Despite facing global challenges, the trade relationship between Serbia and Germany continues to thrive, according to the latest findings from the German-Serbian Chamber of Commerce survey.
In 2022, Germany emerged as Serbia’s leading foreign trade partner, with trade volume doubling that of any other country. This trend continued into 2023, with bilateral trade increasing by 13% to nearly nine billion euros, marking a new record. Recent data indicates that Serbia ranks among Germany’s top 50 trade partners, and German investment in Serbia suggests that Serbia may soon surpass Germany in exports.
The survey, conducted by the German-Serbian Chamber of Commerce during February and March of this year, sheds light on the economic sentiment among member companies. Despite global uncertainties, optimism regarding the Serbian economy remains steady. However, attention must be given to mitigating factors that may impact business operations.
While the percentage of companies reporting satisfactory operations increased slightly from the previous year, there has been a decrease in those reporting operations as good. Expectations for business development and employment have slightly diminished, with fewer companies planning to increase their workforce compared to the previous year.
Regarding investments, while some companies plan to increase their investments in Serbia, others are hesitant due to economic uncertainties, particularly in Germany. Factors such as the fight against corruption and crime, workforce availability and qualifications, and labor legislation flexibility remain key areas of concern for German companies operating in Serbia.
Despite challenges, there is a positive outlook on the measures implemented by the Serbian government to improve investment conditions. However, there is room for improvement, particularly in supporting companies in the energy transition process.
The survey also highlights the growing issue of a lack of qualified personnel in Serbia. Companies are exploring measures such as automation, digitization, and offering financial incentives to address this challenge.
Milan Grujić, President of the German-Serbian Chamber of Commerce, emphasizes Serbia’s continued appeal as an investment destination, attributing it to the country’s stable and predictable business environment. German Ambassador to Serbia, Anke Konrad, underscores the importance of economic ties between the two countries and expresses support for addressing challenges related to qualified workers and business conditions.
In conclusion, the survey underscores the resilience of the trade relationship between Serbia and Germany despite global uncertainties, while also highlighting areas for improvement to sustain and enhance this relationship in the future.
