fikcija

1. fiction; invention
   Ta priča o njegovom bogatstvu je čista fikcija. — That story about his wealth is pure fiction.
   Granica između stvarnosti i fikcije ovde je tanka. — The line between reality and fiction is thin here.
2. (of literature and film) fiction
   Više volim fikciju nego biografije. — I prefer fiction to biographies.
   Ovaj film je fikcija, a ne dokumentarac. — This film is fiction, not a documentary.

For fiction as a literary category, Serbians often say "beletristika" or "proza".