The European Bank for Reconstruction and Development (EBRD) forecasts a recovery of Serbia in 2013 and the growth of the GDP by 1.1%, but states that several weaknesses have been perceived in the Serbian economy.
As specified in the latest quarterly report of the EBRD, after an economic growth of some 2% in 2011, the GDP will drop by 0.7% in 2012. Such a forecast has been given in the light of indications on economic product in the first trimester of this year, when the Serbian GDP was reduced by 1.3% at the annual level, and slightly better indicators in the second trimester. The EBRD believes Serbia is still threatened ith risks, especially due to exposure to the euro zone. The government is facing challenges in the the reduction of fiscal deficiit, which now amounts to 7% of the GDP, and the reduction of the public debt, which has grown to nearly 60% of the GDP, considerably above the legal limit of 45%, states the EBRD.
Source: Radio Serbia