Data from the Public Debt Administration reveals that Srbijagas has become the largest beneficiary of state-guaranteed loans in Serbia, surpassing Elektroprivreda Srbije (EPS). As of the end of 2025, Srbijagas reported €548 million in government-backed loans, slightly exceeding EPS’s €543.6 million. This marks a significant shift in the financial landscape of Serbia’s energy sector, emphasizing the growing importance of gas infrastructure and supply.
The transition is attributed to differing financial trajectories rather than a singular large transaction. EPS has decreased its debt from nearly €700 million in 2024 as part of a strategy to stabilize its finances following an energy crisis. In contrast, Srbijagas has ramped up its borrowing, particularly during the latter half of 2025. Over recent years, Srbijagas maintained a relatively stable debt level around €495 million in both 2023 and 2024 before this increase.
The rise in Srbijagas’s debt indicates a renewed investment cycle within the gas sector driven by the need for infrastructure expansion and enhanced supply security. The company’s financing requirements are closely linked to its responsibilities for developing and maintaining Serbia’s gas network, necessitating continuous access to credit, primarily supported by sovereign guarantees. However, this also results in a significant repayment burden due to previous borrowing tied to network development and supply agreements.
Conversely, EPS is entering a different operational phase. While still crucial to the national energy framework, it is now concentrating on stabilizing operations and targeted capital investments, including environmental improvements and renewable energy initiatives. This shift has led to a reduced dependency on state-backed loans despite ongoing investment activities.
Overall exposure to guaranteed loans at the public finance level has decreased, with total state guarantees reaching approximately €1.74 billion at the close of 2025, marking the lowest level seen in several years. Nonetheless, the concentration of these liabilities remains significant, with both Srbijagas and EPS accounting for most outstanding debts.
This concentration highlights the vital role that state-owned utilities play as primary vehicles for capital investments within the energy sector while also underscoring persistent fiscal risks associated with guaranteed debt on the government’s balance sheet. The reallocation of liabilities indicates a broader transformation within Serbia’s energy system. Traditionally focused on electricity financing, state-backed support is shifting towards gas as it enters a more capital-intensive phase.
This transition occurs amid increasing emphasis on energy security and regional integration. Strengthening gas infrastructure and ensuring reliable supply have become critical priorities, particularly following recent fluctuations in European energy markets. International institutions are increasingly recognizing these dynamics; attention is shifting from EPS to Srbijagas due to its substantial borrowing scale and significance within Serbia’s energy framework.
Despite the overall reduction in guarantees, risks remain concentrated as a substantial portion of debt is owed to external creditors. This situation exposes the system to potential changes in financing conditions and exchange rates. Furthermore, reliance on sovereign guarantees implies that financial challenges faced by state-owned companies could lead to fiscal obligations for the government.
The transition from EPS to Srbijagas as the leading recipient of state-backed loans signifies not a resolution of underlying issues but rather a redistribution of financial exposure within Serbia’s energy sector. As investment priorities evolve, so does the nature of state-backed borrowing, with gas now taking center stage in Serbia’s energy financing landscape.
