Economy of Serbia

The economy of Serbia is a developing market economy. Serbia has a strong manufacturing sector, with main focuses on making electrical machinery, automobiles, base metals, and rubber products. The country’s important exports include electrical equipment, motor vehicles, copper and base metals, tires, and pharmaceuticals.

Serbia relies a lot on international trade, especially with Europe. Its key trading partners are the EU, nearby countries, as well as China and Turkey. The capital city, Belgrade, is the main financial center. Other important economic cities are Novi Sad and Niš.

Historical preview

In the years before World War I, Serbia's economy grew very slowly, about 0.28% each year. This was much slower than in Northwestern Europe, causing Serbia to fall behind. At that time, farming was the biggest part of the economy, while factories and services were small.

In the late 1980s, Serbia began changing from a planned economy to a market economy. But in the 1990s, bad decisions, wars, and UN sanctions and trade embargo hurt the economy badly. Prices rose extremely fast, with inflation reaching a huge peak in 1994. After 2000, when big changes in leadership happened, the economy started to grow again, with wages rising and improvements in daily life.

Serbia faced a small drop in economy during the Great Recession but recovered by 2016. Since 2014, Serbia has been working toward joining the European Union. Foreign investments have grown, especially in cars, copper, and tires. In 2024, Serbia became one of the few European countries to have trade deals with both the EU and China. Today, Serbia is considered an upper-middle-income economy.

Macroeconomic trends

Economic growth

Serbia's economy is growing and is expected to reach $116 billion by 2029. It has been the largest economy among the former Yugoslav countries since 2008 when measuring by purchasing power parity. Serbia's debt is currently at 38.1% of its total economy, which is below the acceptable limit set by international rules. The economy includes services (about 58%), industry (about 24%), and agriculture (about 4%). Most of Serbia's goods and services are sold to other countries, making exports very important.

Public finances

Serbia's public debt was very high from 2000 to 2008 but then started to grow again because of the 2008 financial crisis. By 2018, public debt was 53.8% of the country's economy. Serbia has kept a lot of foreign money in its banks since 2009.

Currency and inflation

The money used in Serbia is called the Serbian dinar. In the past, Serbia had very high prices, especially in the 1990s, with one month seeing prices rise by 313 million percent. But since the early 2000s, prices have stayed more stable.

External trade

Serbia has trade agreements with many countries and groups. In 2008, Serbia signed an agreement with the European Union, allowing Serbian products to be sold there without extra fees. The European Union is Serbia's biggest trading partner. Serbia also has trade agreements with countries like Russia, Turkey, and China, and trades with the United States under special rules.

Foreign direct investments

Serbia tries to attract businesses from other countries by offering help and lower taxes. Big companies from Germany, Italy, the United States, and China have invested in Serbia, especially in car making, food, machines, and technology. These investments help create jobs and grow the economy.

Economic sectors

In 2022, the sector with the highest number of companies registered in Serbia was Services, with 125,511 companies. This was followed by Wholesale Trade and Manufacturing, with 28,699 and 21,865 companies respectively.

Agriculture

Serbia has very good land and climate for many types of farming. It has 5,056,000 hectares of farmland, with 3,294,000 hectares used for growing crops. In 2024, Serbia sold farm and food products worth $5.3 billion. Farming is most common in Vojvodina on the fertile Pannonian Plain. Other farming areas include Mačva, Pomoravlje, Tamnava, Rasina, and Jablanica. Serbia grows many crops, including plums, raspberries, maize, and wheat. It also raises livestock and produces dairy products.

Serbia has 56,000 hectares of vineyards, making wine. Famous wine areas are in Vojvodina and Šumadija.

Energy

The energy sector is very important to Serbia. The country makes more electricity than it uses and imports fuels like oil and gas. Serbia has lots of coal and some oil and gas. Coal is found in Kolubara and Kostolac. Most electricity comes from power plants that burn coal, with some from hydroelectric plants and wind energy. Serbia gets most of its oil from its own company, Naftna Industrija Srbije, which has a big refinery in Pančevo. Serbia also imports natural gas from other countries.

Industry

Industry in Serbia was affected by difficult times in the past, but it still makes many things. Key industries include cars, steel, food, electronics, and medicines. Serbia makes cars in Kragujevac and steel in Smederevo. The country also makes smartphones and many food products. Companies like PepsiCo and Nestlé have factories in Serbia. The electronics industry has grown again with help from companies like Siemens and Panasonic. Serbia makes generic medicines and meets most of its own needs.

Mining

Serbia is good at mining. It is one of the top coal producers in Europe, with big mines in Kolubara and Kostolac. Serbia is also a top producer of copper and mines gold around Majdanpek.

Telecommunications and IT industry

Serbia has good telephone and internet services. Many people use mobile phones, and most homes have broadband internet. The IT industry is very strong and makes a lot of money for the country. Big companies like Microsoft, Cisco, and IBM have offices in Serbia because of the many skilled workers there. Serbia also has a growing video game industry with companies like Nordeus making popular games.

Tourism

Tourism helps Serbia's economy. People visit places like Kopaonik, Stara Planina, and Zlatibor. Belgrade is popular with visitors. Serbia also has spas, monasteries, and music festivals like EXIT and the Guča trumpet festival.

Transport

Serbia is important for travel because of its location. The country has many roads, including motorways. Over 300 kilometers of new motorways have been built in the last ten years. Buses connect almost every place in Serbia. There are also trains, with Belgrade being a major hub. Serbia has three airports, with Belgrade Nikola Tesla Airport being the busiest. The country also has rivers used for transport, like the Danube.

Economic indicators

The following table shows the main economic indicators

International Monetary Fund (IMF)ПОЧЕТНА | Републички завод за статистику СрбијеНародна банка СрбијеWorld Bank Group - International Development, Poverty and Sustainability

Labour

In 2024, about 3.2 million people were ready to work in Serbia, and around 2.9 million had jobs. Most of these jobs were in services, with fewer in industry and agriculture. The share of people without jobs has gone down over time but was still quite high.

By the end of 2025, the average monthly pay for a worker was about 1,447 euros before taxes and a bit less after taxes. Different places in Serbia had different pay levels, with some areas paying more than others. Serbia makes it easier for people to start their own businesses, with lower taxes compared to many other countries in Europe.

Regional economies

The section shows data about different areas in Serbia. It includes information about how much money each area makes, how much each person makes on average, and other economic details for the year 2024.

Companies

This section lists the ten largest companies in Serbia by their net income for the year 2024. The figures shown are for the companies themselves, not including their subsidiaries.