Minister of Finance Siniša Mali visits the construction site at the Expo

Financial life and death

01.October 2025 Radmilo Marković

What do we owe to whom?

When evaluating the budget for 2025, the Fiscal Council warned that the item with the greatest growth in the proposed budget is precisely the one that should pay interest on the public debt. According to the budget for 2025, interest expenses have increased by as much as 19 percent, i.e. to 1,9 billion euros in absolute terms. What does that mean? This 2,1 percent of GDP that goes to interest is quite higher than the average of the countries of Central and Eastern Europe, where they allocate around 1,4-1,6 percent of GDP for this purpose.

Personal attitude

30.November 2023 Ljubomir Madjar

Economic policy under the veil of illusions and delusions

Let it be assumed that the economy has reduced investment efficiency by 20 percent and that investment in it is burdened by corruption extortion of 15 percent. The effective investment in that economy will amount to only 75 million euros, which will be the amount of the actual addition to the relevant capacities, since the entire 25 million will be absorbed by corruption and inferior efficiency. In some other economy, which is assumed to meet the standard criteria of efficiency and is not burdened by corruption, there will be no such erosion of the invested amount and the addition of capacities will also be intact. It will amount to all 100 million, which is the assumed loan