One Fourth of Financial Directors in Serbia Expect GDP Growth of 1.6 to 2.5%

In Serbia, 25% of financial directors project a GDP growth of 1.6-2.5%, as shown by a survey carried out by the auditing and consulting company Deloitte.

At the same time, in Serbia, 63% of financial directors project a growth of inflation, whereas 25% do not expect any changes, according to the survey which was carried out between November and December 2020, presenting the projections of 590 financial directors from 17 Central European countries.

Financial directors are more optimistic when it comes to the assessment of the economic outlook for 2021. In Serbia, as many as 75% expect their companies to be in a better position, financially.

The survey points out that the uncertainty related to the coronavirus pandemic still has a strong impact on the concerns of financial directors in the current year as well, and cost reduction and expansion of business transactions are some of the key strategies they will focus on this year.

According to them, the average expected GDP growth for 2021 is 0.25%, compared to 2% in 2020 and 2.3% in 2019.

Most financial directors in the region, 62% of them, expect the inflation to grow, compared to 83% in 2020 and 82% in 2019.

It is also said that, since 2018, a constant increase in the number of financial directors who expect the unemployment rate to grow has been noted. Accordingly, 36% of the surveyed subjects expected this in 2020, whereas, this year, nearly 70% expect the unemployment to grow, which is connected with the expected impact of the coronavirus pandemic on the labor force market.

Most financial directors believe that this year will not be the right time to take any big risks – 88% subjects expressed this attitude.

Financial directors still see internal financing (49%) and borrowing from banks (43%) as sustainable sources of financing for their organizations.

Deloitte Advisory d.o.o. Beograd

Deloitte

financial directors

GDP growth

inflation growth

pandemic

coronavirus

cost reduction

expansion of business transactions

unemployment