Mali: Downgraded IMF growth projections for Serbia consequence of blockades

BELGRADE - In its latest World Economic Outlook, released on Tuesday, the IMF has revised downwards its 2025 growth projections for Serbia from 4.2 pct to 3.5 pct - Serbia's First Deputy PM and Finance Minister Sinisa Mali says this is a consequence of violence and blockades in Serbia.

"The IMF has downgraded the projection of our economic growth, which is a consequence of the violence and blockades that have been going on in our country for months now. Unfortunately, all that has a devastating effect on the Serbian economy, which is best felt by our businesspeople in their respective activities. Irresponsible political actors do not understand that economic results are often also a reflection of political activities - or simply do not care about that," a statement by the Ministry of Finance quoted Mali as saying.

Above all, slightly lower growth of real private consumption is expected due to a weakening of consumer confidence, increased caution and a pronounced uncertainty, he added.

At the same time, public spending is growing, while investments and external trade are slowing down as a result of a combination of internal factors and increased global tensions, growing uncertainty and more pronounced protectionist measures in the international market, he said.

"On the manufacturing side, slower growth of private consumption is reflected in lower growth rates of services and net taxes, while a slowdown of investment activity is also related to the investors' perception of domestic developments in the past several months. We have made a lot of efforts to make Serbia a regional leader in attracting investors, but the violence we are being exposed to is eroding our image of a country that is safe to invest money in," Mali said.