In This Article:
By Ambassador Marko Đurić
Serbia has undergone a profound transformation over the past decade. Spearheaded by President Aleksandar Vučić’s vision of economic development and propelled by strategic reforms, our country’s economy has been booming as it charts a new course as a high-tech powerhouse.
Experts are noticing. Paul Gamble, senior director in the Sovereign Group at Fitch Ratings said, “Since Covid-19, Serbia has been one of emerging Europe’s better performers.” In fact, Serbia’s economic surge dates before the pandemic. Our GDP doubled from $39 billion in 2015 to $82 billion last year. By 2027, we expect GDP to reach $100 billion.
The goal is achievable. The International Monetary Fund projected that our GDP will increase by 3 percent in 2024. That puts Serbia on fast track to reach its goal. This trajectory is aided by a favorable outlook on inflation, which is likely to slow to 3 percent annually this year. Unemployment is at an all-time low.
How is this possible? Careful planning and a focus on software development.
Thanks to governmental initiatives, Serbia is positioning itself for sustainable growth and innovation by emphasizing emerging technologies. It has shifted away from traditional sectors like light manufacturing and agribusiness toward information and communication technology (ICT).
It’s working. Serbia’s burgeoning tech, IT, and software sectors have outpaced even some larger nations in exports. Serbia’s ICT industry is 10 percent of its GDP, placing it among the top four export sectors along with steel, cars, and agriculture. The U.S. is the number one export market for Serbia’s ICT services. The recent acquisition of Momentum Design Lab, an award-winning Silicon Valley product design studio, by Serbia’s HTEC Group highlights the sector’s rapid growth and international recognition.
This resurgence started with education. Initiatives such as making software programming courses mandatory in elementary schools and expanding tech-related course offerings at universities have created a skilled workforce capable in a growing profession. In addition, the Connected Schools Project, completed in 2021, has significantly increased information technology use and integration in primary and secondary schools throughout Serbia. Other notable initiatives include the launch of a startup accelerator for bioeconomic engineering by Ginkgo Bioworks of the U.S. and the expansion of Ananas, Serbia’s ”Amazon of the Balkans”, into neighboring countries. Serbia is clearly a destination for firms that need quality tech help.