GDP growth in Serbia bigger than expected - European Commission presents new economic analysis

The European Commission has assessed that the growth of gross domestic product (GDP) in Serbia and other EU candidate countries is bigger than expected, pointing out that GDP has dropped only in Albania.
According to the latest economic analysis done by the European Commission, the main event in Serbia was the formal start of EU accession talks, but "extrordinary elections postponed the adoption of key laws on bankruptcy, privatization, labor market and building permits".

The European Commission says that the Q4 2013 growth of GDP continued this year, but at somewhat slower pace in Serbia, where GDP grew mainly due to increased exports.

Serbia's GDP grew 2.5 percent last year, Montenegro increased its GDP by 3.5 percent in 2013, Bosnia-Herzegovina by 1.5 percent, while no data are available for the province of Kosovo. GDP growth forecasts for this and next year are 1.3 and 2.2 percent for Serbia and 2.7 and 3 percent for Montenegro, respectively.

The growth of GDP also led to a better situation in the labor market, although the unemployment rate in Montenegro and Turkey went up last year. Unemployed people in Serbia accounted for 22.1 percent of the population in 2013.

Inflation in Serbia dropped from 12.2 percent in 2012 to 2.2 percent in 2013, and it is expected to grow to 4.3% this year and to 5% in 2015.

The document also reads that last year in Serbia "foreign investments were far below the capacity" - at about EUR 770 million, adding that they covered a half of the balance of payments deficit.

European Commission Brussels

Delegacija Evropske unije u Republici Srbiji Beograd

Serbia GDP

GDP Serbia

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GDP growth Serbia

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