World Bank increases projection of Serbia's GDP growth in 2017

The gross domestic product (GDP) of Serbia will grow by 3% in the current year, according to the latest estimates of the World Bank, an increase of 0.2 percentage points compared to the bank's projection of January 2017.

The Serbian economy will grow by 3.5% in both 2018 and 2019, as was also projected in the World Bank's winter report.

Global economic growth will speed up in 2017 to 2.7% from 2.4% projected for 2016, whereas, in 2018-2019, it should accelerate to 2.9%, in line with the January projections, says the June report (Global Economic Prospects) of the international institution headquartered in Washington.

The acceleration of industrial activity, commerce, improved market trust and recovery of prices of raw materials, as the report adds, have contributed to the stability of the estimate of the growth of global economy of 2.7% in 2017.

Developed economies, especially Japan and Europe, are showing signs of recovery, whereas the seven biggest developing markets – China, Brazil, Mexico, India, Indonesia, Turkey and Russia – are again helping increase the global growth, according to the estimates by the World Bank.

The institution has also revised the projection of Japan's growth in 2017 up by 0.6 percentage points to 1.5% compared to January, whereas the estimate of the growth of the Eurozone has been revised up by 0.2 percentage points to 1.7%.

In both cases, as the report says, the acceleration of export and unconventional measures of monetary easing are helping to increase the growth.

The USA is also recording a progress, but the World Bank has nevertheless revised the projection for 2017 down by 0.1 percentage point to 2.1% due to a weak growth in early 2017 caused by a slowing down of personal consumption.

However the projection of growth for 2018 has been slightly revised up to 2.2%.

At the same time, the projection of the economic growth of China has been kept at 6.5%.

Nevertheless, new limitations, such as the actions promoted by the administration of Donald Trump, might jeopardize the recovery of commerce useful to many developed and developing countries, the World Bank warns.

Svetska Banka-WB Beograd

growth of gross domestic product

gross domestic product 2017

Global Economic Prospects

GDP Serbia

gross domestic product of Serbia

GDP 2017

GDP 2018