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Serb Public Debt Drops $167 Million in January on Payment

Serbia’s public debt narrowed 0.7 percent in January as the government repaid credits mainly to holders of its bonds on the domestic market.

Total public debt declined by 125 million euros ($167 million) to 17.5 billion euros, with the public debt-to-gross domestic product ratio reported at 59.9 percent of Serbia’s economic output, the Belgrade-based Finance Ministry said in an e-mailed statement today. Serbia repaid creditors 413 million euros in principal and 55 million euros in interest last month, the ministry said.

Serbia’s public debt is expected to peak at 65.2 percent of GDP this year, falling to 58.4 percent in 2015, still above the legal cap of 45 percent, according to the government’s three-year fiscal plan.

The government’s direct liabilities declined to 14.9 billion euros in January from 15.1 billion in December.

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