Sitemap

What The Pandemic Has Taught Us

If the new reality that we’ve entered had to be summarised in a telegraph, its key words would be solidarity, putting people first, commitment to reform, dialogue and digital transformation. In the future, the bar that’s been set during the pandemic should be raised constantly

Somewhat surprising data for June and July arrived recently, showing that the recovery of the Serbian economy is happening much faster than we’d expected, and that’s happening primarily in the fields of industrial production and foreign trade. However, to a great extent, how long such trends will last depends primarily on world trends, where the biggest contraction in trade since World War II is expected, as well as a drop in the level of foreign investment by a minimum of 30 to 40 per cent.

Experts believe that, under such circumstances, Serbia must work on the diversification of production and supply, which could also be an incentive for attracting new forms of foreign direct investment.

The need for a new growth model isn’t a new topic. It has been discussed in Serbia for several years by both international financial institutions and local experts. This new model envisages the shifting of the backbone of growth to the newly formed structure of larger and smaller Serbian enterprises, primarily exporters, which emerged in the company of large foreign investments that contributed to building a modern economic structure on the ruins of the old system after the 2000s.

In the time that follows, both the new government of Serbia and the economy face a period in which little can be predicted. According to IMF forecasts, we will probably experience an even deeper economic downturn, with unknowns regarding the scale of the pandemic and the promise of a vaccine that will make life easier, but in some new reality. That reality now needs to be embraced creatively

Such a model does not renounce foreign investments, of course, but does imply a different approach in attracting such investments, based primarily on the creation of a business environment that will be based on the rule of law, equal conditions of doing business for all and transparency.

Every crisis, and particularly such a strong one as this, leads to the loss of a large number of jobs, and, according to IMF forecasts, between 140,000 and 160,000 will be lost in Serbia. Of course, this also means that a large number of companies, primarily small ones, will collapse. At the same time, such conditions also lead to the birth of some new business initiatives and new ways of working within existing business structures, or completely new ones.

If we had to draw several conclusions from the course of the crisis to date that would be relevant for the period ahead, they could be these: investing in reforms pays off, because if that weren’t the case then Serbia would not have met such a crisis with a far better fiscal position than the one it had earlier; an honest, thorough and timely dialogue with all stakeholders in the economy is key to success, both in crisis situations like a pandemic and in “peacetime” periods; anyone who entered into the process of digital transformation, either prior to the crisis or under the forced circumstances of the crisis, increased their chances of overcoming existing market challenges and preparing for the new period of pronounced digital communication; Last but certainly not least, the crisis has shown us that people – their health and safety, solidarity, responsibility towards others, colleagues, companies and society – form the basis for building communities that will be able to respond to existing challenges and new ones that emerge. 

Related Articles

Global Growth Hopes Keep Shares Near Record High

World stocks took a well-earned rest near record highs on Wednesday, as an International Monetary Fund forecast of the strongest global growth since the...

Serbia Successfully Completes Arrangement With IMF

The IMF Executive Board made the decision on the successful completion of the fifth and final review of the results of Serbia’s economic programme...

By Brajendra Navnit, Ambassador and Permanent Representative of India to WTO

Science Has Delivered, Will The WTO Deliver?

TRIPS waiver proposal from India, South Africa and other members A proposal by India, South Africa and eight other countries calls on the World Trade...

The Foreign Investors Council Held Its Regular Annual Assembly

The Foreign Investors Council held the regular annual session of the Assembly summarizing the key achievements and making solid basis for the future growth....

FIC Telco & Digital Economy Committee Created

Telecommunication & Digital Economy Committee was the last one to be established as part of the reorganization of FIC working committees in 2020. It...

Foreign Investors Council Presented The White Book 2020

The Foreign Investors Council presented the White Book 2020 to the highest Government officials and marked its 18th anniversery. Respecting epidemiological regulations, the presentation...

Mike Michel, Foreign Investors Council President and CEO of Telenor Serbia

Mike Michel: A Shared Challenge Needs a Shared Response

It is now more important than ever for the FIC to unite its efforts with the Government in working on improvements to regulatory, legal...

More...

Minister of Foreign Affairs of Cyprus

Support For The European Perspective And Dedication To The Principles Of International Law

We had a very open and constructive exchange of opinions regarding the latest developments in the Western Balkans, as well as the European perspective...

Time Of Paradoxes

The European Parliament has adopted the Report on Serbia that cites scandals and pressure exerted on the media and non-governmental organisations. Serbia has also...

Dušan Milisavljević Ph.D., Specialist Otolaryngologist And Professor At The University Of Niš Faculty Of Medicine

Charlatans Confuse Citizens

The health system in Serbia responded solidly to the challenge of the pandemic, showing resilience and perseverance based on the enthusiasm and love of...

Dr Jasmina Knežević, Founder And Director Of Bel Medic

Only Intelligent And Creative People Cooperating Will Save Humanity

We are not a rich, well-organised country with a practise of planning, but our public healthcare sector reorganised itself quickly and successfully. However, the...

News

EU Delegation and Council of Europe Office Welcome New Rules Aimed at Preventing Undue Influence on Judges and Prosecutors

The Serbian High Judicial Council (HJC) and the State Prosecutorial Council (SPC) have adopted on 15 and 19 April 2021...

The European Commission And Austria Secure COVID-19 Vaccines For The Western Balkans

The European Commission and Austria are announcing today the conclusion of agreements for the delivery of COVID-19 vaccines for...

Greece Removes Quarantine For Travellers From EU And Other Countries

Greece has lifted its quarantine requirement for travellers from the European Union provided they have been vaccinated or tested...

WHO Describes Immunisation Process In Serbia As Impressive

Prime Minister Ana Brnabic talked with World Health Organisation (WHO) Regional Director for Europe Hans Kluge about the epidemiological...

Humanitarian Cash Transfers For Families With Children As Part Of The COVID-19 Recovery Response

Darija Kisic Tepavcevic, Minister of Labour, Employment, Veteran and Social Affairs, Anthony Godfrey, US Ambassador to the Republic of...

EU Delegation and Council of Europe Office Welcome New Rules Aimed at Preventing Undue Influence on Judges and Prosecutors

The Serbian High Judicial Council (HJC) and the State Prosecutorial Council (SPC) have adopted on 15 and 19 April 2021...

The European Commission And Austria Secure COVID-19 Vaccines For The Western Balkans

The European Commission and Austria are announcing today the conclusion of agreements for the delivery of COVID-19 vaccines for...

Greece Removes Quarantine For Travellers From EU And Other Countries

Greece has lifted its quarantine requirement for travellers from the European Union provided they have been vaccinated or tested...

WHO Describes Immunisation Process In Serbia As Impressive

Prime Minister Ana Brnabic talked with World Health Organisation (WHO) Regional Director for Europe Hans Kluge about the epidemiological...

Humanitarian Cash Transfers For Families With Children As Part Of The COVID-19 Recovery Response

Darija Kisic Tepavcevic, Minister of Labour, Employment, Veteran and Social Affairs, Anthony Godfrey, US Ambassador to the Republic of...

EU Delegation and Council of Europe Office Welcome New Rules Aimed at Preventing Undue Influence on Judges and Prosecutors

The Serbian High Judicial Council (HJC) and the State Prosecutorial Council (SPC) have adopted on 15 and 19 April 2021...

The European Commission And Austria Secure COVID-19 Vaccines For The Western Balkans

The European Commission and Austria are announcing today the conclusion of agreements for the delivery of COVID-19 vaccines for...

Greece Removes Quarantine For Travellers From EU And Other Countries

Greece has lifted its quarantine requirement for travellers from the European Union provided they have been vaccinated or tested...

WHO Describes Immunisation Process In Serbia As Impressive

Prime Minister Ana Brnabic talked with World Health Organisation (WHO) Regional Director for Europe Hans Kluge about the epidemiological...

Humanitarian Cash Transfers For Families With Children As Part Of The COVID-19 Recovery Response

Darija Kisic Tepavcevic, Minister of Labour, Employment, Veteran and Social Affairs, Anthony Godfrey, US Ambassador to the Republic of...