The Republic of Serbia has a modern economy that follows the free-market model. It is one of the world's most attractive investment locations due to its optimal geographical location, highly skilled workforce, and competitive operating costs. Leading investors who have chosen Serbia are successful companies such as Hitachi Vantara, Itochu Corporation, Japan Tobacco International, Kansai Paint Group, Mitsubishi Corporation, Nidec Corporation, NTT Corporation, SRA Holdings, Takenaka Europe, Toyo Tires, Yazaki Corporation, and others. For several years now, it has been the base of investment locations and at the very top of Central and Eastern Europe in terms of the number of foreign direct investments.
Serbia offers favourable tax rates, including incentives for new investors. Low tax rate, such as corporate income tax of 10%, which is among the lowest in Europe.
According to IMF forecasts, economic growth in Serbia in 2021 is expected to be around 6%. Due to the noticeable growth trend, Serbia attracts more and more investors every year, from manufacturing activities to service companies that cover the region, Europe, or third countries, including Africa.
The largest sector of the Serbian economy is the service sector, which accounts for about 60% of GDP. It is followed by the industrial sector with about 20% of GDP and the agricultural sector with about 20% share in GDP.
Serbia is partly in Southeast Europe - on the Balkan Peninsula (75% of the territory) and partly in Central Europe - in the Pannonian Plain (25% of the territory), occupying a total area of 88,407 km2.Serbia has a total population of 7,120,666, of which the capital, Belgrade and its surroundings, has 1,639,121 inhabitants. The Republic of Serbia includes two autonomous provinces: Vojvodina and Kosovo and Metohija.