Official talks between Serbia and the International Monetary Fund (IMF) began today with a plenary session at the National Bank of Serbia. The Serbian delegation is led by Jorgovanka Tabaković, Governor of the National Bank and Serbia’s Governor at the IMF. Finance Minister and First Deputy Prime Minister Siniša Mali, along with representatives from the Ministry of Economy, also participated in the discussions.
Minister Mali highlighted to the IMF mission, led by Annette Kyobe, that the Serbian economy has remained resilient despite global challenges. He emphasized that the country’s economic policy aims to sustain economic growth while keeping the public debt ratio low. The IMF mission will remain in Belgrade until October 30 to conduct the second review of Serbia’s current Policy Coordination Instrument (PCI) arrangement. The first review of this arrangement was successfully completed in June, following approval by the IMF Executive Board.
During the meeting, Serbian and IMF officials reviewed progress on program targets and current macroeconomic trends. Minister Mali provided updates on the latest macroeconomic indicators, noting that Serbia has maintained macroeconomic stability, low public debt, and continued economic growth. He reaffirmed that fiscal discipline, including budget deficit targets for the next year, will be respected. Mali also mentioned that Deputy IMF Director Bo Li, during a recent meeting in Washington, praised Serbia’s fiscal and monetary policy efforts and expressed confidence in the country’s ability to turn challenges into opportunities.
The meeting confirmed that all short-term targets under the current arrangement have been met, including: strengthening human resources in the Tax Administration, preparing reports on energy sector investment plans, publishing reports on public sector salaries and employment in institutions included in the ISKRA registry, and completing a comprehensive analysis of Serbia’s pension system.
Under the current arrangement, the fiscal program targets a deficit of no more than 3% of GDP during the investment program until 2027, and 2.5% of GDP in 2028–2029. This framework balances public spending priorities with fiscal discipline and further reduces public debt. Accompanying structural reforms, including those in state-owned enterprises and the energy sector, are expected to mitigate fiscal risks.
