Page 142 - SE Outlook Regions 2024

The Serbian government said the 2024 budget places a significant emphasis on development. This commitment translates into substantial investments in key infrastructural projects, including the construction of motorways and high-speed railways, as well as the establishment of new schools and hospitals.
The policy of raising salaries and pensions remains a central tenet of the 2024 budget. Effective from January 1, 2024, the budget allocates funds for a 14.8% increase in pensions, along with a 10% boost in public sector wages.
It sets out a 17.8% rise in the minimum wage. In a bid to alleviate potential strain on employers, measures are in place to elevate the non-taxable portion of gross salaries by 15.1%, ascending from RSD21,712 to RSD25,000, starting from the next fiscal year.
RSD598.8bn has been earmarked for capital investments, which represents 6.8% of the planned GDP.
Serbia posted a consolidated budget deficit of RSD52.7bn in the first eleven months of 2023, following a gap of RSD63bn in November, the latest finance ministry data indicated.
6.11 Budget and debt - Slovenia
The draft state budget amendment for 2024 foresees €14bn in revenue and €16.2bn in expenditure. The projected budget deficit will stand at €2.2bn or 3.3% of GDP.
The borrowing limit for the state budget in 2024 is established at €4.66 billion.
The primary focus for the upcoming two years is to fund initiatives addressing the aftermath of the floods experienced in August 2023.
According to the European Commission, Slovenia’s public debt-to-GDP ratio is anticipated to persistently decrease, reaching 69.3% in 2023, followed by further declines to 68.4% in 2024 and 67.9% in 2025. This downward trend is primarily attributed to shifts in the headline deficit and a substantial increase in nominal GDP.
However, projections for 2024 and 2025 are contingent on various country-specific risks. The enactment of a reconstruction act addressing flood damages is expected to determine spending requirements and additional revenue sources for 2024 and beyond. Additionally, negotiations with social partners regarding the reform of the public sector wage system may exert a noteworthy influence on fiscal projections for the year 2025.
142 SE Outlook 2024 www.intellinews.com