Serbia’s political system remains characterized by the overbearing position of President Vučić and the dominance of his Serbian Progressive Party. Following the 2022 elections, authentic opposition parties entered parliament. However, parliamentary oversight of the executive is limited and the media as well as the judiciary continue to face serious challenges by the government.
Economically, Serbia faces high unemployment and income inequality. In addition, slow economic growth poses a serious problem, as incomes fail to converge with the EU average. Although the overall business environment is favorable, the government maintains a significant presence in the economy.
The country’s main strategic goal remains EU accession, but the process has significantly slowed down, also due to increasing tensions with Kosovo. A major obstacle for reforms continues to be the public sector, which is bloated, unaccountable and inefficient. Furthermore, progress is hindered by a weak rule of law and corruption.
