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The Serbian economy is recovering well from the impact of COVID-19 pandemic by growing 7.4 percent in 2021 and poverty incidence declined to an estimated 9.8 percent. Growth is expected to decelerate in 2022 and the risks to the growth outlook are clearly tilted to the downside. Poverty reduction is expected to stagnate in 2022 as income gains are weakened by rising inflation risks. This Macro Poverty Outlook presents GDP, debt and fiscal forecasts and examines the implications for critical economic and social concepts such as growth, poverty reduction and macroeconomic stability.