Strong Economic Performance
In recent years, Serbia has been among Europe's fastest growing economies. Over the past three years GDP growth averaged 6.8% with the forecast of 7% for the coming years, while in 2006 it amounted to 5.8%. GDP per capita of $4,028 is coupled with rapid banking loans expansion to fuel skyrocketing local demand.
Inflation in 2006 returned to single digits standing at 6.6%, while further reductions are projected for the coming years. Macroeconomic stability is also reflected in a 0.7% state budget surplus for 2006, providing room for an unprecedented €1.7 bn national infrastructure development plan.
In addition, foreign currency reserves have reached a record-high of $11.5 bn and public foreign debt has been cut down to merely 30% of GDP.
