fiscal stability

Public Investment Drives Serbia’s Growth Model

Serbia is experiencing a significant shift in its fiscal framework, characterized by a focus on investment-led expenditure. Public capital spending has emerged as a primary catalyst for economic activity, maintaining fiscal stability with public debt levels around 43.1% of GDP and budget deficits controlled at approximately 3% of GDP. This strategic fiscal policy prioritizes long-term infrastructure, energy systems, and industrial development over short-term consolidation. The scale of public investment is noteworthy, particularly in large infrastructure projects that require capital commitments…