Student protests in Serbia, sparked by the November 1 train station tragedy in Novi Sad, have been ongoing for months, demanding justice after the deaths of 15 people. While the protests, including blockades, have drawn strong condemnations from the government, particularly President Aleksandar Vučić, claiming that they harm the economy, available data for January contradicts these claims.
Despite President Vučić’s remarks that the blockades have destroyed the economy, January data shows growth in several economic sectors. Compared to January last year, the number of tourist arrivals increased by 16.1%, and overnight stays rose by 16.7%. Industrial production also grew by 0.4%, and retail trade turnover was up by 6.7%, with retail sales rising by 2.7% in constant prices.
Economist Saša Đogović noted that January’s growth in retail sales was partly due to increased pensions and public sector salary hikes. He attributed the tourism boost to favorable winter conditions, which led to higher demand in mountain destinations. He also emphasized that the protests themselves were not the cause of any negative economic trends, but rather a result of systemic issues such as inefficient institutions.
However, Đogović warned that future economic challenges could emerge, particularly in tourism and retail, as political instability and boycotts by trade chains may reduce consumer activity. The automotive industry in Europe also faces a downturn, potentially affecting Serbian manufacturers.
Professor Milorad Filipović of the Faculty of Economics in Belgrade argued that strong economies have mechanisms to minimize negative impacts. He suggested that the student protests, if they lead to reforms and stronger institutions, could ultimately strengthen the economy, improve transparency, and enhance security for investors and entrepreneurs in Serbia.
