulos, Owner, Veropoulos

Super Vero, Super Successful

For two decades already, company Veropoulos has been known on our market for its unique offer and high-quality products at promotional prices, but also...

Panagiotis Pitsikos, CEO, Autostop Interiors

The Best Is Yet to Come

Company Autostop Interiors was established in 2013 and specialises in manufacturing car floor mats and leather covers. These 10 years have been a journey...

Dr Ivan Nikolić, Director for research and development at the Economics Institute in Belgrade

High Risk and Gains

Serbia is in a surprisingly positive economic position despite extremely difficult conditions globally. This is the result of both political and economic choices

According to the latest forecasts of economic trends in 2024, the expected end of the recession will not be forthcoming. On the contrary, reduced growth is being announced at both the European and global levels.

We are leaving behind the economically difcult year of 2023 only to enter an even more difcult year. Economic pessimism, and in many cases also frustration over the exhausting of the arsenal of activities and incentive measures, represent the prevailing current sentiment. The European business cycle is being led by deindustrialisation, which to a lesser extent stems from declining demand globally. The advantages of productivity and efficiency from closer international cooperation are no longer possible as a result of geopolitical tension. The war in Ukraine has worsened previously observed production problems by raising energy costs, while the radicalisation of the conflict in the Middle East brings even greater negative potential. Fiscal policies are coming under increasing pressure. The available resources required to refinance the debts of future generations are decreasing rapidly, while spending has increased as a result of investments in the defence sector. Embedded high inflation is distortionary, while its prolonged impact implies high real interest rates, which would harm both private and public investments, and consequently also future growth.

The result of the preserving of economic stability and positive medium-term prospects is interest in continuing to invest in Serbia among foreign investors

Also becoming more pronounced are demographic problems, the aging population and the shortage of qualified labour in many sectors. Technological progress and various dimensions of digitalisation are exerting considerable pressure on business models in all sectors to modernise and adapt quickly, with a strong imperative to accelerate decarbonisation. The situation is slightly more stable across the ocean, as a result of the overcoming of tension over late September’s approval of the interim budget for the U.S. government. But that doesn’t reduce the fact that agency Fitch recently stripped the U.S. of its highest credit rating due specifically to the worsening medium- term fiscal outlook, excessive public debt, political instability and weak economic activity.

Serbia is in a surprisingly positive economic position under these circumstances. It is persisting in its insistence on neutrality. Such a stance is highly risky, but at this moment high risk is closely associated with higher gains. Excellent economic cooperation, primarily with China, is yielding positive effects in numerous fields. Expectations are even greater when it comes to the signing of the Free Trade Agreement. It sounds unbelievable that industrial production in Serbia was 5.7% higher this August than it was in the same month of last year. Almost a third of the increase in production comes from the processing sector. This is the best result in Europe (for example, production in the Eurozone fell by an average of 5% during this period). Serbia’s total economic growth this year will stand at around 2.5% and will be driven by net exports and fixed investments. Interest among foreign investors also isn’t waning, thanks to the preserving of economic stability and positive medium-term prospects. Viewed globally, inflation is slowing down this year. However, the struggle against inflation is continuing, despite some of its causes now being under control – supply chains have recovered, while shipping and transportation costs have reduced.

Comment

Census Results Cause Concern

The Ministry of Education claims to be exerting ongoing efforts to reform education, but census results indicate the need for more work. The “Platform...

By Iva Draškić Vićanović Ph.D., Dean of the University of Belgrade Faculty of Philology

Restore Teachers’ Dignity

The proposals presented in our Platform are viable over the short term, require no large and lasting reforms and could lead to major visible...

Comment by Prof. dr Slobodan Zečević

The Mirage of the European Oasis

Serbia officially began EU accession negotiations in January 2014. Over the subsequent decade, 22 of the 35 accession negotiation chapters have been opened and...

Plamena Halacheva, Deputy Head of the Delegation of the European Union to Serbia

Easier Access to the Western Balkans’ Single Market

The EU aims to involve Western Balkans partners with its Member States on equal terms, fostering a reform partnership that’s oriented towards the future...

From the Seized Tobacco, 7 Tons of the Highest Quality Organic Fertilizer Were Obtained

Over 5 tons of illegal cut tobacco, as much as 3.5 tons of leaf tobacco, 26,000 boxes of cigarettes,...

Balkan Borders Blur as Free Labor Movement Pact Launches

Marking a significant shift in the labor markets of Southeast Europe, Serbia, Albania, and North Macedonia have forged an...

Southeast Europe Unites in Support for Ukraine at Tirana Summit

In a striking demonstration of unity from Tirana, Southeast European leaders, together with Ukraine's President Volodymyr Zelenski, have collectively...

Serbia Commits €5.4 Billion to Renewable Energy by 2030

Serbia's state-owned power company, Elektroprivreda Srbije (EPS), has announced an ambitious plan to invest €5.4 billion in renewable energy...

Serbia and Angola Cement Cultural Bonds with New Cooperation Programme

Serbia and Angola have inked a Cultural Cooperation Programme set to span from 2024 to 2026, as announced by...

Balkan Borders Blur as Free Labor Movement Pact Launches

Marking a significant shift in the labor markets of Southeast Europe, Serbia, Albania, and North Macedonia have forged an...

Serbia Commits €5.4 Billion to Renewable Energy by 2030

Serbia's state-owned power company, Elektroprivreda Srbije (EPS), has announced an ambitious plan to invest €5.4 billion in renewable energy...

Serbia and Angola Cement Cultural Bonds with New Cooperation Programme

Serbia and Angola have inked a Cultural Cooperation Programme set to span from 2024 to 2026, as announced by...

Serbia Awards Distinctions to Notable Personalities on National Day

In a ceremonial tribute to Serbia's National Day, President Aleksandar Vučić presented awards to a host of esteemed individuals...

Western Balkans Eye EU Membership by 2028

At the esteemed Munich Security Conference, a cornerstone event in global security discourse, leaders from North Macedonia, Albania, and...

Balkan Borders Blur as Free Labor Movement Pact Launches

Marking a significant shift in the labor markets of Southeast Europe, Serbia, Albania, and North Macedonia have forged an...

Serbia Commits €5.4 Billion to Renewable Energy by 2030

Serbia's state-owned power company, Elektroprivreda Srbije (EPS), has announced an ambitious plan to invest €5.4 billion in renewable energy...

Serbia and Angola Cement Cultural Bonds with New Cooperation Programme

Serbia and Angola have inked a Cultural Cooperation Programme set to span from 2024 to 2026, as announced by...

Serbia Awards Distinctions to Notable Personalities on National Day

In a ceremonial tribute to Serbia's National Day, President Aleksandar Vučić presented awards to a host of esteemed individuals...

Western Balkans Eye EU Membership by 2028

At the esteemed Munich Security Conference, a cornerstone event in global security discourse, leaders from North Macedonia, Albania, and...
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