Dejana Vukadinović

Serbia’s public debt has reached more than €39 billion, and experts warn that rising interest costs, high external borrowing and inadequate investment choices burden both the state budget and individual citizens. Although debt levels remain below EU risk thresholds, interest rates are significantly higher than in EU countries, diverting billions of euros from development and social spending. Analysts argue that the government relies on optimistic statistical presentation and costly, low‑return projects such as EXPO 2027, increasing long‑term fiscal pressure. Much of the debt is sourced from international lenders, regional banks and China for large‑scale infrastructure works, while citizens feel the impact through higher taxes, price increases and more expensive loans. Experts caution that without more productive investments and improved fiscal management, Serbia’s public debt will continue to grow and limit future economic stability.