Serbian Finance Minister Sinisa Mali said today that he was not at all surprised that the International Monetary Fund (IMF) had increased Serbia’s gross domestic product (GDP) growth forecast from six to 6.5 percent this year.
“We are achieving much better results than we expected at the beginning of the year, so we have a better fiscal result and much better prospects for a high rate of economic growth. The Ministry of Finance has already increased the growth projection to seven percent, and international financial institutions continuously this year they are increasing their projections, which is the best confirmation of our success, “said Mali, the Ministry of Finance announced.
He reminded that the IMF earlier this year, in June, increased the projections from five to six percent of the GDP growth of Serbia, and now it has once again increased the forecast of the growth of the Serbian GDP this time to 6.5 percent.
“Their projections help us gain international investment trust and gain even better status in the world capital market, as well as strengthen the competitiveness of our economy,” said Mali.
He reminded that official talks with the IMF delegation led by Jan Kes Martajn started yesterday, and that the revision of the new advisory arrangement “Policy Coordination Instrument”, which started to be implemented in June 2021, has begun.
The aim of the new arrangement is to implement structural reforms and maintain macroeconomic and financial stability.
“The IMF delegation is already familiar with our macroeconomic situation. They also had the opportunity to see that our fiscal result in the first nine months is better by 182 billion dinars, ie that the deficit amounts to 93 billion dinars due to much higher revenues, before “The Serbian economy is recovering much more successfully and that is beyond all expectations,” said Mali.
He pointed out that all four reform goals that were agreed with the IMF in April this year were fulfilled, which, as he stated, speaks of Serbia’s commitment and seriousness to this arrangement.
“It is up to us to further implement structural reforms, to raise the productivity of our public companies and to reform that sector completely,” Mali said.
He added that he would discuss the budget for 2022 with the IMF, and that the focus would continue to be on high allocations for capital investments, which are the engine of Serbia’s development, as well as on increasingly important projects in the field of environmental protection.
Mali also reminded that the World Bank, only a few days ago, increased the growth forecast of Serbia for 2021 by one percentage point – to six percent in the updated autumn report on the world economic prospects.