The article examines how competitive the banking sector in Serbia is and how concentrated it is. They looked at data from 2016 to 2019 to see if there are a few big banks dominating the market. The results show that while there are many banks in Serbia, the level of concentration is low but close to moderate. This suggests there could be a risk of a few big banks controlling the market. Overall, the findings indicate that there is healthy competition among banks in Serbia, but more analysis is needed to fully understand the situation.