Serbia introduces Green Budget, earmarks EUR 1 billion for projects

Serbia’s 2025 Budget Law includes the first Green Budget annex, listing 64 projects to be implemented by the ministries of environmental protection, agriculture, construction, and energy. More than half of the funds are going to the railway.

The total amount planned for 64 green projects in the Green Budget is RSD 118.5 billion (EUR 1 billion). The National Assembly passed the Budget Law with the item for the first time.

According to the Ministry of Finance, the Green Budget annex includes provisions for the first time for projects and activities specifically marked for contributing to environmental protection.

The Green Budget is now a mandatory part of the budget, in line with the latest amendments to the Law on the Budget System, the ministry pointed out. The section was envisaged in a roadmap and a methodology for determining green projects.

In the 2025 budget, four ministries labeled their programs and projects as green

The goal of green labeling is to ensure a better allocation of resources and encourage the implementation of projects that contribute to environmental protection, energy efficiency, reduction of greenhouse gas emissions, renewable energy sources, sustainable management of waste and water, and the quality of life of citizens, according to the ministry.

The green projects label was approved for projects that improve the environment, the Green Budget reads.

In the budget for 2025, four ministries marked some of their activities and projects as green. Most are for mitigating climate change as the primary goal of environmental protection, according to the document.

EUR 528.4 million earmarked for railways

Of the total amount of RSD 118.5 billion (EUR 1 billion), RSD 61.8 billion (EUR 528.4 million) is intended for the construction or reconstruction of railways and a proposed subway system in Belgrade. The six items are important for mitigating climate change, the document reads.

An increase in railway transportation contributes to environmental protection and the reduction of CO2 emissions, as opposed to road transportation, and increases energy efficiency, according to the new law.

Here are the projects with the highest estimated value in the Green Budget:

• RSD 18 billion (EUR 153.9 million) – Hungarian-Serbian railway;
• RSD 18 billion (EUR 153.9 million) – railway between the Zemun Polje district in Belgrade and the proposed national stadium at a nearby site;
• RSD 13 billion (EUR 111.1 million) – Niš-Dimitrovgrad railway;
• RSD 11.5 billion (EUR 98.3 million) – Belgrade urban subway and railway;
• RSD 10 billion (EUR 85.5 million) – sewerage and infrastructure for the disposal of municipal solid waste;
• RSD 7.2 billion (EUR 61.6 million) – flood protection;
• RSD 5 billion (EUR 42.7 million) – central sewerage system for the City of Belgrade.