Meagan-177-002

: Incentivizing private and public investment in R&D and technological development.

The paper identifies structural deficiencies in Serbia's economy and suggests reforms to enhance productivity and boost total factor productivity. Below is a draft summary and analysis based on the key themes of that report. meagan-177-002

Successful implementation of these structural reforms is essential for Serbia to narrow the income gap with the EU. By focusing on productivity and innovation, Serbia can offset declining labor and capital contributions and secure a higher growth trajectory for the coming decades. Republic of Serbia: Selected Issues (2025) - IMF eLibrary : Incentivizing private and public investment in R&D

To accelerate growth and productivity, the paper proposes: : Serbia's growth has been steady but insufficient

: Reducing state influence and improving the regulatory environment to foster a more competitive market.

: Serbia's growth has been steady but insufficient to close the income gap with EU nations.

: Difficulties for firms, particularly small and medium enterprises (SMEs), in securing adequate financing.