fiscal story

Public Spending Growth and Fiscal Policy Outlook in Serbia’s Economy

Serbia's fiscal landscape for 2025 has been characterized by a budget deficit of 2.6% of GDP, which remains within the bounds of macroeconomic stability. However, a significant shift in public spending composition has raised concerns regarding the sustainability of this fiscal approach. Total budget expenditures reached 2.550 trillion RSD, reflecting an increase of 196.21 billion RSD compared to the previous year, with real expenditure growth recorded at 4.4%. This increase outpaced real revenue growth, which stood at 2.5%, leading to…