The Serbian economy is exhibiting stable business performance across several key indicators, including turnover, business climate, exports, capacity utilization, liquidity and employment. According to the Serbian Chamber of Commerce (PKS) survey for July, positive trends were noted in the second quarter of 2024, with expectations for continued growth into the third quarter.
The National Bank of Serbia projects a real GDP growth rate of 4% to 5% for 2024, with a central forecast of 4.5%. This growth is largely driven by domestic demand and expected investments in transportation, energy and infrastructure projects, as highlighted by the PKS press release.
The PKS survey indicates that in Q2 2024, 41% of surveyed businesses reported an increase in turnover compared to the previous quarter, while 19% experienced a decrease. Looking ahead to Q3 2024, half of the respondents anticipate maintaining their current level of turnover, 36% expect improvements, and 14% foresee a decline.
The energy and mining sectors show the most optimism, with 48% of respondents expecting higher turnover in Q3. Significant turnover growth is also anticipated in tourism, construction and communal services.
The business climate remained stable in Q2 2024, with 68% of respondents noting no change, 17% perceiving an improvement, and 15% experiencing a decline. Looking forward, more than half expect stability in the business climate for Q3. However, rising input costs are a concern, with 46% of respondents reporting increases.
Average capacity utilization stood at 74% in Q2 2024, and 78% of companies reported having sufficient funds for optimal operations. More than two-thirds also had adequate funds for investments.
Among exporters, 30% saw increased exports compared to the previous quarter. Employment remained stable, with 86% of companies not reducing their workforce and 94% not expecting future layoffs.
The survey, conducted with 1,564 PKS member companies employing 213,000 workers in July 2024, reported merchandise exports of EUR 4.3 billion in Q2, a 10.5% increase compared to the same period in 2023. About 18% of the companies surveyed have foreign capital investment.
