The World Bank is forecasting Serbia’s GDP growth to reach 3 percent in 2018 and 3.5 and 4.0 percent in 2019 and 2020.
At the same time, it is projecting Serbia’s debt-to-GDP ratio to drop to 56 percent this year, as well as to 54.3 in 2019 and 52 pct in 2020.
During a news conference in Belgrade, analysts of the World Bank stated that, after the “disappointing” 1.9 percent in 2017, Serbia’s economic recovery in the medium term would be based on growth in spending, not exports.
Their prediction is that Serbia’s exports would be 7 percent higher this year, and that the increase in spending would be the result of higher pensions and salaries in the public sector, but also of higher employment.
The chief of the World Bank’s office in Serbia, Stephen Ndegwa, announced that, besides the three newly issued loans to Serbia for public utility companies, state finance institutions and the health sector, that creditor organization would financially support the further reform of the tax policy and agriculture until the end of the year.