Serbia approves 2026 budget with 3 % deficit and funds for possible NIS takeover

Serbia’s parliament has adopted a 2026 budget that sets a 3 % deficit and reserves 164 billion dinars (about $1.6 billion) for a potential state takeover of oil firm NIS.

Lawmakers endorsed the spending plan in Belgrade on Wednesday, approving a fiscal deficit of 337 billion dinars (about $3.35 billion), equivalent to 3 % of GDP, according to the Finance Ministry. The vote passed comfortably, with the ruling Serbian Progressive Party and its allies holding 154 seats in the 250-seat parliament.

Total revenues are projected at 2,414.7 billion dinars (about $24 billion) and expenditure at 2,751.7 billion dinars (about $27.4 billion).

The budget earmarks 164 billion dinars (about $1.6 billion) that Serbia could use to seize control of NIS, the country’s dominant oil company, from Russian owners Gazprom Neft and Gazprom if they fail to sell their stake by mid-January. NIS has been subject to U.S. sanctions since 2022.

Capital spending is set at 602 billion dinars (about $6 billion), including 47.5 billion dinars (about $470 million) allocated for Expo 2027, which Belgrade is preparing to host.

The plan also sets aside funds for the reintroduction of mandatory military service over the next three years, alongside increases in public-sector wages and pensions, officials said.

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