Global factors certainly play an important role, both in the short and long run, not only for Serbia, but for all countries. What is specific for Serbia and what has been shown and confirmed by our analysis is that the vigorous fall in the country risk premium is crucially determined by domestic factors, i.e. the strengthening of our economy.
In addition, production activity, which has recently been more or less flat or weaker due to the effects of the slowdown in emerging economies, including China, and commodity-exporting economies and of an accident at a steel plant, is showing some weakness, mainly in the transportation equipment sector, whose supply chains have been disrupted by the damage caused mainly in Kumamoto Prefecture by the earthquake.