Serbia Aims To Attract Foreign Retailers To Curb High Prices

In interviews with state broadcaster RTS and daily Politika, Lazarević confirmed that the recent Regulation on Margin Limitation was not merely a temporary measure, ESM Magazine reported.

Rather, it was a deliberate “scratching of the surface” intended to expose long-standing pressures on suppliers and the inflated margins traditionally passed on directly to consumers.

Lazarević highlighted that inflation fell from 4.7% in August 2025 to 2.8% in November 2025 – the lowest rate recorded since 2021 – attributing this mainly to the margin regulation.

She noted that consumers are already benefitting from the return of promotional pricing and noticeable reductions in the cost of private-label products.

Legislative Road Map

While the current regulation is set to expire on 1 March 2026, it will be succeeded by a more comprehensive framework.

Lazarević announced that the Law on Unfair Trading Practices is expected to be adopted within the next three months.

This legislation is poised to introduce a “strict penal policy” designed to ensure greater market transparency.

Further empowering the public, the Open Data Portal already provides publicly available price lists, while a new app, currently under development, will allow users to create personalised shopping baskets and compare prices across all 27 retail chains in real time.

Addressing The Price Gap

Lazarević highlighted that some private-label products in Serbia are currently 40-50% more expensive than in their countries of origin, despite Serbian average incomes being significantly lower.

While she reiterated that foreign investors remain welcome, she warned that they must adapt to local economic realities.

According to Lazarević, retailers can no longer simply impose profit targets set by foreign headquarters at the expense of the Serbian public.

New-Player Competition

Central to the government’s long-term strategy is market diversification.

“We definitely need more players who, with their good business practices and business models, will bring what we are currently missing: downward pressure on prices,” Lazarević told RTS.

To address this, the ministry is actively working to attract major international chains.

Lazarević confirmed that the Italian discount giant Eurospin is currently in the “preparation phase”, actively scouting locations across the country.

She added that the Serbian market requires even more players to reach a healthy level of competition.