ECONOMY OF JABLANICA AND PCINJ DISTRICTS

27. January 2014.

Leskovac – “The macroeconomic environment in which the cities of Leskovac and Vranje are situated is an aggravating factor for businessesmen, especially because there are 11 underdeveloped municipalities in the region. In addition, there is a decline in domestic and foreign demand, as well as unavailability of the sources for financing, which is primarily reflected in the very expensive bank loans, which are unfavorable for entrepreneurs. There are also high costs of production and infrastructure, as well as high utility costs. Also, the unemployment rate is high, and due to the difficulties with carrying out business operations, there is also the problem of unpaid and low wages,” says an associate at the Regional Chamber of Commerce in Leskovac (RCCL), Natasa Dobric.

The exports of Jablanica District total 126 million dollars and they increased by 28 percent as against the first 10 months of 2012. This is due to the fact that the "Falke", "Istanbul Jeans" and "Jura"companies are currently located in Leskovac, which export everything they produce. The imports total 90.7 million dollars, and they dropped by 19 percent as against the first 10 months of 2012. The exports of Pcinj District total 137.2 million dollars, which is an increase of 9 percent, while the imports were 131.3 million dollars, which is an increase of 18 percent", she said.

The largest volume of trade is conducted with the EU countries, and it totals 67 percent, while the trade done with the CEFTA countries is 16 percent, which leaves 17 percent for the entire foreign trade with other countries. According to the Statistics Office, the prices of goods and services in October 2013, compared to September , in the area of these two districts, increased, on average, by 0.2 percent . Consumer prices in October 2013, compared to the same month of 2012, increased by 2.2 percent, while compared to December 2012, they increased by 2.6 percent.

The paid net wages, those without taxes and contributions, amount to 33, 324 dinars in Jablanica District and to 34. 056 dinars in Pcinj District.

Speaking of the issue of unemployment, according to the National Employment Office, there are currently 37,274 uneployed persons in Jablanica District and 28,097 of them in Pcinj District.

Source: Jugpress and Coordination Body