policy inertia

Serbia’s Economic Landscape and the Urgency of Policy Action

Serbia's economy is projected to remain stable as it approaches 2026, characterized by ongoing growth, contained inflation, steady exports, and stable unemployment rates. While conventional macroeconomic indicators do not indicate an immediate crisis, the year 2026 is critical as it represents the last opportunity for Serbia to implement necessary structural reforms before facing more stringent constraints. Data from 2025 suggests a troubling trend of inertia within the economy. Investment levels have declined, construction activity has contracted, and energy supply has…