inflation growth

Sharp food price increases drive Serbia’s inflation above target amid economic challenges

Latest data from Serbia’s Statistical Office reveals a sharp rise in food prices compared to last year, driving inflation higher. Despite assurances from the National Bank of Serbia (NBS) that inflation is stabilizing, food prices have surged dramatically. In June, year-on-year inflation reached 4.6%, surpassing NBS’s target range. Key points: Overall, Serbia’s economic policy choices, especially the fixed exchange rate and insufficient agricultural development, contribute to persistent inflationary pressures and rising food costs, worsening living standards for many citizens.