Economist: Serbia Owes More than EUR60 Billion

Belgrade, panorama (BETAPHOTO/MILOS MISKOV)

Economist Borislav Borovic stated on Oct. 24 that Serbia’s official public debt, which amounted to EUR38.2 billion in July, did not represent all of the state’s liabilities – only the assets that have been received and passed through the treasury.

Borovic told BETA that other loans under contract represented at least 25 billion more in state liabilities. “The official public debt of Serbia for which data is published and which amounted to EUR38.2 billion in July, includes those assets that have been received and passed through the treasury – not the entirety of the state’s liabilities. The loans under contract that have not yet been received are not included in the calculation of the debt against the growth domestic product (GDP) ratio. The contracted loans for the ‘Rafales’, the metro, the EXPO… according to publicly made statements of this country’s officials, these amount to at least 25 billion more in new liabilities,” he stated.

Asked if the state’s debt could be described as high or dangerous, Borovic replied that, in 2024 alone, the state has to pay back the principal in the amount of RSD976,449,116,000 (EUR8.4 billion). “That constitutes 45 percent of Serbia’s entire revenue. If we add the EUR1.6 billion due in 2025 for interest alone, then there is no dilemma that the situation is not as rosy as it is being presented. Quite the contrary,” the economist pointed out.