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Prof. Dr. Ioanna Batsialou, Director and Owner of Ioanna Regen Polyclinic

Sun YES, Ageing NO

Despite the common belief that medical aesthetic treatments are only performed in winter, our need for care is much greater during the summer, says...

Peter Novak, Managing Director at Kolektor Etra

Transformers for the Most Demanding Consumers

Ljubljana-based Kolektor Etra has a tradition of producing power transformers that dates back over 90 years. It is present with its products in more...

Danijela Bojović, Project and Real Estate Manager, Napred

Napred: Synonymous with Progress

Over the past 75 years, Belgrade-based company Napred has established a formidable presence in 10 countries across three continents. This company has consistently emerged...

Djordje Djokic, Senior Partner, Djokic + Partners

Building a Brand Through Quality

Djokic + Partners is considered one of the top law firms in the banking and financial sectors due to its profound understanding of business...

Wolt

Wolt is Transforming the Delivery Industry

Speed, sustainability and growth are supported by technological innovations This headline recently emerged from a Bloomberg interview with Matko Katanec, Wolt Regional Director for CEE...

Milojko Arsić, professor of the University of Belgrade Faculty of Economics

Uncertain Gains

Although 2024’s economic growth could be only slightly higher than this year’s, the fundamentals of that growth could be far more solid. However, a lot depends on geopolitical risks

The Serbian economy could achieve slightly faster GDP growth during the next year than it has this year, on condition that the situation doesn’t worsen significantly in the world economy, and particularly in the European economies, and that Serbia’s relations with the EU don’t deteriorate. GDP growth could reach 2.5-3% in 2024, which at first glance appears to be a modest increase compared to this year. However, it is important to consider that this year’s growth of 2% was largely a result of the one-off recovery of agriculture from last year’s drought, as well as the unusually high increase in construction activity. If not for these one-off factors that cannot be counted on reoccurring next year, this year’s GDP growth would have stood at around 1%.

The expected increase in the rate of GDP growth is based on the assumption that world market prices of energy and other primary products will remain at the current level over the coming year, but also that the European economies will grow somewhat faster than they did this year. Increases in state spending ahead of the extraordinary elections will have a positive impact on the growth of the economy in the first months of next year, but this effect will be short-lived and modest. On the other hand, interest rates, which will remain at a high level, will inhibit the stronger acceleration of economic growth.

The possible worsening of Serbia’s relations with the EU, which is the source of the majority of investments and loans in Serbia, and which receives the majority of Serbian export products, would impact on decelerating economic growth

High interest rates will have a negative impact on investments, including FDI, and will particularly impact activities such as construction, the production of capital equipment and consumer goods. The expansionary fiscal policy that was implemented in the last quarter of 2023 will slow the pace at which inflation declines, which will prolong the need for the National Bank of Serbia to implement a restrictive monetary policy, and this will in turn slow the economy’s recovery in the second half of next year.

The predicted growth could be lower if some of the geopolitical risks materialise, leading to a significant increase in energy prices. The possible worsening of Serbia’s relations with the EU, which is the source of the majority of investments and loans in Serbia, and which receives the majority of Serbian export products, would impact on decelerating economic growth. Finally, a poor agricultural season, which is becoming increasingly common due to climate change, could reduce GDP growth.

We expect inflation to continue to slow in the year ahead, but for it to be slightly higher than predicted in the government’s official documents. The reasons for this are the expansive fiscal policy in the pre-election period, rising labour costs, as well as the postponed increase in prices controlled by the administration. We expect that the average inflation rate over the next year could total 6-7%, while inflation would stand at around 5% by year’s end, which means that inflation would be halved compared to this year.

Comment by Zoran Panović

From Lavrov to Macron

Despite the Serbian Progressive Party (SNS) having signed a Cooperation Agreement with Putin’s United Russia, and despite SNS President and Serbian PM Miloš Vučević...

Goran Radosavljević, Ph.D. Vice Dean and Director of the FEFA Institute

We Need to Quadruple Our Growth Rate

Reducing corruption, reforming the energy sector and fundamentally changing the secondary education system are the keys to faster economic growth It was two months ago...

Luka Baturan, University of Novi Sad Faculty of Law

Arbitrary Tax Breaks Degrade the System

The biggest job that Serbia has to do – and it pertains to tax regulations – is to radically reform personal income tax and...

Nebojša Bjelotomić, Director of the Digital Serbia Initiative

Instead of Walls and Machines, We’re Investing in People and Their Knowhow

For countries with a falling population, it is recommended that all remaining workers “climb” the ladder of industrial worth. However, this means dealing far...

Montenegro Nominated for Europe’s Most Desirable Destination Award

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Serbia Signs Memorandum on Nuclear Energy Development

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H.E. József Magyar – The Western Balkans is a Priority

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The International “Aleksandar Tišma” Literary Award ceremoniously presented to French writer Cécile Wajsbrot

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75th Anniversary of the Council of Europe Marked

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Montenegro Nominated for Europe’s Most Desirable Destination Award

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The International “Aleksandar Tišma” Literary Award ceremoniously presented to French writer Cécile Wajsbrot

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Medtronic to Launch Operations in Serbia with Strategic Bio4 Campus Partnership

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Mickoski Proposes New Government for North Macedonia

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King Frederick X Inaugurates First Section of Undersea Tunnel Connecting Denmark and Germany

King Frederick X of Denmark has inaugurated the first segment of the ambitious 18-kilometre Fehmarn Belt tunnel beneath the...

Montenegro Nominated for Europe’s Most Desirable Destination Award

Montenegro has been nominated for the prestigious title of Europe's most desirable destination in the Wanderlust Reader Travel Awards...

The International “Aleksandar Tišma” Literary Award ceremoniously presented to French writer Cécile Wajsbrot

The third International “Aleksandar Tišma” Literary Award was ceremoniously presented to French writer Cécile Wajsbrot on June 24, 2024,...

Medtronic to Launch Operations in Serbia with Strategic Bio4 Campus Partnership

American medical technology giant Medtronic is set to establish operations in Serbia following a memorandum of understanding signed with...

Mickoski Proposes New Government for North Macedonia

Hristijan Mickoski, leader of VMRO-DPMNE and the designated Prime Minister of North Macedonia, has formally submitted his proposed cabinet...

King Frederick X Inaugurates First Section of Undersea Tunnel Connecting Denmark and Germany

King Frederick X of Denmark has inaugurated the first segment of the ambitious 18-kilometre Fehmarn Belt tunnel beneath the...
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