September 4, 2017 / 11:48 AM / a year ago

Serbia's PM see economy growing 2.5 percent in 2017

BLED, Slovenia (Reuters) - Serbia’s Prime Minister Ana Brnabic told Reuters on Monday the country’s economy was expected to grow 2.5 percent this year and 3 percent in 2018

FILE PHOTO: Serbia's Prime Minister Ana Brnabic smiles during a parliament session in Belgrade, Serbia June 28, 2017. REUTERS/Marko Djurica

The International Monetary Fund, with which Serbia had signed a 1.2 billion euro ($1.43 billion) loan deal, has forecast growth of 3 percent this year.

But last month the central bank warned of downside risks associated with energy production and the effect on agriculture of months of drought.

Brnabic said she expected the government to decide on a new IMF loan deal by the end of the year. The current one expires in February.

Reporting by Marja Novak; Writing by Ivana Sekularac; editing by John Stonestreet

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