Serbia Continues to Borrow

Sinisa Mali (BetaPhoto/Milos Miskov)

Serbia’s public debt will exceed 60 percent of GDP this year, as the government will need to borrow more to cover a budget deficit as provided by a budget rebalancing bill passed late in April. The budget deficit is up from 2.9 percent of GDP planned earlier to 6.9 percent, or from EUR1.5 billion to EUR3.5 billion, of which experts say one billion is hard to justify on the expenditure side.