The latest issue of the Macroeconomic Analyses and Trends (MAT) newsletter said on Monday that the Serbian economy’s debts rose moderately in 2020 with the corporate debt rising 2.3 percent in the last quarter to account for 26.1 percent of the GDP at the end of last year.

The MAT said that the debt is almost a fourth lower than the record 33.5 of the GDP at the end of the third quarter of 2012. “The debt consists of the total debts of state-owned companies to the domestic banking sector, including corporate bonds as the new form of financing for the economy which started in September last year,” the MAT said.

Serbia maintained the high-level efficiency of its financial market and the banking sector is adequately capitalized and is resistant to higher credit risks despite the bad macro-economic trends caused by the pandemic, it said and added that the share of NPLs in overall loans dropped to its lowest level since the strategy to deal with them was launched at the end of 2020.