Central Intelligence Agency

The Kingdom of Serbs, Croats, and Slovenes was formed in 1918; its name was changed to Yugoslavia in 1929. Various paramilitary bands resisted Nazi Germany's occupation and division of Yugoslavia from 1941 to 1945, but fought each other and ethnic opponents as much as the invaders. The military and political movement headed by Josip "TITO" Broz (Partisans) took full control of Yugoslavia when German and Croatian separatist forces were defeated in 1945. Although Communist, TITO's new government and his successors (he died in 1980) managed to steer their own path between the Warsaw Pact nations and the West for the next four and a half decades. In 1989, Slobodan MILOSEVIC became president of the Republic of Serbia and his ultranationalist calls for Serbian domination led to the violent breakup of Yugoslavia along ethnic lines. In 1991, Croatia, Slovenia, and Macedonia declared independence, followed by Bosnia in 1992. The remaining republics of Serbia and Montenegro declared a new Federal Republic of Yugoslavia (FRY) in April 1992 and under MILOSEVIC's leadership, Serbia led various military campaigns to unite ethnic Serbs in neighboring republics into a "Greater Serbia." These actions were ultimately unsuccessful and led to the signing of the Dayton Peace Accords in 1995. MILOSEVIC retained control over Serbia and eventually became president of the FRY in 1997. In 1998, an ethnic Albanian insurgency in the formerly autonomous Serbian province of Kosovo provoked a Serbian counterinsurgency campaign that resulted in massacres and massive expulsions of ethnic Albanians living in Kosovo. The MILOSEVIC government's rejection of a proposed international settlement led to NATO's bombing of Serbia in the spring of 1999, to the withdrawal of Serbian military and police forces from Kosovo in June 1999, and to the stationing of a NATO-led force in Kosovo to provide a safe and secure environment for the region's ethnic communities. FRY elections in late 2000 led to the ouster of MILOSEVIC and the installation of democratic government. In 2003, the FRY became Serbia and Montenegro, a loose federation of the two republics. Widespread violence predominantly targeting ethnic Serbs in Kosovo in March 2004 caused the international community to open negotiations on the future status of Kosovo in January 2006. In June 2006, Montenegro seceded from the federation and declared itself an independent nation. Serbia subsequently gave notice that it was the successor state to the union of Serbia and Montenegro. In February 2008, after nearly two years of inconclusive negotiations, the UN-administered province of Kosovo declared itself independent of Serbia - an action Serbia refuses to recognize. At Serbia's request, the UN General Assembly (UNGA) in October 2008 sought an advisory opinion from the International Court of Justice (ICJ) on whether Kosovo's unilateral declaration of independence was in accordance with international law. In a ruling considered unfavorable to Serbia, the ICJ issued an advisory opinion in July 2010 stating that international law did not prohibit declarations of independence. In late 2010, Serbia agreed to an EU-drafted UNGA Resolution acknowledging the ICJ's decision and calling for a new round of talks between Serbia and Kosovo, this time on practical issues rather than Kosovo's status.

Southeastern Europe, between Macedonia and Hungary

44 00 N, 21 00 E

Europe

slightly smaller than South Carolina

0 km (landlocked)

none (landlocked)

in the north, continental climate (cold winters and hot, humid summers with well distributed rainfall); in other parts, continental and Mediterranean climate (relatively cold winters with heavy snowfall and hot, dry summers and autumns)

extremely varied; to the north, rich fertile plains; to the east, limestone ranges and basins; to the southeast, ancient mountains and hills

oil, gas, coal, iron ore, copper, zinc, antimony, chromite, gold, silver, magnesium, pyrite, limestone, marble, salt, arable land

890 sq km

208.5 cu km (note - includes Kosovo) (2003)

destructive earthquakes

air pollution around Belgrade and other industrial cities; water pollution from industrial wastes dumped into the Sava which flows into the Danube

controls one of the major land routes from Western Europe to Turkey and the Near East

Serb 82.9%, Hungarian 3.9%, Romany (Gypsy) 1.4%, Yugoslavs 1.1%, Bosniaks 1.8%, Montenegrin 0.9%, other 8% (2002 census)

Serbian (official) 88.3%, Hungarian 3.8%, Bosniak 1.8%, Romany (Gypsy) 1.1%, other 4.1%, unknown 0.9% (2002 census)

Serbian Orthodox 85%, Catholic 5.5%, Protestant 1.1%, Muslim 3.2%, unspecified 2.6%, other, unknown, or atheist 2.6% (2002 census)

7,276,604 (July 2012 est.)

-0.464% (2012 est.)

9.17 births/1,000 population (2012 est.)

13.81 deaths/1,000 population (July 2012 est.)

0 migrant(s)/1,000 population (2012 est.)

BELGRADE (capital) 1.115 million (2009)

12 deaths/100,000 live births (2010)

1.4 children born/woman (2012 est.)

9.9% of GDP (2009)

2.035 physicians/1,000 population (2007)

5.4 beds/1,000 population (2007)

0.1% (2009 est.)

6,400 (2009 est.)

fewer than 100 (2009 est.)

1.8% (2006)

4.7% of GDP (2008)

republic

167 municipalities (opstine, singular - opstina)

5 June 2006 (from Serbia and Montenegro)

National Day, 15 February

adopted 8 November 2006; effective 10 November 2006

civil law system

has not submitted an ICJ jurisdiction declaration; accepts ICCt jurisdiction

18 years of age; universal

unicameral National Assembly (250 seats; deputies elected according to party lists to serve four-year terms)

courts of general jurisdiction (municipal courts, district courts, Appellate Courts, the Supreme Court of Cassation); courts of special jurisdiction (commercial courts, the High Commercial Court, the High Magistrates Court, the Administrative Court)

Alliance of Vojvodina Hungarians or SVM [Istvan PASZTOR]; Bosniak Democratic Union or BDU [Elmir ELFIC]; Democratic Alliance of Croats in Vojvodina or DSHV [Petar KUNTIC]; Democratic Party or DS [Boris TADIC]; The Greens of Serbia or ZS [Ivan KARIC]; Christian Democratic Party of Serbia or DHSS [Olgica BATIC]; Democratic Party of Serbia or DSS [Vojislav KOSTUNICA]; Serbian Progressive Party [Aleksandar VUCIC]; Liberal Democratic Party or LDP [Cedomir JOVANOVIC]; New Serbia or NS [Velimir ILIC]; Albanian Coalition of Presevo Valley [Riza HALIMI]; Party of United Pensioners of Serbia or PUPS [Jovan KRKOBABIC]; Serbian Renewal Movement or SPO [Vuk DRASKOVIC]; League of Social Democrats of Vojvodina or LSV [Nenad CANAK]; Socialist Party of Serbia or SPS [Ivica DACIC]; United Regions of Serbia [Mladan DINKIC]; United Serbia or JS [Dragan "Palma" MARKOVIC]; None of the Offered Options or NOPO [Nikola TULIMIROVIC]; Social Democratic Party of Serbia or SDPS [Rasim LJAJIC]; Party of Democratic Action of the Sandzak or SDA [Sulejman UGLJANIN]; Rich Serbia [Zaharije TRNAVCEVIC]; People's Party [Maja GOJKOVIC]

Obraz (Orthodox clero-fascist organization); 1389 (Serbian nationalist movement); Dveri (Movement for the Life of Serbia)

BIS, BSEC, CE, CEI, EAPC, EBRD, EU (candidate country), FAO, G-9, IAEA, IBRD, ICAO, ICC, ICRM, IDA, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC, MIGA, MONUSCO, NAM (observer), OAS (observer), OIF (observer), OPCW, OSCE, PCA, PFP, SELEC, UN, UNCTAD, UNESCO, UNFICYP, UNHCR, UNIDO, UNIFIL, UNMIL, UNOCI, UNWTO, UPU, WCO, WHO, WIPO, WMO, WTO (observer)

three equal horizontal stripes of red (top), blue, and white - the Pan-Slav colors representing freedom and revolutionary ideals; charged with the coat of arms of Serbia shifted slightly to the hoist side; the principal field of the coat of arms represents the Serbian state and displays a white two-headed eagle on a red shield; a smaller red shield on the eagle represents the Serbian nation, and is divided into four quarters by a white cross; a white Cyrillic "C" in each quarter stands for the phrase "Only Unity Saves the Serbs"; a royal crown surmounts the coat of arms

double-headed eagle

Serbia has a transitional economy mostly dominated by market forces, but the state sector remains large and many institutional reforms are needed. The economy relies on manufacturing and exports, driven largely by foreign investment. MILOSEVIC-era mismanagement of the economy, an extended period of international economic sanctions, and the damage to Yugoslavia's infrastructure and industry during the NATO airstrikes in 1999 left the economy only half the size it was in 1990. After the ousting of former Federal Yugoslav President MILOSEVIC in September 2000, the Democratic Opposition of Serbia (DOS) coalition government implemented stabilization measures and embarked on a market reform program. After renewing its membership in the IMF in December 2000, Yugoslavia continued to reintegrate into the international community by rejoining the World Bank (IBRD) and the European Bank for Reconstruction and Development (EBRD). Serbia has made progress in trade liberalization and enterprise restructuring and privatization, but many large enterprises - including the power utilities, telecommunications company, natural gas company, national air carrier, and others - remain in state hands. Serbia has made some progress towards EU membership, signing a Stabilization and Association Agreement with Brussels in May 2008, and with full implementation of the Interim Trade Agreement with the EU in February 2010, but a decision on candidate status has been postponed to 2012. Serbia is also pursuing membership in the World Trade Organization, and accession negotiations are at an advanced stage. Structural economic reforms needed to ensure the country's long-term prosperity have largely stalled since the onset of the global financial crisis. Serbia, however, is slowly recovering from the crisis. Economic growth in 2011 was 2.0%, following a modest 1.0% increase in 2010 and a 3.5% contraction in 2009. High unemployment and stagnant household incomes are ongoing political and economic problems. Serbia signed a new $1.3 billion Precautionary Stand By Arrangement with the IMF in September 2011 that was set to expire in March 2013, but the program was frozen in early 2012 because the 2012 budget approved by parliament deviates from the program parameters. Growing deficits constrain the use of stimulus efforts to revive the economy, while Serbia's concerns about inflation and exchange rate stability preclude the use of expansionary monetary policy. Serbia adopted a new long-term economic growth plan in 2010 that calls for a quadrupling of exports over ten years and heavy investments in basic infrastructure. Since the plan was adopted, Serbia has increased its exports significantly. Major challenges ahead include: high unemployment rates and the need for job creation; high government expenditures for salaries, pensions and unemployment benefits; a growing need for new government borrowing; rising public and private foreign debt; attracting new foreign direct investment; and getting the IMF program back on track. Other serious challenges include an inefficient judicial system, high levels of corruption, and an aging population. Factors favorable to Serbia's economic growth include a strategic location, a relatively inexpensive and skilled labor force, free trade agreements with the EU, Russia, Turkey, and Central European Free Trade agreement countries; and a generous package of incentives for foreign investments.

$79.88 billion (2011 est.)

$78.48 billion (2010 est.)

$77.7 billion (2009 est.)

$45.06 billion (2011 est.)

1.8% (2011 est.)

1% (2010 est.)

-3.5% (2009 est.)

$10,800 (2011 est.)

$10,600 (2010 est.)

$10,500 (2009 est.)

2.92 million (November 2011 est.)

23.4% (2011 est.)

20.1% (2010 est.)

9.2% (2010 est.)

28.2 (2008)

30 (2003)

17% of GDP (2011 est.)

39% of GDP (2011 est.)

-4.4% of GDP (2011 est.)

45.1% of GDP (2011 est.)

42.9% of GDP (2010 est.)

11.2% (2011 est.)

6.2% (2010 est.)

9.75% (15 December 2011)

12% (17 January 2011)

17.17% (31 December 2011 est.)

12.43% (31 December 2010 est.)

$5.783 billion (31 December 2011 est.)

$3.195 billion (31 December 2010 est.)

$18.55 billion (31 December 2011 est.)

$17.16 billion (31 December 2010 est.)

$22.81 billion (31 December 2011 est.)

$21.79 billion (31 December 2010 est.)

$8.365 billion (31 December 2011)

$9.69 billion (31 December 2010)

$11.52 billion (31 December 2009)

wheat, maize, sugar beets, sunflower, raspberries; beef, pork, milk

base metals, furniture, food processing, machinery, chemicals, sugar, tires, clothes, pharmaceuticals

2.1% (2011 est.)

-$4.122 billion (2011 est.)

-$3.115 billion (2010 est.)

$11.78 billion (2011 est.)

$9.819 billion (2010 est.)

iron and steel, rubber, clothes, wheat, fruit and vegetables, nonferrous metals, electric appliances, metal products, weapons and ammunition

Germany 11.3%, Bosnia and Herzegovina 11.2%, Bosnia and Herzegovina 10.1%, Montenegro 7.6%, Romania 6.3%, Russia 5.4%, Macedonia 4.9%, Macedonia 4.4% (2011 est.)

$19.45 billion (2011 est.)

$16.16 billion (2010 est.)

Russia 12.8%, Germany 10.6%, Italy 8.5%, China 7.2%, Hungary 4.6% (2011 est.)

$16.85 billion (31 December 2011 est.)

$15.19 billion (31 December 2010 est.)

$31.53 billion (31 December 2011 est.)

$32.22 billion (31 December 2010 est.)

$24.4 billion (31 December 2009 est.)

$11.95 billion (2006 est.)

$NA

Serbian dinars (RSD) per US dollar -

73.333 (2011 est.)

77.729 (2010 est.)

67.634 (2009)

62.9 (2008)

54.5 (2007)

36.06 billion kWh (2011)

35.5 billion kWh (2011)

2.017 billion kWh (2011 est.)

1.9 billion kWh (2011)

8.359 million kW (2009 est.)

66.1% of total installed capacity (2009 est.)

0% of total installed capacity (2009 est.)

26.6% of total installed capacity (2009 est.)

0% of total installed capacity (2009 est.)

13,160 bbl/day (2011 est.)

0 bbl/day (2009 est.)

45,000 bbl/day (2009 est.)

77.5 million bbl (1 January 2012 est.)

55,960 bbl/day (2008 est.)

81,440 bbl/day (2011 est.)

3,981 bbl/day (2011 est.)

27,330 bbl/day (2008 est.)

517 million cu m (2011 est.)

2.51 billion cu m (2011 est.)

0 cu m (2011 est.)

2.15 billion cu m (2011 est.)

48.14 billion cu m (1 January 2012 est.)

49.92 million Mt (2010 est.)

3.03 million (2011)

10.182 million (2011)

.rs

1.102 million (2010)

4.107 million (2009)

30 (2012)

2 (2012)

587 km (primarily on the Danube and Sava rivers) (2009)

Serbian Armed Forces (Vojska Srbije, VS): Land Forces Command (includes Riverine Component, consisting of a river flotilla on the Danube), Air and Air Defense Forces Command (2010)

18 years of age for voluntary military service; conscription abolished effective December 2010; service obligation - 6 months, with reserve obligation to age 60 for men and age 50 for women (2010)

Serbia with several other states protest the U.S. and other states' recognition of Kosovo's declaration of its status as a sovereign and independent state in February 2008; ethnic Serbian municipalities along Kosovo's northern border challenge final status of Kosovo-Serbia boundary; several thousand NATO-led Kosovo Force peacekeepers under United Nations Interim Administration Mission in Kosovo authority continue to keep the peace within Kosovo between the ethnic Albanian majority and the Serb minority in Kosovo; Serbia delimited about half of the boundary with Bosnia and Herzegovina, but sections along the Drina River remain in dispute

transshipment point for Southwest Asian heroin moving to Western Europe on the Balkan route; economy vulnerable to money laundering