budget position

Serbia’s Budget Position Reflects Structural Pressures

Recent budget execution data from Serbia indicates a **controlled but widening deficit**, primarily attributed to increased energy-related support measures and elevated social spending. While the overall deficit figures draw attention, they reveal more about persistent structural pressures rather than fiscal mismanagement, which are challenging to address in the short term. The presence of energy subsidies, price stabilization mechanisms, and targeted transfers has become a semi-permanent aspect of the country's fiscal framework. Concurrently, demographic changes and wage adjustments have led to…