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COVER H.E. Mr. MICHAEL DAVENPORT, Head of the EU Delegation to the Republic of Serbia

EU & Serbia SIDE BY SIDE CONTENTS

PAGE 8

“I sincerely hope that we can all mobilise and use the reconstruction effort to bolster the Serbian economy and move it up into a higher gear. The challenge will be to integrate the reconstruction with the government’s priority of revitalising and reforming the economy...”

SOLIDARITY RETURNS

JOVANA GLIGORIJEVIĆ, Editor

EU & SERBIA SIDE BY SIDE

H.E. Mr. MICHAEL DAVENPORT, Head of the EU Delegation to the Republic of Serbia

H.E. Mr. PEKKA ORPANA, Ambassador of Finland to Serbia

SERBIAN GOVERNMENT REFORMS 84

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COMMENT

Solidarity

Returns Belgrade looks like a beehive these days. Myriads of young men are heading towards Branko’s Bridge and Makiš to load sand into bags, build embankments and try to beat the raging River Sava. Supermarkets are full of people shopping like crazy, but what they are actually doing is buying things for the flood victims

JOVANA GLIGORIJEVIĆ, Editor

ave you heard of a generation of young people called ‘The clothes are for toddlers and which for babies?” cries out a stuMillennials’ in the West? These are the people born bedent at one of the sorting locations. “It says on the label”, anothtween 1980 and 1990, the so-called ‘Me’ generation of aler student responds. legedly spoiled, egocentric, selfish and heartless individuTruth be told, this generation is probably using social networks als. They think the world revolves around them and that their parents, like Facebook and Twitter as their main communication vehicles, teachers and employers serve one purpose only: to satisfy their needs but it seems there is a tacit agreement among them that posting and demands. Members of the Balkan ‘Me’ generation are known for about anything other than the flood relief would be in bad taste. spending all of their time on computers, Facebook and Twitter, while Occasionally, they comment about the state authorities who have being inept at living real life and dealing with crisis situations. let us down yet again, about MPs that won’t give up their quarterly Well, it is these Millennials, even those born in the Western fees in aid of the flood victims and politicians who are using every Balkans, who are deserving of a huge apology from sociologists, opportunity to get photographed in rescue boats when these respsychologists and other commentators and analysts of our social cue boats should have been actually used for evacuations. Still, evereality for what they have done during the last two weeks of May. rybody agrees, these people are not our priority at the moment; we Unfortunately, in order for the Millennials to show their altruistic have to help those who actually need help. The people are connectside, Serbia, Bosnia-Herzegovina and Croatia had to be hit by floods ing via social networks in order to be more efficiently organised. “I the severity of which haven’t been seen in the last thousand years. have a van and enough fuel. Just find me 900 litres of water that I Belgrade looks like a beehive these days. Myriads of young men can take to Palanka”, one post reads. The first comment is made afare heading towards Branko’s Bridge and Makiš to load sands inter ten minutes of posting and in about half an hour the van full of to bags, build embankments and try to beat bottled water is heading towards Smederevska the raging River Sava. Those who are not dePalanka, where the local hospital had run out Because they have fending Belgrade from the floods have left for of water for dialysis patients. Via social netnothing material Šabac, Sremska Mitrovica, Morović and other works people have managed to reunite ownto give, Roma places where the flood situation has been criters and their lost pets, locate missing persons women who are still ical. They are driving from relief centre to relief or petition for more help. The instruments that centre, collecting things people have donatprevent dissemination of misinformation are breastfeeding are ed and taking them to Smederevska Palanka, developing spontaneously. coming to shelters Paraćin, Krupanj... Supermarkets are full of Solidarity is the strongest among those to express their milk, who have the least to give and who know all people who are shopping like crazy, but what which is then given to too well what it feels like to have nothing. they are actually doing is buying things for the flood victims. One can tell they are not shopRoma women who are still breastfeeding are evacuated babies ping for themselves, since they are discussing even coming to shelters to help. Since they where to get disinfectants, which brand of nappies are the best and have nothing material to give, they are expressing their breast milk, what other things those evacuated from the flooded areas need. which is then given to the evacuated babies. Roma communities Let’s be clear about one thing – these people are not wealthy by any from Niš and Kosovska Mitrovica have donated their welfare aid to stretch of the imagination. “I haven’t received my salary yet, but I the flood victims. am going to write a cheque that will go through in September,” says Unfortunately, everything we have been doing these days has a young woman loading her shopping cart with children’s toothnot been nearly enough to remedy the consequences of the floods. paste, toothbrushes and sanitary towels. However, if there is a common good that can be derived from all of The shelters for evacuated flood victims and humanitarian this it is the fact that there is awareness that although the floods aid collection locations are swarming with young women who are have caused misery to some, the problems and damage they have carefully sorting out through donations. “How can you tell which created are shared by all of us and we need to tackle them together. ■ 6 |

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INTERVIEW

EU & Serbia

SIDE BY SIDE H.E. Mr. MICHAEL DAVENPORT HEAD OF THE EU DELEGATION TO THE REPUBLIC OF SERBIA

"I sincerely hope that we can all mobilise and use the reconstruction effort to bolster the Serbian economy and move it up into a higher gear. The challenge will be to integrate the reconstruction with the government's priority of revitalising and reforming the economy," says H.E. Mr. Michael Davenport exclusively for CorD magazine

hen it comes to reforms, the EU is in a position to provide support in terms of expertise, transfer of know-how, European standards, trade and investment and, according to the head of the EU Delegation to Serbia, the recent floods showed true EU solidarity in action and that Serbia can rely on the support of the European Union

â&#x2013; Your appointment as Head of the EU Delegation to the Republic of Serbia coincided with the election and formation of the new government and the first steps taken following the signing of the Brussels Agreement. What dilemmas do Serbia and the EU need to resolve immediately for the accession process to proceed without a hitch? Which key steps in the reforms announced by the government are considered by the EU to be especially significant?

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- Of course the governmentâ&#x20AC;&#x2122;s main concern, as we speak and in the nearest future, is to deal with the consequences of the recent catastrophic floods, to rescue people and

SOLIDARITY

CHANCE

NEGOTIATIONS

When it comes to use of the European Solidarity Fund, Serbia is already treated like a Member State. There is no difference; it is on an equal footing. Europe is indeed already at Serbia's side.

Serbia has an historically unique chance to transform itself into a modern, affluent and dynamic society as it joins the EU.

The duration of negotiations will be defined primarily by Serbia's progress in fulfilling benchmarks and addressing outstanding challenges in all areas of the EU acquis.

help them to return to normal life as soon as possible. The EU and public administration. Serbia has a historically unique chance to its Member States responded immediately to Serbia’s request for transform itself into a modern, affluent and dynamic society as assistance with massive and comprehensive emergency and huit joins the EU. The new government led by Prime Minister Vučić and First manitarian support. At least 19 Member States offered assistance Deputy Prime Minister Dačić fully understands this and is comthrough the EU Civil Protection Mechanism. EULEX donated valuable equipment and supplies and brought in a heavy lift and rescue mitted to making it happen. Baroness Ashton and Commissioner helicopter. Specialist teams from the EU with high capacity pumps Štefan Füle came to Belgrade immediately after the formation worked tirelessly at the Kostolac and Nikola Tesla power plants of the new government to lend their support and show the EU’s to keep power supplies going. We are working closely with the Serbian authorities and other donors to assess the damage and activate substantial medium-and-long-term financial assistance to support the reconstruction efforts. Two commissioners – Georgieva and Hahn – visited Serbia immediately after the disaster in order to support the Serbian people and discuss what help the country needs with Serbia’s leadership. This is true EU solidarity in action. Serbia can rely on the support of the European Union. When it comes to the use of the European Solidarity Fund, Serbia is already treated like a Member State. There is no difference; it is on an equal footing. Europe is indeed already at Working meeting of the EU Delegation in Serbia Serbia’s side. Normalisation of relations commitment. We will do our utmost to I sincerely hope that we can all mobilise and use the reconstruction effort to bolster the support Serbia in its endeavour. between Belgrade and Serbian economy and move it up into a higher We also welcome the new governPristina is an immense gear. The challenge will be to integrate the rement’s declared commitment to the challenge, which will rule of law, the protection of fundaconstruction with the government’s priority of continue in the coming revitalising and reforming the economy. The mental rights and minorities, the fight European Commission is also putting a renewed years – many issues still against corruption and reform of pubemphasis on economic governance and we are need to be addressed, but lic administration. These are all “funeager to help Serbia to succeed in its far-reachdamentals first” elements which must it is primarily up to both be addressed successfully for the curing economic reform program. parties to decide where Voters have granted the new Government rent phase of accession negotiations a broad mandate to pursue reforms which are and how fast to progress to succeed. necessary to increase the wellbeing of the SerIn a broader context, the continued dialogue between Belgrade and Pristina should start bringing real bian people and modernise Serbia. The EU is in a position to supbenefits to ordinary people. Full normalisation of relations is esport these reforms, in terms of expertise, transfer of know-how, European standards, trade and investment. There is evidence sential for the stability and prosperity of the whole region. Cathy from elsewhere that smart reforms done as part of the EU accesAshton noted recently that Serbia is regaining its pivotal role in the region. Certainly, Serbia is an important partner for the EU. sion process can really turn a country around in a decade or so. Yes, it takes political leadership, national unity, and sometimes very difficult decisions, but Serbia can do it with the support that ■ Serbia made a major advancement in its European integration it has from the EU and its Member States – including funding for process last year. What EU accession priorities should Serbia be projects, technical advice, improvements and changes in legislamindful of right now? tion and its implementation, advice on efficient and transparent - Accession negotiations are proceeding smoothly. We appreciate cordeditorial@cma.rs |

116 June 2014 | 9

the high level of professionalism and engagement from the Serbian Chief Negotiator, Tanja Miščević, and her colleagues. The first screening report, for Chapter 32 (Financial Control), was submitted to the Council on 30th April. The screening reports for important Chapters 23 and 24, on the rule of law, fundamental rights, and justice and security, reached the Council in mid-May. As we speak, altogether 18 Chapters – more than half of all 35 Chapters – have started or completed the screening. The next step here will be the preparation of comprehensive Action Plans by Serbia. This is a top priority for the Serbian government.

Comprehensive normalisation of relations is an immense challenge, which will continue in the coming years – many issues still need to be addressed, but it is primarily up to both parties to decide where and how fast to progress. Both see normalisation of relations as a significant aspect of their EU aspirations. ■ Despite the EU’s repeated assertions that the speed of individu-

al countries’ accessions hinges on their mutual relations, regional cooperation remains unsatisfactory. Both EU Member States from the region and pre-accession countries are to blame. What is the solution?

■ During their recent official visits to Serbia, both Baroness Ashton and Štefan Füle said that the EU was ready to help Serbia and accept certain idiosyncrasies regarding Serbian geopolitical interests. From today’s perspective, what similar issues could slow down Serbia’s accession process?

- Serbia is expected to align itself progressively with EU Common Foreign and Security Policy. All candidates have to align fully by the end of the negotiations. Serbia has embarked on these negotiations with a high level of ambition: clearly, we welcome that and are ready to support Serbia in moving forward. But for the EU, there is no set timeframe for accession negotiations. Each candidate country is assessed on its merits. The duration of negotiations will be defined primarily by Serbia’s progress in fulfilling benchmarks and addressing outstanding challenges in all areas of the EU acquis.

■ Predicting Serbia’s accession date is

Each accession poses its own challenges as the EU and its acquis continue to evolve. I can only agree with Cathy Ashton who said that no one should underestimate the capabilities of Mr Vučić

■ Relations between Belgrade and Pristina have long been one of the biggest obstacles to achieving permanent stability in the region. Following the agreement, do you feel the current relationship between Belgrade and Pristina is satisfactory to Brussels or should it be developed even further?

- Normalisation of relations between Belgrade and Pristina is important for regional stability. Both Belgrade and Pristina have shown great political courage and determination since the dialogue started, first at a technical level in 2011, then at a higher political level since 2012. The EU, and especially Cathy Ashton, has also invested a lot of effort into the process and progress made by both parties is impressive. The Brussels agreement of 19th April 2013 was a milestone that has brought the relationship between Belgrade and Pristina to a whole new level, but there are still some aspects where we need to continue our work in order for the agreement to be fully implemented. 10 |

- There is, of course, always room for improvement. But achievements in regional cooperation have in fact been quite positive. Serbia has been working hard to improve bilateral relations with its neighbours and we welcomed PM Vučić’s decision to visit Sarajevo as his first foreign visit. We encourage Serbia to address outstanding bilateral issues with neighbouring countries, both with Member States and other countries. These include border issues, reconciliation and war-related issues, or the situation of minorities.

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a popular activity here. Only recently, PM Aleksandar Vučić stated that the date when Serbia reaches the required standard for membership is more important that the accession date itself. Still, in your opinion, what is Serbia’s ‘pole position’ at the start of the accession process?

- The length of negotiations will be defined by Serbia’s progress, which the EU will support throughout. Each accession poses its own challenges as the EU and its acquis continue to evolve. I can only agree with Cathy Ashton who said that no one should underestimate the capabilities of Mr Vučić. ■ How much has Serbia progressed in terms of economic reform? Do you think the country has more specifically ‘prepared the ground’ for reforms rather than actually implementing them?

- Serbia has taken some positive steps to reform its economy. It has started fiscal consolidation efforts to halt the increase in public debt and announced several structural economic reforms. The actual implementation of these reforms will indeed be essential. On 6th May the EU’s “ECOFIN” Council (the Ministers of Finance of the EU) and Minister Krstić jointly agreed on a set of economic reforms to be carried out in 1-2 years. These concern public administration, the labour market, state-owned enterprises and the business environment (issues such as construction permits and red tape).

active in all 28 capitals, as all of them have to agree to the opening and closing of negotiation chapters and, ultimately, ratify Serbia’s accession to the EU. Serbia will need to rely heavily on the professionalism of its diplomats in supporting the goal of accession. If you look at opinion polls and election results in the EU, public opinion is now less enthusiastic about enlargement than it was ten years ago, when ten countries joined the EU in what is remembered as the Big The European Commission enlargement. This is due to many will support Serbia’s economic Bang factors, not least to the economic crisis reforms by allocating a which continues to affect many counsignificant share of its tries, as well as increases in legal and illegal immigration. At the same time, annual envelope of financial image in the EU is improving. assistance for Serbia to private Serbia’s This positive momentum should be built sector development and other upon. Concrete further progress on the growth enhancing measures accession track will be a big help here.

These reforms will make Serbia’s public finances sustainable and its economy more competitive. The European Commission will support these economic reforms by allocating a significant share of its annual envelope of financial assistance for Serbia to private sector development and other growth enhancing measures. ■ You have been quoted recently as

saying that Serbian diplomats could do more to promote the country. How would you assess the level of cooperation between the EU delegation and Serbian officials, and to what extent do both parties agree and share a consensus on the most important issues?

- At the level of officials, both in Belgrade and in Brussels, we have a full and shared understanding of priorities. We work closely on our common goal of preparing Serbia for joining the EU. I meet Serbian ministers regularly, especially Europe Minister Jadranka Joksimović. We already have an excellent working relationship with the new government. This government has set EU accession as its priority goal more clearly than any previous government. It is no secret that accession is decided in the capitals of all EU Member States. It is a smart thing for a candidate country to be

■ Following a long period of commendations in terms of the path Serbia has taken, you said recently that the media situation here is “very unsatisfactory” and that certain developments are rather unpleasant and unacceptable. What developments were you referring to?

- The last government recognised that the situation in media in Serbia was highly unsatisfactory. A lack of transparency with re-

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gard to media ownership and media financing opens the door to undue influence on editors and journalists. Legislation has yet to catch up with the transformation of the global media through digitalisation and mass internet access. That is why the government and parliament adopted a new media strategy. I was pleased to see that the Prime Minister included implementation of the media strategy among the priorities for the new government. The EU is working closely with the Ministry of Culture and Information on a set of three new media laws which, if properly implemented, can change things for the better. Both parliament and civil society will need to monitor implementation closely. There is also an expectation that independent institutions such as the Press Council and Broadcasting Agency will strengthen their role as watchdogs, putting the spotlight on infringement of media standards, especially when these threaten citizens’ rights. A particular cause of concern has been the readiness in some parts of the media to carry information leaked from judicial investigations. ■ You have said that implementing a me-

dia strategy, respecting the rights of minorities and the LGBT community, transparent business operations and advancing the business climate were the issues that Serbia and the EU should tackle together. When do you expect dialogue about these issues to commence?

as well as with the Foreign Minister, it is clear that Serbia shares the EU’s deep concern about the dangerous situation in Ukraine. Serbia has also made clear its support for Ukraine’s territorial integrity. The EU is looking to close partners and EU candidate countries to support EU efforts to resolve the crisis in Ukraine. All candidate countries are of course expected to align themselves progressively with the EU’s Common Foreign and Security Policy and to do so fully by accession. The EU and Ukraine share an objective which transcends bilateral cooperation: gradual progress towards political association and economic integration. The EU strongly supported the holding of free and fair presidential elections in Ukraine on 25th May. The Council welcomed the deployment of the OSCE/ ODIHR observation mission in which EU Member States actively participated. The European Union stands firm in upholding Ukraine’s unity, sovereignty, independence and territorial integrity and calls upon Russia to do likewise. We welcome steps taken by the Ukrainian authorities on constitutional reform and decentralization. In May the European Commission and the Ukrainian government signed Dialogue on fundamental a new “State Building Contract” programme worth €355 million. The EU rights and freedoms, which has also reconfirmed commitment to always feature prominently sign the remaining provisions of the in the Commission’s annual Association Agreement with Ukraine, Progress Report, has already including the Deep and Comprehensive Free Trade Area. started. These issues are

- Dialogue on these issues, which always feature prominently in the Cominterlinked with Chapters mission’s annual Progress Report, ■ The European elections are approach23 and 24, for which the has already started. These issues are ing fast. It has been predicted that Euro screening report has just been sceptics will win more parliamentary interlinked with Chapters 23 and 24, for which the screening report has just seats and that certain organisational and sent to the Council been sent to the Council. structural changes could occur. Do you anticipate significant changes within the EU following the election? I would like to underline that defending the rights of the LGBT community is actually about standing up for basic human rights - These elections are an important opportunity for citizens to exand not some “additional, special rights”. Rights to freedom of express their views. The European Parliament has a growing role in offering essential democratic checks and balances. This will of pression and assembly are rights guaranteed by the Serbian Concourse be a year of changes in Brussels as after the elections we stitution, from which every single citizen is entitled to benefit. can expect to see the formation of a new Commission and a new President of the Council. ■ What do you make of the official Serbian position regarding the crisis in Ukraine, given you stated recently that you expected EU partners and Serbia to support the EU’s official stance on Russia’s violation of Ukraine’s territorial integrity? EU High Representative and Vice President of the European Commission, Baroness Ashton, has been working hard to help resolve the crisis in Ukraine. What effect will the EU’s efforts have in terms of reaching a solution?

- From the many conversations I have had with the Prime Minister, 12 |

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■ There is also a possibility that the European Commission won’t

have an enlargement commissioner after the election. What ramifications would this have for Serbia and other pre-accession countries?

- This is no more than speculation. It will be up to the new Commission to make decisions on its structure. In any case, as Commissioner Füle has made clear, the commitment to the policy of enlargement will remain. ■

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INTERVIEW

Trust and

GROWTH H.E. Mr. PEKKA ORPANA AMBASSADOR OF FINLAND TO SERBIA

Growth potential comes from the trust the government’s actions will create among various economic actors, both nationally and abroad. When trust increases, so investments and the creation of new jobs will increase

ccording to H.E. Mr. Pekka Orpana, Finnish Ambassador in Belgrade, cooperation between Finland and Serbia is good, but could be improved, while the model of cooperation between the Nordic countries could be used to improve relations in the region of Southeast Europe.

■ Following the completion of elections in Serbia and the

formation of the new government, how does Finland view the route that the new government is planning to take?

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- The government programme presented by Prime Minister Aleksandar Vučić is a good roadmap to move forward. Serbia is in dire need of structural reforms of its economy and society. The priority of the government is the urgent stabilisation of the economy. To be sustainable, this will require restructuring of the public sector and strengthening the business environment to attract private investments. Building up a society with functioning rule of law is the basic requirement for Serbia to be a competitive economy and secure a place for its citizens. In that process, EU membership negotiations are a unique tool for Serbia to modernise the society, as the EU offers functioning standards to reach and will provide extensive help for Serbia on that road. As a member of the European Union, Finland is a partner in that process.

POTENTIAL

EDUCATION

NEIGHBOURS

I see great potential for Serbia as a location for any kind of manufacturing industries of global enterprises. Serbia can be a very competitive alternative to, for instance, Asian countries

The fundamental question is really that the government should invest a lot of effort to make the education system efficient. Education seems to be a priority for your new government.

Nordic companies are natural competitors in many sectors, but at the same time we cooperate very closely in order to create good conditions for our companies to succeed.

■ Where, from the perspective of Finland, do you see room for the rapid economic development of Serbia and where do you see Serbia’s greatest potential?

small nation can have. As a result, in Finland we now have equal opportunities to all for high quality education and teachers are well educated and highly respected. An interesting detail is that in 1943 Finland was the first country in the world to adopt a law on free school meals. Nowadays our pupils enjoy free lunches at school until the end of secondary school.

- The pace of economic development really now depends mainly on how efficient the Serbian government will be in the implementation of its programme. The actions the government plans to take may slow down the growth of the economy for some time, but that is the price one has to pay in order to make growth possible in the future. The growth potential comes from the trust the government’s actions will create among various economic actors, both nationally and abroad. When trust increases, so investments and the creation of new jobs will increase. When the regulatory framework for businesses is sound and fair, the grey economy will start to diminish. I see great potential for Serbia as a location for any kind of manufacturing industries of global enterprises. Serbia can be a very competitive alternative to, for instance, Asian countries. Serbia has huge potential to be a major producer in food industries, because of its vast and fertile farm land which is still possible to use for organic farming. I believe improvement of the business environment will gradually trigger development Finnish clean technology in various high technology sectors. Serbs can be know-how is particularly very competitive in a modern economy if they important and also are given the chance to roll up their sleeves. ■ Finland is classed as a world leader in the field of education. What are the prerequisites Finland fulfilled in order to achieve such a status?

■ Could the Finnish education model be applied in Serbia and could the Finnish experience be useful to us?

- I think the fundamental question is really that the government should invest a lot of effort to make the education system function efficiently. Education seems to be a priority for your new government. I think it was really important that Prime Minister Vučić spoke very strongly about education reforms when he presented the government programme. He was on a very right track when he said that one has to ensure that children learn how to learn new things, not to learn by heart, and how to learn to think. Key to making that happen is strengthening teacher training, of old and new teachers, so that they have the capacity to achieve results independently in the classroom. One can’t copy the system of another country, but one can get tools and examples that fit best to the best possible system of one’s own country. Together with the Serbian Ministry of Education, we organised a conference on education last autumn. There were 250 Serbian educators, authorities and politicians listening about the Finnish education system and

represents a competitive alternative in Serbia when it comes to renewing infrastructure to meet the requirements of EU regulations related to the environment and energy

- Finland has certainly been successful in education and that provides the fundamental basis of our success in building our economy and society, characterised by equality and welfare. Success never comes overnight and particularly not in the field of education. Success in education always requires long term planning and a strategic vision. We started profound reforms of the education system in the ‘70s and have continued to reform the system ever since. The basic prerequisite for us was that we have always been able to reach a consensus about the reform amongst major political parties from the right to the left. This is not easy, as a lot of ideologies are involved – for instance when you consider whether to give equal opportunities to all or focus more on elite schools. But our politicians understood that well-educated people are the best resource a

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how it could be an example for Serbia. A book about the Finnish education system has also been published in Serbian. We are very keen to continue cooperation with the new Minister of Education and his team and other educators in Serbia. ■ When it comes to economic cooperation between our two countries, Finland and Serbia are long-time partners, but it seems that cooperation is still below the real needs and capabilities of both countries. Where do you see the main causes?

ness community know and talk to each other. Finnish investors in Serbia are happy and for me that is also a good story to tell in Finland. Our Embassy is not only promoting Finland and Finnish companies in Serbia, but we are also making Serbia and Serbian markets known in Finland. ■ How much does the start of accession negotiations with the EU

contribute to changing that image in the eyes of potential investors?

- The start of the negotiations gave a lot of positive publicity to Serbia and it provides certain proof that the reform process in Serbia is moving forward. Potential investors are more prepared to take a close look at the opportunities in Serbia and eventually make investments when they know Serbia is striving for EU standards as regards the business environment and the rule of law. As I said, trust is important and the start of the EU membership negotiations contributes to that positively, but from now on it will depend mainly on concrete experiences of investors in Serbia and on the speed of implementation of reforms and progress in EU membership negotiations.

- It is true that trade and investments between our countries are very low. The main causes lie in the events of the past two decades. Fortunately, that is now history. During the past couple of years the business community in Finland has been gradually changing its perceptions about Serbia as a business environment. That is simply because there are signs that Serbia is on its way to modernising the society and creating a stable and functioning market economy. The start of EU accession negotiations was clear proof that change is taking place. We see the results already. Tikkurila started production in Serbia two years ago and PKC Group is starting production of electric vehicle cables in Smederevo, employing at least 1500 people in a couple of years’ time, and there are others to come. Finnish companies provide high quality products and services which I would hope to see more present in Serbia. Finnish clean technology knowhow is particularly important and also The pace of economic represents a competitive alternative development now depends in Serbia when it comes to renewing infrastructure to meet the requireon how efficient the Serbian ments of EU regulations related to government will be… The the environment and energy. This inactions planned by the cludes a number of sectors, such as government may slow down energy efficiency, renewable energies, district heating, waste management the growth of the economy and mining. for some time, but that is the

■ How does Finland assess the level of regional cooperation in the Western Balkans and where do you see room for improving that cooperation?

- Regional co-operation in the Western Balkans is already quite extensive and many organisations are functioning well, but there is room for much closer cooperation. During the past couple of years there has been a clear improvement in bilateral relations among neighbouring countries in the Western Balkans, which will gradually also enable deeper cooperation at the regional level. The countries in the region have to decide themselves where and when there is an opportunity to expand cooperation to new areas. It is good to price to pay to make growth start cooperation with practical issues ■ When it comes to Finnish investors possible in the future that are not very controversial, as we in Serbia, for a long time the valid stodid between the Nordic countries many ry was that the image they had of our decades ago. I believe that Nordic cooperation could also serve as country is not very great. Is that slowly changing? a useful example in this region. Nordic countries do have very dif- That is certainly changing and the proof is that new Finnish companies are also entering the Serbian market as investors. The valid ferent relations with the EU and NATO, which limits the cooperastory, which one should pass to investors, is that Serbia is a very tion to some extent but has never hampered it. different country from what it was just a few years ago, with the I would give particular credit to Serbia for its strong commitcurrent government determined to modernise the country. This ment to strengthening relations with its neighbours at a political message is now spreading in Finland. The best promoters of Serbia and practical level. The dialogue between Belgrade and Pristina in Finland are the Finnish investors already operating in Serbia. is also very important in that respect. Serbia has and will have a Finland is a small country and the key people in the Finnish busipivotal role in ensuring the strengthening of regional cooperation 16 |

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in the Western Balkans, which will also benefit all countries in the region in their EU integration process.

■ In which other areas, to the best of your knowledge, are there plans to deepen cooperation between Finland and Serbia?

- The two most important priorities are strengthening our economic relations and giving our strong support to Serbia in the EU membership negotiation process. To be able to support Serbia in implementing reforms in the framework of the negotiation process we need to have a dialogue about the most relevant issues in different negotiating chapters, so that we can identify issues where Serbia could benefit from our expertise. That dialogue requires more extensive contacts between different ministries and public institutions than we have today. So we have to work on that. We would particularly like to share our expertise in strengthening the capacities of Serbian ministries and public institutions through participation in EU-funded projects. Finns have been very active, for example, in EUfunded Twinning projects, having already had more than 150 such projects in different countries undergoing the EU integration process. The first twinning project between Finland and Serbia started this year between the Finnish Institute of Health and the Serbian Ministry of Health. The project aims at reducing smoking in Serbia.

member of the EU and as part of the package comes the EU’s common foreign and security policy. But as Finnish, Swedish and Austrian examples show, membership of NATO is not part of that package. When it comes to the Nordic cooperation, there is also strong popular support in enhancing cooperation in the area of security and defence policy, despite the fact that three of us are in NATO and two are not. Joint exercises, training, surveillance activities, military procurement and cooperation in international crisis management operations are examples of our active and practical defence cooperation. ■ The Nordic embassies celebrate Nor-

dic Day in early June. There will also be a seminar entitled “Stronger Together – Nordic Economic cooperation and innovation: relevance to the Western Balkans”. Could you tell us more about the benefits and challenges that this type of regional cooperation brings the countries involved?

- Nordic cooperation brought concrete benefits to citizens and companies already in the 1950s, when the joint Nordic labour market and passport free travel were introduced, and it has been a success story ever since. Today we can see almost a new Renaissance of expanding and deepening Nordic cooperation. We have very strong national profiles, but also a common Nordic identity with a very similar type of welfare societies and values. Sticking together whenever we can, we have a ■ In terms of global military-security better chance to secure our wellbeing. policy, Finland has succeeded in mainNordic companies are natural comtaining a status of neutrality, which Serbia is also aspiring to. How does petitors in many sectors, but at the I believe improvement of the Finland view Serbia’s tendency tosame time we cooperate very closely in business environment will order to create good conditions for our wards neutrality and what are the exgradually trigger development companies to succeed on the Nordic, periences of Finland in this respect? in various high technology European and global markets. Togeth- Finland has not been a neutral country since 1995, when we joined the Euroer we are a stronger market area than sectors. Serbs can be very five small economies separately and pean Union. Neutrality was Finland’s competitive in a modern together we do have more influence in solution during the Cold War. I think it economy if they are given the Europe and globally. was a good policy at that time, but the chance to roll up their sleeves Neighbouring Nordic countries with world has changed. EU membership a familiar business environment are was and is a key security policy choice very often the first natural export destinations for many Nordic for Finland. Since 1995 the foreign and security policy of the EU has companies. This extended home market is a sort of training ground strengthened in many ways and Finland has been actively contribfor Nordic businesses to be more competitive and helps them to uting to that end. further expand their businesses and exports to European markets If one feels the need to use some labels, today we can be called and beyond. In Europe and globally we have a common interest a militarily non-aligned country, as we do not belong to NATO. But to work together, for instance, to reduce barriers to exports in secwe also have extensive cooperation with NATO, as we joined the Partnership for Peace as far back as 1994. tors where Nordic countries are particularly competitive, such as Every country makes its own choices regarding policies of neuclean technologies, communication services and equipment, matrality and military cooperation. Serbia is on its way to becoming a chinery and health care and other services. ■ cordeditorial@cma.rs |

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GLOBAL DIARY

UNIFIED

SERBIA

Photo: APR

INTERVIEW

■ By Radmila STANKOVIĆ ■ Photos: Zoran PETROVIĆ, ATELJE 212, ZVEZDARA THEATRE

The Art of Living in

DIFFICULT TIMES DUŠAN KOVAČEVIĆ AUTHOR AND ACADEMIC

CorD speaks exclusively to one of Serbia and Yugoslavia’s most important theatre, film and literary figures. From his early days at the Atelje 212 Theatre in Belgrade to the world post-Yugoslavia, Dušan Kovač ević has a lifetime’s worth of living and writing in Serbia to call upon

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hen Dušan Kovačević was accepted into the Serbian Academy of Sciences and Arts, he became one of the youngest members ever admitted into this important national institution during the course of its 128-year history. He is deserving of such recognition primarily due to his opus of dramatic works, which makes him the most important living Serbian playwright. In addition to his 20 dramas, he is also the author of around a dozen screenplays and a number of novels. He wrote what is arguably the best Yugoslav and Serbian film of all time, ‘Ko to tamo peva?’ (Who’s Singin’ Over There?), and is the author of some of the nation’s most popular dramas: ‘Radovan Treći’ (Radovan III), ‘Maratonci trče počasni krug’ (The Marathon

NUŠIĆ

CHURCHILL

ART

If Nušić had known how much we would love, respect and praise him today, he would have lived much better, calmer and longer.

The Non-Aligned Movement was invented by Winston Churchill for the ‘neutrality’ of African and Middle Eastern countries to prevent the spread of communism.

Art has survived worse times and that’s why it is so beautiful, sublime, precious and eternal. Art is also the art of living in difficult times.

as those who live there prefer to call it. He lives in the house where Family), ‘Sveti Georgije ubiva aždahu’ (St. George Slays The Dragfamous Serbian writer Isidora Sekulić spent the last 18 years of her on), ‘Balkanski špijun’ (Balkan Spy), ‘Profesionalac’ (The Profeslife. “I’m glad I managed to save the threshold of the former house,” sional), ‘Urnebesna Tragedija’ (Roaring Tragedy) etc. he says, “because that threshold was crossed during her life by the He dubs his writing as “old-fashioned handicraft”. In practice, likes of [Miloš] Crnjanski, [Ivo] Andrić, Meša Selimović et al, and this means he first writes by hand and then types it out on his during my life it has welcomed Mihiz, Bob Selenić, Matija Bećković first machine, Pearl, after which he does his own proofreading. He and all writers of significance from the second half of the 20th cenneeds to write at least three or four drafts to be happy with the rhythm, story, dialogue and characters it can become a play showtury. Thus that threshold was crossed by the complete history of ing in theatres. He was just a child, a wonderous talent, when he was embraced at Belgrade’s Atelje 212 Theatre by Mira Trailović, Borislav ‘Mihiz’ Mihajlović and Ljubomir Muci Draškić. None of them are still alive and with them a wiser part of Belgrade has departed forever, those Milorad Popović Šapčanin opened the door for. Kovačević, now 65, graduated from high school in Novi Sad, took a train to Belgrade, climbed Balkanska Street, caught a bus at Zeleni Venac and arrived at the last stop in Zemun, from where he went on foot for another 10 minutes before arriving at the home of his relatives. “I stayed there for a while,” he says. “Then I found a room in New Belgrade. From that first room, I changed addresses 19 times over the Zvezdara Theatre: play dedicated to Branislav Nušić next 20 years. This last place I have been living at is my 20th address in Belgrade. 20th century Serbian literature – and If Nušić had known – “I happen to know this because I have rethe room where I work today was also assumed – how much Isidora’s study.” ceived letters, and one day I looked over these we would love, respect After we had finished our converletters I keep and made a list of the Belgrade addresses I’ve resided at during these 45 years sation, the tragic floods struck Serbia. and praise him today, he I’ve been living in the city. There were rooms Among those cities threatened was would have lived much with good people, rooms with nervous people his hometown of Šabac. He called me better, calmer and longer. very excitedly and asked that I menand rented apartments where I lived with my Life in the Balkans is only tion in this article that we spoke prior wife Nada, and then first with one child and then the other.” to the disaster. difficult for people who He considers the 15 years he was linked to are alive Atelje 212 as his post-graduate studies. He spent ■ Zvezdara Theatre recently pre20 years next door to the theatre, in the Srpska Kafana restaurant miered your new play dedicated to Branislav Nušić, who is considwith Danilo Kiš, Mihiz and Borislav Pekić, with whom he became ered by many to be Serbia’s greatest comedy writer. How long did friends. Those conversations – about literature, the arts and analysyou spend researching his life, what was new or unknown to you and what were you most surprised to learn? ing books – were a real doctorate. Today there is no more of that, and that’s a part of the Belgrade spirit he misses, although he is - Coincidentally, I had a specific date for the premiere of the play happy to belong to the last generation that seized and preserved on Nušić’s days in Smederevo and wrote the story in three or four something of that oral tradition; that he is one of the last witnesses months. Of course, I knew a lot about Mr Nušić, but while I was of a time when they told stories, when people in Belgrade lived in reading through documents – factual material and especially his small tribes inherited from previous centuries. letters – I was surprised by how dejected, hurt and painfully sensiIn recent years Kovačević has lived in Senjak, or Topčider Hill tive he was to the major criticism of him as a ‘light comedy writer’. cordeditorial@cma.rs |

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Some of the reviews of his work by eminent critics and historians of literature were almost like personal insults. In a letter to his daughter Gita, Nušić wrote his literary testament on 1st March 1924. That 10-page confession is something one usually communicates only with spoken words, and quietly, so no one hears. If Nušić had known – assumed – how much we would love, respect and praise him today, he would have lived much better, calmer and longer. Life in the Balkans is only difficult for people who are alive. ■ Which of his plays best suits

stitutions, which we have never had because major wars prevented us from achieving a life in an organised, serious, legally fair society. Nušić would point out that illness today, but the ‘cure’ for that disease remains in the hands of politicians: people who take turns in power and leave the problems for some ‘better time’. Literature is often just a healing comfort, and today we need serious and difficult therapy. Placebo medications have finally been discarded. Perhaps we have reached treatment with the help of surgery. ■ Which situations are unacceptable to you as a writer?

- Everything that seriously irritates me and makes me - As a child I started reading sick, just as with most peohis autobiography, laughing out loud at his writer’s ple in this tortured country. adventures like our childThat’s not for comedy and I do not want to write dark stohood and adolescence. Later, when I started reading his ries and add to that darkness serious stories and dramas, with my own private dissatI was shaken by the novel isfaction. I’m trying, and will ‘Devetstopetnaesta’ (915th), continue to try, in spite of Scene from the recent premiere of his play dedicated to Branislav Nušić at Zvezdara Theatre everything, to write stories a confessional book about that have the illusion of light the suffering of the Serbian In relation to the number of inhabitants people during the Great War and crimes committed against the civilian on the horizon. and the death of Nušić’s son population by occupying soldiers, Serbia Strahinja, which was ad■ This year Europe marks dressed in the famous folk suffered the most during the four years of the 100th anniversary of World War I. A long time ago song ‘Ban; Strahinjiću Bane’. the Great War you wrote a play inspired by ‘Gospodja ministarka’ the Great War, ‘St. George (The Cabinet Minister’s Shoots The Dragon’. How do Wife) is certainly the essenyou see Serbia’s role in that tial Nušić comedy. This story war today? of the ‘rise’ of a minister’s wife is eternal, and increas- I wrote about the story of the Great War, or, more precisely, ingly current, because our that first battle in the war – the ministers are replaced and Battle of Cer Mountain – in the become forgotten. Nobody play you mentioned 30 years remembers who was minisago, in remembrance of my ter a few years ago, but we grandfather, a participant in all remember how ministhat battle, and the terrible sufters struggled to reach their seat and used all means to fering of the rural folk, mostly ‘help’ with the employment Scene from ‘Sveti Georgije ubiva aždahu’ (St. George Slays The Dragon) young men, from the villages of family, relatives, friends… at the foot of Cer Mountain. That’s why the administration today has more members than the In relation to the number of inhabitants and crimes committed population of the country. against the civilian population by occupying soldiers, Serbia sufIt could be argued that the Živka, the lady minister, is ‘collateral fered the most during the four years of the Great War. The country’s damage’ to politics without a compass. number of inhabitants today is a direct result of the death of every second young man over the 1914-1918 period. And how does the map of Europe look today in relation to ■ In which moments do you think we miss Nušić today? What situ1914? And who is friends with whom after the First and Second ations from life today could benefit from his critique? World Wars? And why was Serbia on the winning side in both wars - The situation in Serbia today is so serious and existentially imporyet now finds itself on the side of the losers? And why did Serbs tant that nobody can help us as an individual, as a gift or mind in die in two World Wars in the first battles for a ‘free Europe’? And any field. Serbia can only be saved by serious, independent state inyour affinity for comedy?

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how did the ‘enemies’ in those two wars become ‘victors’ and fighters for peace? And, and, and…? And there’s no end to the questions 100 years after the attack on Serbia in 1914.

■ What, in your opinion and according to your discoveries, is the worst Serbian illness? Which of our bad characteristics have we most paid the price for and which lessons from history have we failed to learn from?

- The desire to ‘expel’ global justice; that we, as a small and impoverished nation, decide on the matters of great powers; that we first protest and oppose global injustices, and, despite knowing we will lose the battle, often enter suicidal fights, without big smarts but with great emotion. Our ‘Slavic soul’ has often hampered our ‘European head’. So it was, so it is today. The soul is good for poetry, while the head is better for an ordinary life! It would be good if we could establish a balance between the soul and the head. ■ Is there a crime you have never forgiven your country for?

From your public addresses, it can be concluded that you did not forgive the Partisans, the victors in WWII, for their treatment of so-called domestic traitors and the suffering of the Srem Front…

I do not want to write dark stories and add to that darkness with my own private dissatisfaction. I’m trying, and will continue to try, in spite of everything, to write stories that have the illusion of light on the horizon - My father was 18 years old when he was taken from the Agricultural School in Šabac, the city at the foot of the aforementioned mountain of Cer, and taken to the Srem Front, where he was seriously wounded and spent a month in a coma. Thousands and thousands of young men were taken to the Srem Front as a penalty for civic and ‘land-owning’ Serbia, like an act of revenge by the victors against their own people. Thousands and thousands were killed and today people get angry when that crime is mentioned to them. To date about 60 mass graves have been listed that are just ‘marked’, and about 50,000 ‘enemies of the people’ were murdered in the name of communist ‘justice’. That’s why I said that Tito was a war criminal who needed the Western world because of his opposition to Stalin in 1948. And that year, as is known, at the time of that biggest crisis, Tito was on the Brijuni Islands waiting for a submarine to transport him to Italy. And that ‘hero’ wanted to fight a war with Stalin from Italy if the Soviets invaded and overran us. I was born in 1948 and my father was on a warship on

In response to a question about how he sees division within Serbia, Kovačević has selected for CorD an excerpt from his book ‘20 Srpskih Podela (20 Serbian Divisions), which is published by the Institute for Textbooks as part of their collected works of Dušan Kovačević

First Division: Heavenly and Earthly

Feet on the Ground – Head in the Clouds The current living, Earthly Serbs admire their celebrated ancestors, glorifying them, exalting them to legends and myths, worshipping them by noting their kindness, wisdom, bravery and infinite love for the people and the country, but only when they are reposed and “laid to rest” in remembrance of at least half a century. And for the life of our Heavenly ancestors we have all worked to shorten their lives, embittering their day, humbling their work, devaluing existence – with the occasional “decapitation” if they really overly resist their ascension into eternity, into the light, which, by merit, is the only place they are worthy of. Appealing to our Heavenly ancestors is part of the daily ritual, folklore, in all possible and impossible conditions of prisons and prisoners convicted of the most serious crimes, and the “house run by the state”, which debates (and decides) on the fate of the Earthly Serbs and “Mother Serbia”, which grows older and smaller from century to century, year after year, squeezed from listening to unbelievable stories, promises, oaths and misdeeds done in her name. By looking at and listening to everything that is said (and sung) about the “immortal ancestors”, you get the feeling that they were actually never alive; they were born in Heaven, in Heaven they spent their life and in Heaven they rest forever, without a trace of Earthly life on their clothes. From the Universe they observe us with fatherly strictness, reproachfully, but with love, with the help of self-proclaimed Earthly “apostles” – via the few (self-)selected they send us messages of what we should undertake, what we should do, how “honest living” in accordance with self, with the “interests of the nation” and those who (currently rule) and preach their teachings. Of course, all messages “from above” we receive “from below”; interpreting the silence of our glorious ancestors shifts as the masters of the state change, along with the necessary “adjustments” to current political needs. The abuse of “Heavenly Ancestors” is daily, noisy and, shamefully, tasteless. Murdered rulers, exiled monarchs and national benefactors, heroes forgotten in sickness, humiliated military leaders, scientists who fled, writers, poets, painters who suffered from hunger and misery… watch us – today, from frescoes, museum paintings and street names; from the bronze horse and textbook covers; from tapestries, T-shirts and tattooed backs; from colourful plates, the labels of mineral water and rakija bottles, “gilded” glasses, ashtrays… wondering, astonished, at their frivolous, irresponsible and, to say the least, strange descendants. From their confused, protected view only one question is visible: what is this justice of God for us? The Communists had the Law on the “protection of the characters and works” of the most prominent “sons of the revolution”, with the threat of imprisonment for “negative examples” of painting, writing, singing and tavern gossip. That was one extreme, while the other is the “freedom” of bad taste, kitsch and vulgarity, alongside tent songs and smoke signals from the barbecue, addressing ancestors with love – from the heart. There are few Earthly Serbs who believe that one day, or one sunrise, they will head towards their Heavenly ancestors, to meet them “somewhere out there” and that they “should stop and look in her eyes”, and say – explain, what is being done here, Below, in their name, Above. P.S. Divisions will, probably, take from us the head and (this little bit) of the country that remains. If, for example, that division was “tolerant” – without hatred, bitterness, pre-coronary anger – we would “spend” this life on practical, useful and better things, if we are (already) fated to argue, turn to axes and get annoyed to the level of pain.

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the Danube, awaiting the attack of the Soviet Union with a few rifles and a boat that was only good for fishing. A month after my birth he discovered he had a son; the defence of the homeland was the most important, the only purpose of human existence. Of course, for those who defended the power won through blood had to give blood again – though not their own.

■ As he struggled between East and West, Tito invented the concept of the Non-Aligned Movement. Many see Serbia today as being helplessly stuck between the EU and Russia. How do you see things in this context?

him all the best, for all of us, and especially for our children. If he succeeds in bringing order to state institutions, achieves confidence in the integrity and the rule of law, he will take a revolutionary step towards a better life. He is awaited by a big, tough and long job. ■ Do you believe culture min-

ister Ivan Tasovac can make significant progress over the course of his mandate?

- What he did for the renewal of the Belgrade Philharmonic Orchestra – “the illegal artistic society” – recommends him as a man who is from the family of artists, both in terms of his birthright and his profession. He is certainly closer to that place than a po- The Non-Aligned Movement was a concept invented litical apparatchik, some parand implemented by Winty official who was awarded the position of culture minston Churchill in order for the ‘neutrality’ of African and ister as a consolation prize, Middle Eastern countries to Scene from ‘Sveti Georgije ubiva aždahu’ (St. George Slays The Dragon) like the bride’s bouquet. prevent the spread of comWhether he will do somemunism. Tito was a great thing lasting and valuable We must find a compromise that we can student of his policies from depends on the budget that is accept ourselves. In our case, compromise back in 1943, when Churchill allocated to culture. As things is the only rational solution to the eternal declared him the future leadstand now, better times are separation of Serbs looking to the East and waiting for some better days, er of the Yugoslav peoples, some better years, not to say or rather when he forced the Serbs on the road to the West decades. Despite everything, king and the Yugoslav govit’s good to work and hope that each one of us can do more and ernment into exile in London to renounce the throne and recognise better than in times when that was easy and natural. It’s good to Tito as the future ruler. reimburse us for the years of waiting for someone to do something There is a story that when Churchill was a young reporter he instead of us, to make, create, build. got a slap in the face from Voja Tankosić, one of the organisers of I do not like despair, surrender and defeat, regardless of the the assassination [of Franz Ferdinand] in Sarajevo, in a Belgrade facts and ‘mathematical logic’ that says everything is impossible tavern, because of which he wrote something negative when reand futile. Art has survived worse times and that’s why it is so porting on the First Balkan War. Could it be that everything he later beautiful, sublime, precious and eternal. Art is also the art of living did ‘for the benefit of damaging Serbia’ was a consequence of that in difficult times. ■ slap in the face in a Belgrade tavern in 1912? Serbia today, just like in the past 200 years, is between East and We have ourselves to blame. We are a West. And so it will always be, because we are – as I said – bound country of seven million people, and we by the soul to Russia and bound by our reasoning to Europe and have Vojvodina, Mačva, Šumadija and European values. A soul without a head or a head without a soul is Morava, and with that there are a million not possible for life. We must find a compromise that we can accept hungry people. If we are not capable, the ourselves and in which we will be helped by those who are forcing country should immediately be leased to us to opt for only one side. In our case, compromise is the only rasomeone to feed us. Rent it out to sometional solution to the eternal separation of Serbs looking to the East one and beg them to employ us because we are not capable of working ourselves. and Serbs on the road to the West. ■ Do you believe what is said today by Prime Minister Aleksandar Vučić, as the politician who has gained the absolute trust of the electorate?

- What else can I do? I’m sure he really wants to accomplish what he says, but I do not know whether he will be able to do that. I wish 24 |

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We live in a country where beans are imported. Miloš Obrenović is certainly wondering from his grave: Where has my gold dinar disappeared from when I ruled the land? At one time we imported brooms from Albania and brushes from Bulgaria. When you “export brains”, then you import brooms and brushes.

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FOCUS

Serbian Government

REFORMS

The Serbian government recently announced deep and comprehensive reforms, with the most important objectives including the reform of the public sector, the privatisation of more than 170 state-owned enterprises, reductions in subsidies and increases in taxes, public spending cuts, changes to the pension system and labour law, the fight against crime and corruption, reducing the budget deficit and accelerating EU membership negotiations. For CorD’s regular “Focus” column, which contains the opinions and attitudes of economic and business leaders, we sought responses to the following question from senior members of the international business scene in Serbia:

From your perspective as a foreign investor, what do you consider as priorities within the context of the announced reforms and which other measures would you certainly include in the reform programme? ANDREAS HAIDENTHALER Commercial Affairs Counsellor at the Austrian Embassy in Belgrade

Start For Real Now! Many of the things investors have been criticising have remained the same over the past five to six years: insufficient rule of law, too much bureaucracy, too much red tape, the need to reform several laws and more tangible efforts and results in fighting corruption What do I consider as priorities in the reform programme? That the reform programme starts for real and that it starts now! We have heard a lot of talk about reforms in previous years and from various governments. Some reforms have been achieved, but overall conditions for doing business in Serbia have some room for improvement – at least that is what two thirds of Austrian investors in Serbia said in our most recent survey. I am afraid I have to say that many of the things investors (and I am not only talking about Austrian investors) have been criticising have remained the same over the past five to six years: insufficient rule of law, too much bureaucracy, too much red tape, the need to reform several laws (notably the labour and construction laws) and more tangible efforts and results in fighting corruption. There has been a lot of talk about new foreign investment, mostly with the perspective that it will hopefully bring a lot of money and solve all problems. Few people really seem to understand that investment is something a country has to earn. Investors compare countries because they need to make money and they ask other investors about their experience. In other words, the best way to attract new investment is by making existing investors happy.

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Imagine what investments could be in Serbia and how many more jobs they would generate if conditions for doing business were better than they are now. Most companies have learned to live with the hurdles they face, but they would do better and certainly invest more if the pace of reforms would quicken – if construction permits would be issued quicker than the 269 days it has taken until now, just to give one example. The new government has been given an impressive mandate and I truly believe the Prime Minister when he says he The new government wants to use this mandate to has been given an improve the business climate impressive mandate and, thus, the lives of the Serand I truly believe bian people. I also hope these the Prime Minister reforms are met with support wants to improve the by all relevant institutions business climate and, throughout Serbia. thus, the lives of the In many other countries Serbian people the EU-accession process was a catalyst for reforms and in this sense I am convinced the process will also contribute to improving Serbia’s business climate. I also hope Serbia uses the beginning of the EU negotiations to work on its image and to be more present on the “economic radar screen” of people abroad.

PATRICK COLLIN President French-Serbian Chamber of Commerce

Improving Conditions The legal framework is yet to achieve stability and predictability, but the measures announced suggest there is strong will within Serbia’s institutions to improve the conditions in which investors operate Serbia has now developed into a stable democratic country with a growing market economy, although further improvements are needed in order to achieve a true business-friendly environment. The reforms announced by the government are very encouraging in that regard. The large numbers of international companies that operate here actively bring high international standards, as well as business know-how, and all of this has a significant impact on the overall business climate and the constant consolidation of local standards and market structures in a positive manner. Nonetheless, the stability and predictability of the legal framework is still to be achieved and the measures announced in the Prime Minister’s exposé lead us to believe that there is strong will within Serbian institutions to improve the conditions in which investors operate. At the French-Serbian Chamber of Commerce we will continue to encourage the new government to work even harder on this priority and address economic issues through reforms.

STACEY KENNEDY President of AmCham Serbia

We also believe that the EU integration process will help create a safe and secure business environment. The harmonisation of the legal and regulatory framework with the acquis communautaire will remain a fundamental factor driving Serbia’s stability and economic growth, and that is why the first step in in its accession negotiations, taken on January 21st, The overall potential is a milestone. Obviously, the of this region most challenging part begins as a favourable now and that is the implefuture investment mentation of reforms. destination will The overall potential of depend greatly on the this region as a favourable ability of the Serbian future investment destinagovernment to ensure tion will depend greatly on the ability of the Serbian laws and regulations government to ensure laws are properly enforced and regulations are properly enforced and provide for fair competition. We believe that in the years to come the government will succeed in fundamentally changing the image of the country and thus attracting investments and boosting growth.

Tackle Illicit Trade It is vital to create a strong institutional framework able to tackle the grey economy and illicit trade. This must be done by increasing the capacities of the state administration, defining responsibilities of different bodies, enabling better coordination and efficiently monitoring enforcement As AmCham members, each year we define a number of priority areas for improvement of the overall business climate. We were very pleased that four out of five priority areas for 2014 were included in the government’s first package of re-

forms. These areas include encouraging job creation, increased liquidity, the fight against illicit trade and the grey economy, and improving procedures for obtaining construction permits and land ownership. In addition, strengthening institutions and their efficient coordination will certainly accelerate the rate of growth of the Serbian economy and place it on the path of recovery. cordeditorial@cma.rs |

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When it comes to the regulatory framework, we are always in favour of the efficient enforcement of existing laws and creating a level playing field for Increasing all. In terms of legislative impredictability of the provements, the Labour Law tax burden and levies should be fair and facilitate the creation of new jobs. At charged by different the same time, increasing state authorities is predictability of the tax buralso a precondition den and levies charged by for improving different state authorities is competitiveness and also a precondition for imcreating a predictable proving competitiveness and business environment creating a predictable business environment.

Illicit trade of certain goods, such as tobacco, oil and fast moving consumer products, causes huge losses to the economy and the state budget, which have been estimated at over €250 million annually. It is vital to create a strong institutional framework that would be able to tackle the grey economy in general and illicit trade in particular. This must be done by increasing the capacities of the state administration, defining responsibilities of different bodies, enabling better coordination and efficiently monitoring enforcement. Of course, these efforts must include vast improvements in the prosecution and adjudication of cases involving such offences. In summary, the announced package of measures is an encouraging step in the right direction. We are all very interested to see how it will be implemented and will offer our support to the government in fighting for these necessary and crucial reforms.

FREDERIC COIN President of the Foreign Investors Council

Focused Measures The government must take measures that would create a business framework conducive with growth and the FIC is ready to be an active participant in consultations about the announced reform package, in order to create a better framework for future growth

The Foreign Investors Council welcomes the government’s announcements of comprehensive reforms and thinks the momentum should be used to utilise its strong political mandate and immediately launch long awaited structural reforms. This is a necessary precondition to improve the investment climate, ensure macro-economic stability and subsequently raise the market’s competitiveness. This would also bring a stable and consistent development of the economy and society at large. With regards to what we consider as priorities within the context of the announced reforms, our opinion is that accelerating EU membership negotiations is crucial for the country and its citizens. The FIC advocates for Serbia’s economic integration into the EU, as this brings predictability and transparency to the business surroundings. We advocate for a fully EU-harmonised and coherent legal framework, including the major improvement of all important laws, such as the labour and construction laws etc. As a second priority, we would put public sector reform, which includes both systemic reforms of pension, health and education systems, as well as finalisation of the privatisation and modernisation of public enterprises. This should be coupled with macro-economic stability in terms of ensuring sus-

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tainable public finances and reducing the budget deficit and, finally, the fight against crime and corruption should be systematic and continuous. We would also like to see progress in the following areas: a more transparent tax system, with consistent implementation across the board and the establishing of an efficient marThe FIC advocates ket surveillance system with for Serbia’s economic improved work of inspecintegration into the tions, in order to limit the EU, as this brings grey economy and protect predictability consumers’ rights. But considering the bad experiences and transparency observed even in the recent to the business past, besides improving the surroundings, as regulations, focus should be well increasing the put on better law enforcecompetitiveness of ment, improving public secthe Serbian market tor efficiency and ensuring a level playing field for all market participants. These measures would create a business framework conducive with growth and the FIC is ready to be an active participant in consultations about the announced reform package, in order to create a better framework for future growth.

ANDREA SIMONCELLI President of the Italian-Serbian Chamber of Commerce

People Power According to the Italian-Serbian Chamber of Commerce president, reforms are essential and will help attract investment, but ultimately the quality of the Serbian people is the key factor for success in attracting foreign investments

The announced reforms to stimulate internal demand without increasing public expenditures, and while maintaining the business friendly environment for foreign investors, are on the right track. The Serbian economy needs a “heterodox” shock to raise GDP and reduce unemployment. The Italian-Serbian Chamber of Commerce continues to receive more than 20 reThe proposed increase quests per day from Italian in pension and disability industrialists willing to set contributions, coupled up production activities in with a reduction in Serbia, mainly in the field of health insurance automotive components, the contributions, is a good agro industry, textiles and step, but it would have energy. Italy continues to be been better to increase the number one trade partpersonal income tax ner of the Republic of Serbia, instead, because during with €3.5 billion in bilateral hard times those trade, and this is thanks to who have more must proximity, competitive lacontribute more bour costs and, above all, highly qualified manpower. The quality of the Serbian people is the key factor for success in attracting foreign investments: widespread knowledge of English, as well as high quality university and technical colleges, allows investors to find all the professionals they need locally, saving costs of expensive expatriates. Loan subsidies to revamp home apartment construction for young couples are an appropriate measure to stimulate associated industries linked to real estate, such as furnishing, interior decoration etc., where Serbian products have achieved a good standard. In this regard, reform of the cadastre is needed to define property, together with land ownership reform that will attract more real estate developers. Voluntary Pension Fund reform, together with insurance

against natural disasters, is another field where we would like to see government intervention. The proposed government meas-

ure to increase pension and disability contributions from 24% to 26%, while reducing health insurance contributions from 12.3% to 10.3%, is a good step, though in order to compensate the pension increase it would have been better to increase personal income tax rather than reduce health contributions. During hard times those who have more must contribute more. Generali’s recent purchase of the minority share of Delta Generali Osiguranje, to be renamed Generali Srbija Osiguranje, confirms the trust of Italian financial institutions in the Serbian market, where prospects continue to be very bright.

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■ By Jovana GLIGORIJEVIĆ

MEDIA

Still no Final Solution in Sight Media reforms have to be completed as soon as possible because of accession negotiations with the EU, which representatives have warned the Serbian authorities about on several occasions. Still, the most important task awaiting this government is to allow more media freedom, stop putting pressure on editorial policies and create a more favourable environment

bigger ‘hole’ in the annual state budgtion fee collection rate, Prime Minister erbia still hasn’t found the fiet. Despite this double income, public Aleksandar Vučić made a formal decinal solution for funding public broadcasting services still find themsion to abolish the subscription fee all broadcast services. The counselves struggling in a very difficult fitogether and for both RTS and RTV to try is also nowhere near comnancial situation. be temporarily funded from the budgpleting the digitisation process, the In late February, the Journalists’ et’s funds. This initiative was partialdeadline for which is fast approaching. Association of Serbia (UNS) warned ly implemented several months ago The state still has an ownership stake certain local governments that they and the government has already startin the media and nobody knows how it had breached the Media Strategy by ed to reimburse these television stawill relinquish it. No media laws have launching competitions for the co-fitions with total annual funding of 7.4 been passed and the existing Media nancing of local media. The UNS Strategy is still not being implealso said that a co-financing mented, despite having been According to the relevant adopted three years ago. authorities, the three media laws competition in Kovin constituta serious breach of the Media According to the relevant authat were supposed to be passed ed Strategy. “The propositions of thorities, the three media laws by now didn’t even make it to the local media co-financing that were supposed to be passed competition in Kovin did not by now didn’t even make it to the parliament. The draft Public state that the competition apthe parliament. The draft Public Information and Media Law and plies only to media operating in Information and Media Law and Electronic Media Law have been this municipality, which could Electronic Media Law have been sent to Brussels, where officials lead to various forms of fraudsent to Brussels, where officials are expected to make comments are expected to make comments ulent use of taxpayers’ money”, the UNS believes. Another deand suggestions. The Public and suggestions batable point is the fact that the Broadcasting Service Law is still competition was all about reporting on billion dinars, paid in instalments, as a work in progress. According to daily the work of the municipal authorities regulated by the public broadcasting Danas, representatives of several difand local government and not about services budget, although collection of ferent institutions are currently disthe provision of public information. the subscription fee is still continuing. cussing different formats for financing The competition also entails municThis means that citizens and the state Radio & Television of Serbia (RTS) and ipal advertising, although the Strategy are currently providing double income Radio & Television of Vojvodina (RTV). stipulates that funds from the media for RTS which, in turn, creates an even Due to RTS’s low average subscrip-

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signal to a digital signal next year, and tal any time soon. There is only a year budget should be spent solely on proprovided that all other neighbourleft to do this, bearing in mind that viding public information to citizens. ing countries have done so, this could the deadline for digitisation in the EU Moreover, the fact that the Chairman lead to a state of confusion within the is June 2015. of the Commission for the Allocation broadcasting system. Regardless of the relevant Serbian of Resources in the Field of Public There will be problems acquiring STB authorities having released numerInformation is also at the helm of a equipment, which is required public institution constitutes a for those households which breach of the Strategy. have been using TV antennas The UNS has appealed to local - of which there are over a milgovernments to carry out compelion. In the next few months the titions for the co-financing of lostate will have to provide funds cal media in accordance with the to help those citizens who are Media Strategy, which was adoptfinancially imperilled and caned in 2011 and served as the founnot afford this equipment. dation for drafting a set of media The deadline for media prilaws, despite none of these laws vatisation is also set to expire having been passed as yet. soon. According to existing Although the decision for the draft laws, the state authorities public broadcasting service to are supposed to withdraw their receive funding from the state media ownership stakes by 1st budget was welcomed by citiJanuary 2015, but this deadline zens, it has become a source of will probably be moved, since concern for national and internaThe digitisation of television is the adoption of media laws is altional media experts. By providing another area that is experiencing so overdue. Previous media pria financial injection for these meserious difficulties. Although vatisations proved inefficient, dia, there is a great risk of infringwith the media companies in ing on the independence of their most European countries have question shut down and journalrespective editorial policies and undergone TV digitisation, there ists left without jobs. Line minisfor the public broadcasting serisn’t even a hint that Serbia might tries have their work cut out for vice to become a state-run TV staswitch from analogue to digital them in trying to find a solution tion again. Europe warned that it for media privatisation while would be very difficult to go back any time soon protecting media employees. to collecting the subscription fee A lack of transparency in media ous announcements and establishonce it was abolished. ownership is slowly becoming a longing deadlines they couldn’t keep, they The digitisation of television is anstanding problem on the Serbian mehave also been claiming for years that other area that is experiencing serious dia scene. According to Saša Mirković, there is absolutely no cause for condifficulties. Although most European Assistant Culture and Information cern and that everything needed to be countries have undergone TV digitisaMinister in charge of media issues, done will be done on time. However, tion, there isn’t even a hint that Serbia this problem is not new, but it has if we fail to switch from an analogue might switch from analogue to digicordeditorial@cma.rs |

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dia: “On one hand, we have media from him as to whether he misused gained importance with the growwhich are funded from public revehis government position to procure a ing economic crisis and the fact that nues. On the other hand, there are mefavourable loan for the magazine,” inthe media and journalists have bedia which are struggling to survive in sists Smajlović. come the victims of financial upheavthis unfair market game. Private meChairman of NUNS (The als. He adds: “Transparent media owndia have it very difficult in such a situIndependent Journalists’ Association ership has implications for the editoation, because the media market is beof Serbia), Vukašin Obradović, sees an rial policy of a certain media outlet, coming poorer and they have to deal uneven playing field for all media acwhich is reflected onto the status of with competition in the shape of the tors as a bigger problem than the lack journalists who, more or less, adhere so-called ‘state media’. of transparency in media ownership: to professional standards and codes”, To add insult to injury, we are deal“The uneven playing field on the media Mirković says for CorD, adding that the ing with a media scene where the market is one of the basic problems Ministry’s intention is for new media state and its institutions play laws to bring progress in this area the role as the biggest advertoo. “The legal framework hasn’t tisers, which has enormous been changed for over a decade, consequences for the media which has certainly resulted in in all segments – from mardiscrepancies between the reguket equality to freedom of lation and the real situation which speech. Properly defining the has changed a lot, as well as in a state’s role on the media marmore pronounced lack of transket is the key issue with meparency in the ownership strucdia reforms, since the state ture of certain media.” authorities are actually buyRepresentatives of journaling political influence directly ists’ associations and the Antithrough ownership and adverCorruption Agency have been emtising, but also through public phasising the importance of passenterprises. It is no secret that ing regulations that would make most of the state’s money media ownership more transends up in media outlets that parent and, in return, reduce the Representatives of journalists’ are considered state-friendly possibility of influencing editoassociations and the Antiand that this shapes the media rial policies and the media themscene”, says Obradović, adding: selves. “The fact that media ownCorruption Agency have been “The way out of this situation ers are hiding information about emphasising the importance of is to carry out privatisation and their ownership stakes is unnatpassing regulations that would change over from budget to ural and speaks volumes about make media ownership more project financing. Since this is bad intentions, since the media in this country are used in polittransparent and, in return, reduce a process that can last a long time, to start with the current ical and business clashes”, unthe possibility of influencing government could instruct the derlines Chairwoman of the editorial policies and the media ministries, state institutions Journalists’ Association of Serbia, themselves and public enterprises to show Ljiljana Smajlović, referring to one all the money they have been of many conventions on media spending on the media in this way or we have been facing, because this sitownership. She also pointed out that another, whether directly or through uation facilitates opportunities to inwe could not expect journalists to be PR agencies.” fluence editorial policy. The privileged whistleblowers and warn about covElectronic media are a totally difposition that certain media have deert media ownership structures, at ferent ball game, but here the situapends on various power centres, and least while they are still working for tion is as bad and as unclear as it is by that I mean primarily the state authose media companies. “If we had onin the print media. Asked how much thorities and the government, which ly found out on time that Božidar Đelić having self-regulatory instruments, use their influence to buy content and was the proprietor of The [Serbian] like mandatory circulation auditcontrol public opinion.” Economist in 2009, i.e. at the time ing, would help and what needs to Obradović adds that the main reawhen the magazine received fundbe done for consensus to be reached son for such a situation is the incoming from the European Development on auditing both private and stateplete privatisation process and the Bank, journalists would not have hesrun media, Saša Mirković says: “Selfstate’s dominant position in the meitated in demanding an explanation 32 |

116 June 2014 | www.cordmagazine.com

tion of a new advertising law that passed - among which the draft Public regulatory instruments are always would come under the domain of Information Law is an umbrella docuwelcome, especially in the media the Ministry of Telecommunications, ment implying the state authorities’ sphere. However, there is a differCommerce and Tourism. “I hope that withdrawal from media ownership – ence between theory and practice. this law will be passed soon. Once believes Mirković. “After adoption We have witnessed long-standing orthe aforementioned laws are adopt(of these laws) comes implementaganisational and financial turbulence ed, we would complete a regulatory tion and that will take time. We are that the Press Council has been exframework, the implementaperiencing. The Council is tion of which would definitesupposed to be one of the The resolution of this situation ly govern the situation on foundations of self-regulawill begin once new media laws the media market.” tion in the Serbian print meare passed - among which the Media reforms have to be dia. Raising awareness about completed as soon as possithe necessity of self-reguladraft Public Information Law is an ble because of accession netion and transparent operaumbrella document implying the gotiations with the EU, which tions are an integral part of state authorities’ withdrawal from representatives have warned the maturing of the Serbian media ownership –believes Mirković the Serbian authorities about media through compliance on several occasions. Still, the with internationally acceptmost important task awaiting this govnot naïve enough to think that eveed standards, including circulation ernment is to allow more media freerything will change for the better auditing that would be a result of all dom, stop putting pressure on editoovernight in an area where the last key media actors finding a common rial policies and create a more favouramedia law was passed 11 years ago. interest, which would have multiple ble environment where there will be no However, it is important for this benefits and importance for the meself-censorship, which poses a greater process to begin as soon as possidia market and advertisers here.” threat to good quality journalism than ble,” says Mirković. He adds that the The resolution of this situation that posed by direct pressure. ■ Media Strategy envisages the adopwill begin once new media laws are

SUMMER CAMP

2014

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FLOODS 2014

Companies’ First Financial Assistance 1,836,793.17 dinars. Additionally, the Serbian Wind Energy Association (SEWEA) donated food and baby equipment with a total value of 278,034 Dinars. Delhaize Serbia has been ceaseless in its efforts to get aid to the flood victims. On 21st May the company delivered an additional 20,000 cans of tuna, 3.5 tons of bread and 10,000 litres of milk in cartons, bringing the company’s total donation to over 20 tons of food. Delta holding sent a total amount of €250,000 for people in the flood-stricken regions of Serbia by 22nd May. That sum will be increased by the amount of one daily salary of all employees combined.

The floods that hit Serbia, Bosnia-Herzegovina and Croatia on 15th May have led to the mobilisation of practically all available resources in order to provide the necessary aid to the flood victims and remedy the consequences of the floods. Apart from citizens and institutions, numerous companies operating in the region have jumped on the aid wagon by donating products, money, resources and infrastructure.

litres of bottled water and 4 tons of food. The Bank has also called on its 3,000 employees to provide personal contributions with payments to a dedicated account.

Alpha Bank Serbia donated 1.1 million dinars to the Serbian Red Cross and also paid for the hotel accommodation and expenses of ten families of their employees whose homes were damaged in the floods. Apart from donating money, the bank’s employees will raise funds for those who need it the most at the moment, as well as for their co-workers living in the flooded areas.

Belmedic has put its ambulances at the disposal of emergency response services (this campaign is being carried out in collaboration with emergency medical services). The company is currently preparing to donate medical supplies and disinfectants that will soon be delivered to the flood victims.

Asseco SEE donated 78,000 litres of water worth over three million dinars and the company’s employees donated basic necessities (nappies, blankets and similar) that were shipped from the company’s premises to shelters. Atlas Group decided to donate 100,000 litres of Aquamonte bottled water. The Lipovo Water Factory in Kolašin, Montenegro, has increased its water production in order to deliver the water as soon as possible in collaboration with the Serbian Embassy in Montenegro. President of Atlas Group, Dr Duško Knežević, donated €50,000 of his own money to the flood victims. Bambi and Knjaz Miloš are actively participating in all campaigns for the flood victims. Knjaz Miloš has donated to crisis committees Aqua Viva bottled water and other products from its range. The company is petitioning citizens who still don’t have access to drinking water to get in touch with them and also report any increase in the prices of Knjaz Miloš products by calling 0800 100 700. Banca Intesa donated 10 million dinars, 50,000

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British American Tobacco sent 20,000 babies’ nappies, 20,000 litres of bottled water, 5,000 cans of food, 2,000 litres of disinfectants and personal hygiene items, 30 pairs of boots, 30 PPE suits and two large electricity generators Carlsberg Serbia has shown its solidarity with the flood situation in Šabac by donating €50,000 to the local branch of the Red Cross. This will help provide basic necessities to the citizens of Šabac and the surrounding area. Coca-Cola Systems in Serbia has provided initial aid of €500,000 through a joint efforts of employees and member companies of the system worldwide. Coca-Cola volunteers are involved in the formation of Red Cross info centres.

Delta Sport donated clothes, footwear and underwear worth €145,000 to the Red Cross. The donation of 20,600 items of underwear, 4,100 pairs of slippers and 4,000 T-shirts has been sent, while the donation Collection Centre in Bežanijska kosa has been given 173 items of bed linen. Delta Transport System (DTS) has put its vehicles at the disposal of the Belgrade City Headquarters, while it has five workers who are volunteering nonstop in the Headquarters. Direct Group The concept of corporate social responsibility has always been the essence of Direct Group. We have been following this philosophy ever since, believing that giving to those in need is our mission. Direct Group has purchased the required necessities and provided its transportation fleet to the Government of the Republic of Serbia as well as making a monetary donation. We express our sincerest gratitude to everyone who has recognized this difficult and emotional time and has offered help. Erste Bank, as emergency assistance, paid a million dinars onto the account of the Red Cross on Monday 19th May. All payments by individuals onto the accounts for assistance of the Government of Serbia, Red Cross Serbia and the B92 Fund are carried out at Erste Bank without paying additional charges. Eurobank paid a million dinars to help those in need onto the account of the Government of Serbia. This is the first financial support for immediate action in an emergency situation and help will continue to be sent in the period ahead.

victims. This is only a portion of the financial assistance to be provided by the company and its 2,000 employees. The company has also set up a special phone number – 011 / 222-0-555 – which flood victims can call to report flood damage. Heineken Serbia donated the amount of three million dinars via the dedicated bank account of the Government of Serbia. This amount only represents the company’s initial support. Hemofarm intervened by sending a donation of medicines (antibiotics, analgesics, pumps for children, infusion solutions and disinfectants). The company has made available its professional fire fighting unit which will react immediately, in accordance with the needs of police and crisis teams. Hemofarm also sent a donation of water and essential foodstuffs. Henkel Serbia donated toiletries and hygiene products worth 1.2 million dinars to shelters for flood victims. The company has also set up a foundation through which goods worth €100,000 are currently being shipped to the flood victims. The Fritz Henkel Foundation, based in Düsseldorf, has set up a special purpose account through which its staff members can donate money to the countries affected by the floods. Hleb & Kifle delivered bread to flood victims in the municipality of Lazarevac. Additionally, the company also donated baked goods, buns and rolls for the shelter at the FMP in Čukarička Padina. Hotel Crowne Plaza continues helping with its food donations, but has also allowed its guests to send a text message to the humanitarian number 1003 instead of paying for their coffee. Intesa Leasing, as a responsible company and in accordance with its capabilities, has followed the move of Banca Intesa by donating financial assistance to the Government of the Republic of Serbia in order to provide help in the flood-affected areas. Jaffa DOO Crvenka also joined the flood relief effort by shipping three tons of its products to the main warehouse in Belgrade where food for the flood victims is being collected. The company also sent 1.5 tons of Jaffa products to the Serbian Army, which were delivered to the Zuce Army Barracks.

Color Press Group transferred 900,000 dinars and, together with its business partners who import and sell furniture, the group has also launched a campaign through which it will donate household items.

Gebrüder Weiss Srbija contributed three tons of water to evacuees from Obrenovac temporarily located at the Belgrade Fair. Breakfast was provided for more than 350 people at the fair on Saturday 17th May. More than 600 5-litre bottles of water were sent to Krupanj and the company is also involved in the action of transporting pumps provided by Grundfos Serbia.

The Karić Foundation made its premises available to people willing to bring donations and the entire assistance will be donated in agreement with the Emergencies Committee and Red Cross Serbia. Citizens can bring their donations to the following premises – Villa Jelena, 1A General Šturm Street, Dedinje, and Alfa University, 3 Palmira Toljatija Street, New Belgrade. These premises will be open for this purpose 24 hours a day.

Continental Wind Serbia donated 10,517 litres of drinking water and around 3,000 food packages. The total value of these two donations is

Generali Osiguranje Serbia transferred a million dinars on 19th May to the bank account specially opened by the Serbian government for the flood

Lilly Drogerie donated toothbrushes, toothpaste, soap and toilet paper to shelters for the flood victims. The company also provided Libero nappies for babies

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and children evacuated from the flooded areas to shelters in Belgrade. In the following few days Lilly Drogerie will do its utmost to supply required quantities of toiletries to people from the flooded areas. Mercator-S, which includes Serbian trade brand Roda, donated humanitarian aid worth 2.3 million dinars. In cooperation with Red Cross Serbia, collection points have been organized in all retail outlets in Serbia for donations of the most needed products. Merck Serbia, a branch of Merck Company (Darmstadt, Germany), donated medicines for patients with chronic illnesses like diabetes, high blood pressure and angina pectoris, which have been delivered to the Central Pharmacy of the Clinical Centre of Serbia. METRO Cash & Carry, in cooperation with Red Cross Serbia, established collection points for gathering aid for the flood victims in all outlets. Stands have been set up in all Metro outlets in Belgrade, Novi Sad, Niš, Subotica, Kragujevac, Užice, Požarevac and Šabac. Microsoft Serbia donated $72,600 to Red Cross Serbia, as well as software that will allow easier and more efficient operation of all offices of the Red Cross, worth $295,240. Microsoft has secured licenses for 20 laptop computers donated by company Gigatron, donated 10 mobile phones in cooperation with Asbis, as well as 10 Microsoft laptop computers and accessories. Software was also provided for the computers donated to the Red Cross by Coca-Cola. The companies’ help will not end with this. MOL Serbia paid a donation of two million dinars to the Government of Serbia in response to the emergency situation. The donation consists of a million dinars in fuel and the same amount in cash, which will be used to repair the consequences of this severe flooding. MK Group and its daughter companies, which include the Sunoko Company, have donated 10 million dinars and are continuing to help the flood victims. So far, MK Group companies have delivered 20,000 Carnex products to the endangered areas and also delivered 30,000 sand bags. Four-star hotel 88 Rooms has provided free accommodation for 14 members of the 63rd Parachute Division of the Serbian Army. Napredak AD from Stara Pazova (operating within Delta Agrar) sent aid in the form of animal fodder to the Dragan Marković Farm in Obrenovac, with the shipment consisting of 10 tons of soya beans. A truck with 7,560 litres of Aqua Gala bottled water has also been dispatched to Mali Zvornik.

Croatia. To date the company has donated 150,000 products worth close to €40,000 to the countries of the region. Nestlé Adriatic has also set up a distribution network for delivering aid in the most efficient manner. NLB Bank Beograd transferred emergency assistance in the form of a donation in the amount of a million dinars on 23rd May. NLB Bank will also comply with the recommendation of the National Bank of Serbia by replacing damaged banknotes free of charge for individuals and companies from the affected areas in the period up to 31st August 2014. NLB Bank’s headquarters in Slovenia also joined in support for Serbia and Bosnia-Herzegovina. Novkabel AD from Novi Sad, a daughter company of East Point Holding, donated a million dinars in cash and two million dinars worth of cables. The company’s trade union plans to set up a solidarity fund through which company employees will be able to donate money for the flood victims. Pelisterka Company from Macedonia has responded to the Serbian government’s call for help. Bearing in mind that fresh, clean drinking water is one of the most needed products during these critical times, this well-known Macedonian manufacturer and supplier has sent 10 trucks with 225,000 litres of bottled water to the affected areas. Pharma Swiss donated Humana baby food and water (over 1 ton), antibiotics and non-steroidal antirheumatic drugs worth a total of over $50,000. Philip Morris secured $75,000 for the purchase of boats and other necessary equipment for rescue teams. The company also made its warehouse space in Tošin Bunar available to the City of Belgrade, in order to store water, dry rations and other assistance. Piraeus Bank paid a million dinars in one-off assistance onto the special account of the Government of Serbia. This payment is only the initial assistance and Piraeus has opened a special account dedicated to its employees, who will, in accordance with their capabilities, make deposits onto a special help fund. Podravka Serbia provided dried children’s food and canned paté sufficient to make 11,800 meals for adults and 12,800 meals for toddlers and older children. The company will continue its relief efforts. Raiffeisen Bank donated a sum of €100,000. These funds were paid onto the account opened for this purpose by the Government of Serbia. The bank will provide loan repayment easing for citizens and businesses who have suffered damage due to flooding.

Meat Industry Neoplanta donated 10 tons of canned products to vulnerable populations in flooded areas, while company Nelt Co., in cooperation with their principals, Procter & Gamble, began donating hygiene products with deliveries of 10 thousand babies’ nappies.

The Regional Cooperation Council (RCC), headed by Goran Svilanović, gave €80,000 to Serbia, with the aim of helping flood victims. The same amount of €80,000 was also given by the RCC to BosniaHerzegovina for the same purpose.

Nestlé Adriatic, as a regional company, is actively participating in the provision of relief to flood victims in Serbia, Bosnia-Herzegovina and

Samsung Electronics transferred 5,787,720 million dinars (€50,000) onto the bank account of the Government of Serbia dedicated to providing

assistance for the flood victims. In the following period, and in collaboration with the Red Cross, the company will provide domestic appliances to shelters. The Serbian Association of Managers (SAM) has called on all its members and their companies to respond to the appeal of the Government of Serbia and the Red Cross by providing assistance in cash and kind to the most vulnerable communities in Serbia. In four days nearly €3.5 million was collected in cash and goods. The Sevojno Copper Mill (Valjaonica Bakra Sevojno), which operates under the auspices of East Point Holding, transferred three million dinars onto the Serbian Government’s bank account dedicated to providing help for the flood victims. In agreement with its trade union, all 1,100 employees of the Mill have decided to donate a daily wage to help the flood victims. Siemens Austria is helping flood victims in Southeast Europe with an international campaign to collect contributions. The action to provide assistance is being coordinated in all 19 countries of Central and Southeast Europe where Siemens Austria is responsible for operations. Societe Generale Srbija donated 10 million dinars of financial support. The donation will be further communicated within the framework of the humanitarian Telethon scheduled by RTS for 25th May. Employees have launched a campaign to collect humanitarian aid and financial contributions for the people affected by the floods, in order to help those in need as soon as possible. The bank has also opened a predefined, special purpose account under the heading “Societe Generale Srbija solidarnost”. Company Stihl will help with the recovery of all of its partners who have suffered damage and has already donated tools for land clearing in Ljubovija to the Dragica Nikolić Foundation and five atomizers for spraying disinfectants in the affected areas to the Institute for Biocides and Medical Ecology. Soko Štark, in cooperation with the Emergency Sector, donated five tons of its products, valued at 1.2 million dinars, to the flood victims and affected areas. Strauss Adriatic donated coffee and coffee-based beverages worth 1.3 million dinars to the flood victims. The company has also donated 2,000 baby food packages, 2,000 juice boxes and 1,200 pieces of canned food and ready meals. Telekom Srbija donated fuel to the Dialysis Centre in Lazarevac. In order to provide for the most effective communication, crisis staff in Serbia were provided with satellite phones and members of staff and volunteers were given a large quantity of mobile phone chargers, as well as 60 limitless SIM cards, 300 prepaid cards with credit and 60 mobile phones, despite itself sustaining huge material damage as a company. Telenor Serbia and Telenor Group paid 10 million dinars onto the account of the Government of Serbia

dedicated for helping those threatened by floods. More than 80 per cent of base stations in affected areas have already been restored to operations. All Telenor services work round the clock to ensure the regular functioning of the cellular network. Telenor users had sent, by noon on 20th May, a total of 415,864 text messages to the humanitarian campaign number 1003, intended to help the population in flooded areas. The price of one SMS is 100 dinars. Turkish Airlines allowed passengers to return tickets with a complete refund for bookings on flights to and from Belgrade and Sarajevo between 15th and 20th May, under the condition that their tickets were original purchased prior to 15th May. UniCredit has so far donated 5,550,000 dinars to the Serbian Government’s account for supporting citizens and affected areas, but has also collected humanitarian aid packages among UniCredit employees. In addition to this, the will of employees to support those who suffered the consequences of this natural disaster are being implemented. UniCredit Group and UniCredit Foundation have also established fundraising in 17 countries where the Group is operating, thus enabling 148,000 employees to help those in need. UNIQA insurance made the number 011/20 24 100 available 24 hours a day to citizens needing to make claims resulting from flood damage. A million dinars was donated within the context of the RTS telethon organised on 25th May, which is just one in a series of donations. UŠĆE Shopping Centre launched a campaign through which people can bring blankets, clothes, footwear and other goods for the flood victims. They can also donate money when paying for their parking. The employees of Confluence Property Management, the company that manages UŠĆE Shopping Centre and Immo Outlet Centre, sent their first shipment of food, clothes and torches. Veliko Srce (Big Heart), general sponsor of the Family Fair event which takes place on the plateau in front of UŠĆE Shopping Centre, launched a campaign entitled “Gifts for Little Friends”, during which members of the public donated markers, crayons, notebooks, children’s books, toys and other children’s products. The Veliko Srce project was launched by Eurobank and The Ana and Vlade Divac Foundation. Vip mobile paid five million dinars onto the account of the Government of Serbia. Vip users have so far sent 222,047 messages the the humanitarian number 1003, thereby collecting more than 22 million dinars. Vip provided its users from the affected areas with free minutes and megabytes in order to be able to keep in touch with their loved ones more. Vojvođanska Bank has put certain instruments in place to assist its clients and companies affected by floods. NBG Leasing which, like Vojvođanska Bank, is also a subsidiary of NBG Group, donated a million dinars to the Red Cross, as well as 10 tons of food.

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116 June 2014 | 35

FLOODS 2014

Embassies’ First Financial Assistance a million euros. Germany responded quickly and sent a team of 35 experts who are engaged in Kostolac. German donations received so far are just initial aid and this country will continue to help in the coming months. Italy has sent Serbia 10 rescue boats and 23 electricity generators with a total value of €190,000. Italy has also paid €200,000 onto the account of Red Cross Serbia. This is only the first part of the humanitarian aid Italy plans to send to Serbia for the flood relief effort. Additional help is still coming and will arrive in the coming weeks from the Italian Government and Italian businesses operating in Serbia, as well as individuals who want to provide tangible assistance and stand in solidarity.

The Group of Arabic Ambassadors, in agreement with Red Cross Serbia, has decided to provide donations of aid packages for citizens affected by floods in Serbia. The ambassadors will personally deliver this aid to Red Cross Serbia. The Republic of Austria has decided to make a donation in the amount of a million euros. Beyond that, associates of the Austrian Embassy spontaneously collected private financial aid in the thousands of euros. Embassy officials also delivered humanitarian assistance (water, blankets, baby food and hygiene items) to evacuees temporarily housed at Belgrade’s Pionir Hall. Azerbaijan sent humanitarian aid worth more than €400,000. The aid from Azerbaijan consists of motor boats and plastic dinghies, diesel generators, pumps and filters for pumping water, tubs and cans for water, a variety of rescue equipment, gas tanks, tents, warm blankets and other equipment. Bulgaria’s rescue team, which consists of 28 officers of the Fire Safety and Citizen Protection Service, has been working on the territory of Jagodina, Paraćin and Ćuprija since 16th May. The Bulgarian Red Cross has already provided humanitarian assistance in the form of the most necessary items (1,000 blankets, 400 pieces of linen, 100 pieces of children’s bedding, 500 pillows, 100 bunk beds, 300 pairs of rubber boots, 1000 pairs of socks and 100 children’s jackets and 100 shirts) The Canadian Embassy’s donation to the B92 Fund at Cinema Rex for citizens of Serbia affected by floods consists of urgent supplies of food, sanitary supplies, hygiene products, underwear, babies’ nappies, water and milk. The help was raised from staff donations and proceeds from the Canadian Club.

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Cyprus, with the support of its embassy in Belgrade, sent a medical team from Cyprus which has had already arrived and is on the ground providing aid and medical care to the suffering citizens of Serbia. The Ministry of Foreign Affairs of the Republic of Cyprus, in cooperation with the Embassy of the Republic of Serbia to Cyprus, is leading an action to collect funds and other assistance that will be transferred to Serbia as soon as possible. Denmark has contributed with two pumps from the Danish Emergency Management Agency, each with a capacity to move 1.6 million litres of water per hour, and a team of 26 persons and 12 vehicles to carry out pumping operations. The Embassy of Egypt is communicating intensively with Egyptian authorities concerning the provision of assistance to the Republic of Serbia. At the same time, as a member of the Group of African Ambassadors accredited to Serbia, the Egyptian Embassy participated in donating funds earmarked for the celebration of Africa Day to the Fund for relief assistance opened by the Serbian authorities. France doubled its original capacity to help in the rescue and clean-up efforts following the floods in Serbia over the weekend of 24th and 25th May and now has a total of 89 rescue workers deployed on the ground. Simultaneously, it also increased capacities engaged in the pumping of water to a total of four million gallons per hour and enabled the installing of a water treatment plant with a significant capacity of 225,000 litres of bottled water a day. In addition to the aforementioned, a helicopter has also been deployed to survey the terrain from the air. Germany has increased its envisaged fund for assistance to Serbia and Bosnia-Herzegovina to

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In collaboration with the German Embassy in Serbia, German charitable NGO Help – Hilfe zur Selbsthilfe e.V. and Forum Serbia-Germany, DSW – the German-Serbian Business Association and the Delegate Office of German Industry and Commerce for Serbia have launched an elaborate campaign that is being simultaneously realised in Serbia and Germany. Many German companies have decided to donate medicine, food, water, equipment and construction material. The Embassy of Israel has so far donated two shipments of humanitarian aid to Serbia, consisting of reflectors, industrial heaters, generators, water pumps, rubber boats, boots, raincoats and blankets. The third shipment, which will include medicines, will be delivered soon. The Government of Japan, following a decision of 17th May, directed funds for emergency use in the amount of 10 million yen, approximately $100,000, in response to a request of the Government of Serbia following the great damage caused by floods in the country. The aid package also includes 50 family tents for cold weather, 250 sleeping mats, 10 water tanks and 20 generators of 220 V. The Government of the Republic of Korea has decided to donate humanitarian aid in-kind in the amount of approximately $100,000 for the people of Serbia affected by the recent floods. Red Cross Republic of Macedonia sent 240 tons of humanitarian aid to the flooded regions and by 22nd May telephone pledge donations of over €60,000 had been directed to Serbia and Bosnia. Macedonia has announced that it will organise a major charity concert under the motto “to unite in humanitarianism” in order to help those affected by the floods. Also sent from Macedonia are a flood rescue team of 30 members, two rubber boats, 15 electricity generators, 23 pumps with a capacity of 200300 l/min and two multifunctional diesel pumps with a capacity of 3,000 l/min, five plastic boats and a helicopter with 15 members of the special Tiger unit. The Macedonian Ministry of Health has also issued medical assistance. Macedonia is continuously providing humanitarian support

and, following a decision of the government, €100,000 will be allocated from the State budget for additional assistance to Serbia. The Netherlands Government allocated €500,000 for emergency aid to Serbia and Bosnia-Herzegovina, which was announced by Minister of Foreign Affairs Frans Timmermans during his visit to Serbia on 20th May. In addition, the Dutch Red Cross has opened ‘Giro 6251’, a donation fund for victims of the flood in Serbia and Bosnia, while a Dutch water expert has also arrived in Serbia to assist in fighting the flood and its consequences as a member of the United Nations Disaster Assessment and Coordination (UNDAC) team. Furthermore, five small electricity generators have been donated and agreements for further assistance are being discussed. Romania has sent Serbia a specialised team of eight people, one high capacity drainage pump of 1020 m3/h, two pumps each of 1600 litres/ minute, two power generators and two boats. The Regional Office for Cross-Border Cooperation, based in Timisoara, also sent three tons of bottled water and hygiene kits, while the Romanian Government sent 10 tons of food, 20 tons of sugar, 18,468 litres of mineral water and 1250 sleeping bags The Slovak Republic has provided the citizens of the Republic of Serbia affected by flooding with financial assistance in the amount of €50,000, as well as material assistance, primarily clothes, worth a further €78,118. Switzerland sent to Serbia four experts of the Swiss department for humanitarian aid, in order to verify specific assistance required in the field of water and harmful substances. As an emergency measure for the affected population of the Western Balkans, the Directorate for Development and Cooperation activated 650,000 Swiss francs. In the context of its annual commitment of 18 million francs, Switzerland will also help Serbia in the process of reconstruction. The Vatican, with an initial contribution of the Holy Father himself of €50,000, through the Pontifical Council ‘Cor Unum’, and on-going contributions of other National Caritas, such as from Slovenia, Austria, Croatia, Italy, Germany, Luxembourg, Hungary and others, are helping the affected areas from Šabac, Valjevo, Obrenovac and the various evacuation centres by bringing them food, clothing and medicines. UNICEF has so far donated hygiene kits and other supplies for emergency purposes worth $100,000. It has also provided psychosocial support for children at all evacuation centres in Belgrade and this help is to be expanded beyond Belgrade. The UN has also sent a team of experts who will assist in damage assessment and help with the organisation of future activities.

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116 June 2014 | 37

EUROPEAN UNION

EU's Post-Election Challenges The European Union faces a series of testing issues over the next five years, chief among them the economy and nearrecord unemployment. The Ukraine crisis, meanwhile, threatens to complicate the international environment and make it even harder for Brussels to make its voice heard

he EU economy is recovering slowly from a record recession, with 26 million people out of work and youth unemployment above 50 per cent in countries such as Spain and Greece. Building a future for this ‘lost generation’ is made more difficult by the austerity policy measures adopted to tame the debt crisis. Governments must now stick to tighter EU rules on budget deficits and debt as they try to find some leeway to stimulate growth and jobs. EU leaders take great pride in having survived the debt and financial crises but now they have live up to their commitments. FOREIGN POLICY The Ukraine crisis has turned into the sharpest East-West stand-off since the end of the Cold War and seriously exposed EU divisions with Russia, a major trade partner and military power in the immediate neighbourhood. Russia’s annexation of Crimea is a particular concern as the first unilateral change of the post-Cold War order by force, a dangerous precedent. Turmoil in the developing world, especially in Africa and the Middle East, presents a huge challenge -- how to reconcile needed change with order. After welcoming former Soviet states of eastern Europe into the fold to give it 28 mem-

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CLIMATE CHANGE, ENERGY POLICY The Ukraine crisis and EU dependency on Russian gas supplies have focused EU minds on the need to diversify energy sources. The US ‘shale gas revolution’ meanwhile gives US companies increasingly cheap energy costs to the disadvantage US TRADE PACT, of their European competitors. They want OPPORTUNITY OR RISK? shale gas opened up in Europe but face voThe Transatlantic Trade and ciferous opposition from environmentalInvestment Partnership (TTIP) is champiists. Britain meanwhile has taken the nuoned by outgoing European Commission clear option for its future energy needs head Jose Manuel Barroso as offering while Germany is closing down its nuclear huge economic gains at relatively little plants in light of the Fukushima disaster in Japan. Pressure to cut greenPressure to cut greenhouse house gas emissions to combat globgas emissions to combat al warming is growing but at a time global warming is growing, but when economic growth and jobs are at a premium, environmental conenvironmental concerns get cerns get pushed down the agenda. pushed down the agenda at a bers, EU enlargement appears largely on hold. Serbia has begun accession talks but the most important candidate, Turkey, seems stuck in an impasse.

time when economic growth and jobs are at a premium cost. Together, the United States and the EU would account for about 40 per cent of global economic output and 50 per cent of global trade. Since the two are already major trading partners, its backers say the changes needed to end tariffs and open up markets are modest. But for opponents, TTIP is a monster, the unacceptable face of globalisation leading to the loss of national and regional identities.

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DISILLUSIONMENT WITH EU The election of a new European Parliament is expected to see eurosceptic and radical parties to the left and right do well, perhaps securing up to 30 percent of the seats. With such a voice and a mandate for five years, EU governments could find it more difficult, or much less desirable to push for greater economic and political integration. Britain is already pressing for the return of some powers from Brussels and it is a message that finds an echo in many other member states. ■

JUNE 2014 BUSINESS LEADERSâ&#x20AC;&#x2122; MEETING POINT

PAGE 44

MIRKO BUTULIJA Director of the insurance directorate at AMS Osiguranje

Deserved Fruits of Labour

PAGE 45

Chartwell International School

Chartwell Pre-School - Discovering the World cordeditorial@cma.rs |

116 June 2014 | 39

CYBER CRIME

The Scam Side of e-commerce The hacking of between 120 million and 145 million eBay accounts, revealed at the end of last month, is the latest in a series of huge data leaks to have hit eBay. But this corporate giant is just one target of cybercriminals who are costing the global economy €220 bilion a year MWR InfoSecurity. The cost of hacking to businesses worldwide is escalating. A report on cyber crime and espionage by the Center for Strategic and International Studies on the black market – to build a detailed he leaking of 40 million of its in Washington last year estimated that profile of a victim. Customers have been customers’ credit card deit costs the global economy around €220 told to change their password urgenttails cost the chief executive billion a year. An industry is growing ly as the hack actually occurred three of U.S. retailer Target, Gregg around hacking. Research by accountanmonths ago. Steinhafel, his job earlier last month and cy firm PwC shows that cyber insurance In the meantime, the impact of the has dented company performance. The is the fastest-growing speciality cover Heartbleed bug – thought to have hit 17 U.S. department store group Neiman ever – worth around €950 million a year per cent of the internet’s secure servers Marcus, British grocer Morrisons and in the U.S. and anywhere between €60 – has come to light. Although it is unlikethe social network LinkedIn have also and €150 million in the EU. ly to be connected to the eBay attack, it been hit by large-scale data breaches as The seismic ripples of hacks will heightens the sense that online security their goldmines of customer details have have struck fear into the hearts been drained, causing corporate huof those in charge of protectmiliation. From “spear phishing” Research by accountancy firm ing priceless data in large finanto “sprite” hacks, the types of dacial institutions. The Financial ta breaches are becoming more frePwC shows that cyber insurance Policy Committee, the regulator, quent and more varied. is the fastest-growing speciality has recommended that additional The perpetrators of the atcover ever – worth around €950 studies are made of cyber crime. tack on eBay are yet to be discovmillion a year in the U.S. and In November the Bank of ered but the auction site said crimiEngland told banks to strengthen nals elicited customers’ names, enanywhere between €60 and €150 their defences against online sabcrypted passwords, email addressmillion in the EU oteurs and invited 100 bankers, es, physical addresses, phone numregulators and government offibers and dates of birth. It may not cials to take part in a “war game” simulais looking shaky. seem greatly sensitive but could equate tion dubbed “Waking Shark 11” in the City. Reports suggest that eBay users to a mortgage being taken out in your Hackers are also raising their prorushing to change their password have name or your identity being used to file. Large-scale organisations including swamped the site. “Even if every hacked commit crime. Anonymous and the Syrian Electronic user changed their password, that would Although no financial information Army have become global names and, still take six days and many have been was involved, fears are rising that the in the latter’s case, fed off the recesunable to change them,” says Ian Shaw, data could be used in conjunction with sion in hitting out at large corporate ormanaging director of the consultant information from other hacks – traded

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116 June 2014 | www.cordmagazine.com

often employees are just ignoganisations online. However, big rant about how systems work,” companies are also often being says Mr France. “Security needs outsmarted by small, organised to spot unusual behaviour, delibgangs, causing further embarerate or otherwise.” rassment. The huge eBay security breach On the surface, companies apalso raises a question over pubpear remarkably vulnerable to atlic communications as the attack tacks. EBay said its systems were dated back to February. David infiltrated via the accounts of a Emm, a sen“small numCyber crime ior researcher ber of employat the internet ee log-in creseems as if it is security firm dentials”, from inexorably on the Kaspersky Lab, which hackers up, as does the said: “While it could gain accost of preventing might seem as cess to an enthough eBay tire database. it. However, if large has been slow “It’s like companies and to respond, if saying ‘I’m a consumers alike the company little bit pregare to prevent has only just nant’,” said discovered the Andrew France, it, decisive and extent of chief executive frequent action will full the attack it is of the cyber deneed to be taken now doing the fence company quickly before right thing by Darktrace. “If notifying custhe accounts bank accounts are tomers in a hacked are the drained timely manner.” chief technoloCyber crime seems as if it is gy officer or chief executive then inexorably on the up, as does the the information could be vital.” cost of preventing it. However, Businesses are even more vulif large companies and consumnerable when suffering deliberers alike are to prevent it, deciate data leaks. In March, the desive and frequent action will need tails of thousands of Morrisons’ to be taken quickly before bank customers were leaked online accounts are drained. The latest and to a local newspaper by a disswathe of hacks may just spark a enchanted employee who had few more sceptics into action. ■ legitimate access to the data. Source: The Independent “That was a malicious case but

What to do to stop the hackers “Change your password, change your password, change your password,” says Andrew France at Darktrace. “I know it’s a pain, but change it every month, use upper and lower case letters and different numbers. It’s the only absolute way to avoid hacking.” Brian Krebs, who writes the blog Krebs on Security, which exposed the Target data breach, also advises changing all passwords, but adds: “Be extra wary of phishing emails that spoof eBay and PayPal and ask you to click on some link or download some security tool; attackers are likely to capitalise on this incident to spread malware and to hijack accounts.”

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116 June 2014 | 41

LOCAL NEWS

His Own Way

Business Dialogue 01

“I’m trying to contribute in my own way. These are very critical times for our country and our people. But we’re being united and this win and this trophy is dedicated to them.” — Novak Djoković, Serbian professional tennis player

GENERALI GROUP

Generali Acquires Full Control of Delta Generali

Piraeus Bank – MIG Mega Deal

Generali’s CEE holding company GPH LUCIANO CIRINÀ, CEO of GPH has reached an agreement for the acquisition from Serbian Delta Group of the minority interests held by the partner in Delta Generali Osiguranje a.d.o. Belgrade. After completion of the acquisition Generali will have full control also of Delta Generali Reosiguranje a.d.o., Delta Generali Voluntary Pension Fund and Blutek Auto d.o.o. The minority buyout of shares has already been approved by the National Bank of Serbia. Generali’s activities in Serbia will face a rebranding procedure according to Generali’s new corporate identity. “This investment is testament to the importance of Serbia as substantial part of our business in CEE region, an area with sustainable growth prospects. We are very grateful to the Delta Group whose support and effective cooperation has been a key to build successful operations over the years, ” said Luciano Cirinà, CEO of GPH With a premium income totaling €130.5 million and a market share of 20% in 2013 Delta Generali Osiguranje is the second-largest insurance provider in Serbia. In Central and Eastern Europe, Generali operates through its holding company GPH in 10 countries (Czech Republic, Hungary, Poland, Slovakia, Serbia, Montenegro, Slovenia, Croatia, Romania, Bulgaria). GPH is one of the largest insurance providers in the region with 2013 total premium income of €.3.5 billion.

A significant agreement between Piraeus Bank Group and MIG has been reached. Piraeus Bank Group proceeds with the issuance of a bond loan of €250 million, convertible into shares, to the Marfin Investment Group. This is a fiveyear bond with an interest rate of 7%, while the price of convertible shares is determined at €0.54. Piraeus Bank has committed itself to a bonds into shares conversion in the amount of €90 million. The importance of this agreement lies in the fact that a Greek bank refinances a large Greek business group which controls leading companies in key sectors of the Greek economy. With the implementation of the strategic agreement and con-

AIR SERBIA

Air Serbia Sees Records Air Serbia has seen its passenger numbers climb in April as the airline was given a boost by the Easter holidays and the lead-in to the May Day break. During its sixth consecutive month of growth, the Serbian national carrier handled 172,954 passengers, a massive increase of 90.4% compared to last year’s 90,844 travellers. During that month the airline launched new flights to Sofia and Budapest and significantly increased frequencies across its network as the 2014 summer season kicked off. In April Air Serbia maintained a share of 47% of all passengers who passed through Belgrade’s Nikola Tesla Airport, up 11% on 2013. During April the airline recorded an average cabin load factor of 68%. Flights which saw the highest cabin occupancy rate were from Paris, Zurich and Amsterdam to Belgrade. Overall, during the first four months of the year Air Serbia has managed to handle over half a million passengers, an increase of 73.2%, making it the busiest carrier in the former Yugoslavia. According to Belgrade Airport, Air Serbia’s biggest competition in the first quarter, from its hub, were Wizz Air, with 91,715 guests, Lufthansa, with 52,526, and Montenegro Airlines, with 42,007 travellers. Source:Ex-YU Aviation News 42 |

BANKING

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MICHALIS SALLAS, Chairman, Piraeus

version of the bonds, Piraeus Bank Group will become the largest shareholder, with a stake in MIG of a minimum 17.7%, while the financial structure of MIG will significantly improve. The intent of both parties is to transform the total of bonds acquired by Piraeus Bank into shares, either through its own system or through making them available to institutional and strategic investors of consensus. In case of future sales of shares held by Piraeus Bank to MIG, there has been agreement on a right to issue to existing major MIG shareholders through the suggestion of the Board of Directors.

TELENOR

Strengthening Leading Position Telenor Serbia generated revenue of 9,873 billion dinars in the first quarter of 2014. Excluding changes in the price of interconnection, revenues increased by one per cent compared to the first quarter of 2013. Telenor’s subscriber base comprises 3.1 million users in Serbia, which is down three per cent compared to the same period last year. “The economic environment in Serbia is still challenging. Competition is fierce, but despite that we have strengthened our leading position on the market and maintained healthy profitability,” says Telenor Serbia CFO Erlan Netten. “We have remained focused on advancing the Smart network in terms of coverage, speed and security, as well as on providing innovative, simple to use services, the latest example of which is the digital service Capture. We are continuing with investments in the network and services by providing a top user experience. “ In the first quarter of 2014 Telenor Group generated revenue of NOK 26.5 billion, representing organic revenue growth of 1.5 per cent.

ENERGY

RENEXPO in Belgrade

The first RENEXPO ® Western Balkans, an international trade fair and a series of conferences on renewable energy and energy efficiency, will be held at Belgrade’s Sava Centre on 11th-12th June. Serbia has been identified as one of the most attractive destinations for the promotion of renewable energy sources and the RENEXPO event will bring together more than 400 participants and 50 exhibitors. The participants will discuss wind energy, hydropower, energy efficiency and project financing. Free-admission additional programmes will be organised for the visitors, including the Energy Night event, organised in cooperation with the German Agency for International Cooperation.

Friends

TOBACCO

“Time goes by, life brings along new challenges and problems but the people who forget who their friends are do not deserve to exist. We cannot and will not forget friendships, we only forget enmities.” — Tomislav Nikolić, Serbian President

EU Will be Able to Export 1,600t of Cigarettes to Serbia Annually

Placements & Postings APPOINTMENTS@AIM.RS

Although Serbian tobacco industry representatives support Serbia’s EU course, they are concerned about the influence of the agreement on their own business The Serbian Parliament’s EU Integrations Committee has adopted a report on the supplementary protocol to the Stabilisation and Association Agreement with the EU which enables privileged imports of cigarettes at a reduced customs rate. That means that as of 1st July EU member states will be able to export 1,600 tons of cigarettes to Serbia annually at a reduced customs rate of 15%. For higher quotas the rate shall amount to 53.6%, as it is now. The protocol has resulted from the months-long BelgradeBrussels talks following Croatia’s admission to the EU. Upon its entry into the EU, Croatia received the same treatment as other member states, which implies higher customs rate for exports to Serbia. As it is officially Brussels that represents Croatia’s interests, the talks commenced and the proposed quota equalled the quantity of exports of Croatian cigarettes to Serbia at the time. Belgrade entered the negotiations with the position that, should it accept the request, Serbia should be approved additional quantities for export of other products to the EU market. Serbia has obtained increased quotas which mean it will be able to export 4,300 more hectolitres of wine, while fish export quotas have been increased by 26 tons and sugar export quotas by 1,000 tons. According to the president of the Serbian Chamber of Commerce, Željko Sertić, the reached agreement forms part of Serbia’s EU and common market accession process. He said that the state should apply some benefits to help the local tobacco industry and reduce the negative impact on its business activities. Serbia has three large cigarette manufactures, which have

According to the president of the Serbian Chamber of Commerce, Željko Sertić, the reached agreemetn forms part of Serbia’s EU and common market accession process invested more than one billion euros in the tobacco industry. Those are multinational companies Philip Morris, British American Tobacco and Japan Tobacco International, which are interested in continuing their business in Serbia. In 2013 they produced a total of 7,000 tons of cigarettes and tripled their exports, especially to the Asian market, above all, to Japan and China. They also contribute to the Serbian budget by paying taxes, contributions and excise duties. However, preparations would take a long time and it is only the Rovinj Tobacco Factory from Croatia that has been prepared, as they have already exported cigarettes in accordance with Serbian regulations. If the quota is based on the first to the border principle, it is the Croatian manufacturer that is to have the advantage and if the market participation principle is applied, it is the foreign companies with factories in Serbia that have greater chances. The significance of this question is best testified to by the fact that the value of the agreed quota amounts to some €50 million, which is a sum that will amount to twice as much after Serbia joins the EU.

GORDANA BRAŠIĆ Henkel Srbija, president

ROMAN KÝR Henkel Srbija, Managing Director of the Laundry & Home Care Sector

LJILJANA BERIĆ UniCredit Bank, Executive Board Member

ENRICO VERDOSCIA UniCredit Bank, Executive Board Member

Gordana Brašić has been appointed as the new president of Henkel Serbia and will be responsible for the operations of the company, which has been present on the Serbian market and those of the region for more than a decade and is one of the most successful companies in the country. With extensive experience dealing with people, it is believed that the new president will skilfully lead Henkel Srbija’s large team. Brašić has a BA in English Language and Literature from the Faculty of Philology in Belgrade and completed her specialisation in human resources at the Economics Faculty of the University of Belgrade. She has been at Henkel since 2008. As the new Managing Director of the Laundry & Home Care Sector at Henkel Srbija, Roman Kýr will be responsible for operations on the Serbian market and other markets in the region. Kýr comes to this new position after serving the company in the position of sales director of the Laundry & Home Care Sector at Henkel Czech Republic and Slovakia. He brings with him valuable experience in sales and marketing and will provide strong support for the existing Henkel team in Serbia. Ljiljana Berić has become the latest member of the Executive Board of UniCredit Bank, in charge of the Finance Sector. She began her career at UniCredit Bank in 2002, initially holding the position of associate responsible for control within the Controlling Department. Four years later she was promoted to the position of director of that department. She left for Marfin Bank in 2007 and took over the position of finance department director. After spending almost two years working outside UniCredit, in 2009 she returned to the bank and was appointed CFO, responsible for asset and liability management, planning and controlling, accounting, statutory reporting and tax issues. Berić holds a degree in corporate finance and accounting from the Faculty of Economics in Belgrade. The Executive Board of UniCredit Bank is richer by one more new member, with Enrico Verdoscia to be in charge of the Corporate and Investment Banking Department. Verdoscia began his career in 1985 at Banco di Roma, before gaining international experience as a consultant to the bank’s representative offices in New York and Tokyo and being appointed director of Banco di Roma in Chicago in 2000. From 2006 he served as the general director of Banco di Roma in Singapore, before two years later becoming Head of GTB and the Corporate Banking Division at HVB Singapore Office. From 2010 he held the position of Director of Finance, Trade and Structured Trade and Export Finance under the auspices of the bank’s division for Central and Eastern Europe. cordeditorial@cma.rs |

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Business Dialogue INTERVIEW

MIRKO BUTULIJA, DIRECTOR OF THE INSURANCE DIRECTORATE AT AMS OSIGURANJE

Deserved Fruits of Labour AMS Osiguranje last year grew 36 per cent in sales of automobile liability insurance policies, which was a result of the dedicated and committed work of employees

tem, which probably also reflects on AMS Osiguranje. How do you fight that? - AMS Osiguranje does not want to fall for provocations and in this respect oppose each influence of interest that anyone wants to make against the system of the Automobile Association of Serbia. In any case we cannot allow that which has been created over years, and here I’m primarily referring to the portfolio that AMS Osiguranje has, to collapse under somebody’s influence. Attempts to change and destroy AMS Osiguranje were rejected by the Serbian Business Registers Agency and the National Bank of Serbia, which once again proves the correctness of the current successful management operations of AMS Osiguranje. The regular assembly of AMS Osiguranje shareholders was ■ How do you explain the fact that AMS Osiguranje experiheld on 25th April 2014. New members of the supervisory board enced the greatest growth in sales of policies in its existence were named and illegal decisions taken were declared null and during the past year? void. AMS Osiguranje employees regularly receive salaries that - It is true that the AMS Osiguranje grew by 36 per cent in sales are much higher than the national average and the most professional and most valuable are only encouraged to use their of automobile liability insurance policies last year as a result of knowledge and potential leverage in the right direction, and that the dedication and commitment of staff, who succeeded in difficult moments to express the seriousness of this work, which is in effectiveness and productivity at work and using their vision and commitment to ensure our brought with it good results. We should At the beginning of the year AMS company has long-term growth and a not forget the record time in resolving Osiguranje received a license stable portfolio. claims, which further contributes to the quality of service. from the National Bank of Serbia to carry out activities within the ■ And finally, what do you think is the key to success and what is your ■ What new elements are you preparproperty insurance sector ing for your policyholders? message to policyholders? - With pride I want to point out that at the beginning of the year - There is no doubt that we have managed to preserve the tradition AMS Osiguranje received a license from the National Bank of of AMSS, which has existed for over 90 years. We continuously invest in the education of employees, with an emphasis on insurance Serbia to carry out activities within the property insurance sector. With this in mind, we are entering into tough market competrends in Europe, and primarily, as a socially responsible company, tition where we will have to deal with our competitors and the we emphasise preventative and educational advice. Moreover, I only way is that, through high-quality and professional analysis would highlight that in the previous period we introduced compliance with two standards to our operations: ISO14001 and OHof needs, we will generate insurance products that will respond SAS18001, which also make us compliant with the requirements of to market demands and satisfy even the minimum requirements quality management system ISO9001 and ensure we comply with of our existing and future clients. the requirements of information security management system ISO27001. This ranks us in first place among insurers in Serbia ■ We are aware of the fact that in the daily press we see that have introduced standards to their operations. ■ certain elements who want to put pressure on the AMSS sysMS Osiguranje (Insurance), as one of the leading domestic insurance houses, has care for its insured clients in the first place at any time. Explaining what separates this company from the rest of the insurance market in Serbia, Mirko Butulija, Director of the directorate for AMS Osiguranje, says: “Our founder and majority owner is the Automobile Association of Serbia and the sales network of AMS Osiguranje is our greatest potential for further development, which will contribute to a large extent to even greater growth in the sales of insurance policies.”

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CORPORATE CHARTWELL INTERNATIONAL SCHOOL

Chartwell Pre-School - Discovering the World The Chartwell Pre-School is situated in Dedinje – a quiet, shady residential suburb of Belgrade located within a 10-minute walk of the Chartwell Primary School We strive to provide a safe, caring, warm and happy international setting where children will play, learn and grow. The children in our setting experience many fun-filled hands-on learning activities that help them explore and form erating successfully for the last 14 years he beautiful main building conclusions about their world. The chilinvesting and expanding both in terms of the Chartwell Pre-School, dren’s self belief and confidence is enof suitable buildings, equipment, mawhich is reminiscent of a gracouraged in our safe and supportive enterials and qualified staff. We are curcious by gone era, sits well back vironment. Learning activities are closerently updating our library and are lookfrom the road, thus ensuring a quiet ly linked to topics and themes which help ing forward to purchasing an interacand tranquil area for playing and learnchildren achieve the required early learntive board – wonderful for young pupils ing. The Pre-School boasts two lovely ing goals, as defined in the Early Years learning English. playgrounds – the lower play ground is Foundation Stage of the British green and spacious, which is excelNational Curriculum. lent for the older children who love Chartwell strives to provide a The children spend most of playing football and other group safe, caring, warm and happy their time with their class teachgames. They can also engage in international setting where ers, focusing on learning through the jungle gym, sandpit and cymeaningful play. The teachers use cle path. The younger children enchildren will play, learn and a variety of resources to encourage joy the cosier, enclosed upper area, grow. The children in our setting children to participate and take an which is also nicely equipped with a experience many fun-filled interest in their learning. This inbig sandpit and a variety of equiphands-on learning activities cludes techniques of storytellment. Our garden patch is used by all the groups. The children bethat help them explore and form ing, puppets, art and craft activities, songs and rhymes, puzzles, come fully involved in the planting conclusions about their world sand and water play, construction and nurturing of herbs, flowers and play and playing on outdoor equipment. vegetables – an activity they thoroughSpecialist classes in music, drama and ly enjoy. The grounds of Chartwell Prephysical education are conducted during School are conducive to environmenthe week and children who stay for the tal awareness, with many trees, birds, afternoon care group have the possibility squirrels and insects being part of the of joining in specialised activities. natural environment. It is a wonderful At the Chartwell Pre-School we value place in which children use their senses our contact with parents and consider to gather information and learn about parents as central to children’s well bethe world around them. ing. It is also crucial that children’s earliThe Chartwell Pre-School is an acest experiences help them build a secure credited pre-school, keeping it in line foundation for learning throughout their with both the Chartwell primary and school years and beyond. ■ secondary schools. - We have been op-

cordeditorial@cma.rs |

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REGIONAL NEWS

Schedule

Business Dialogue 01

“Right now we are at the emergency assistance phase. In the next phase, EU and local experts will be assessing the damage and then they will work on recovering and preventing future tragedies.” — Kristalina Georgieva, EU Commission’s International Cooperation, Humanitarian Aid and Crisis Response Unit

MONTENEGRO

Six Companies Submit Request for Oil and Gas Exploration

SLOVENIA

Styria Pulling Žurnal Publications

VLADIMIR KAVARIĆ Montenegrin Economy Minister

Six companies from the U.S., Austria, Italy, Russia, Greece and the UK have submitted there offers at the public tender for awarding concessions for oil and gas exploitation in Montenegro’s offshore territory. The companies submitting offers include: Marathon Oil Corporation (U.S.) and OMV (Austria) - joint offer; - Consortium: Eni S.p.A (Italy) and Novatek, (Russia); - Consortium: Energean Oil & Gas (Greece) and Mediterranean Oil & Gas (UK). The companies that have submitted offers generated more than $70 billion in total in 2013 and made profits of $10 billion. They have operations in more than 80 countries worldwide, Montenegrin Economy Minister Vladimir Kavarić recently told the press. “Given the global nature of the business, as well as these companies’ references, we can say that the first phase in developing the oil and gas industry in Montenegro has been completed successfully,“ he emphasised. The procedure of evaluating bids and selecting partners will be completed by the end of 2014, Minister Kavarić concluded. Source Balkans News

NADEEM ILAHI

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ALBANIA

IMF: Albania Hit Targets, Electricity Still a Risk Albania’s economy has hit all the targets the International Monetary Fund (IMF) set for a multi-million-euro loan programme, but the country’s electricity sector still poses a threat to the economy. After Albania met all the end-March targets, it reached a staff-level agreement with the IMF team on policies needed to complete a first review of the 36-month, €330.9 million programme before the IMF board’s June meeting. The government expects the economy to pick up in the second half of this year after it pays arrears to businesses. The IMF estimates Albania grew just 0.7 per cent in 2013.

Austria’s Styria Media Group announced at the end of May an end to the Žurnal series of free news publications in Slovenia, due to ongoing weaknesses in the advertising market. The move will lead to losses of 53 jobs. The decision by the Austrian media group affects the freesheet daily and weekly Žurnal24 and Žurnal and news portal Žurnal24.si, published by Žurnal Media, which are reliant solely on advertising for revenue. “This decision was very difficult, but, unfortunately, we had

Fiscal performance was in line with programme targets in the first quarter of 2014. Albania raised corporate and income tax for high earners but cut taxes for low earners and small businesses. Rains in April and May have only temporarily decreased the need for electricity imports, ranging from €90 to €200 million outside the budget. “The electricity sector poses a large fiscal risk. Reforms are urgently needed to improve collections, curb high distribution losses and reduce theft in order to end the current reliance on fiscal support to finance the sector,” said Nadeem Ilahi, the team’s leader.

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no alternatives from an economic standpoint,” Styria Media Group CEO Markus Mair said. A total of 53 full-time and part-time staff are to lose their jobs as a result of the closure of Žurnal Media, Styria said, adding that it was preparing a redundancy package for the staff. The Austrian group will remain present in the country through a minority stake in newspaper publisher Dnevnik and holdings in online market bolha.com and job search site MojeDelo.com. Source: sloveniatimes.com

KOSOVO

Tax Holidays for Foreign Investors The Investment Promotion Agency of Kosovo has confirmed that the government has approved the provision of considerable corporate tax (CIT) and value-added tax (VAT) holidays for businesses that invest at least €2 million in Kosovo. An amendment to the VAT Act will ensure investors who create 30 jobs and invest more than €2 million will be exempt from CIT and VAT for four years. Those investing more than €5 million will receive a four-year tax holiday, while businesses that create 150 jobs and invest more than €10 million will be exempt from CIT and VAT for seven years. The government will also waive customs duties on raw materials and equipment.

FYR MACEDONIA

Standard & Poor: Stable Credit Rating (FYR) Macedonia’s stable credit rating, affirmed by Standard & Poor’s (S&P), is a good signal for new investments, Deputy PM and Finance Minister Zoran Stavreski said in mid-May. ZORAN STAVRESKI “S&P is one of the three leading rating Deputy PM and Finance Minister agencies in the world and its affirmation of the credit rating that was announced is a good signal proving that (FYR) Macedonian policies are solid, including the debt level which is moderate, fiscal policy, monetary policy, banking sector and measures aimed at reducing the unemployment rate,” Stavreski stated. (FYR) Macedonia’s rating is affirmed, he noted, in times when it is being lowered in other countries. “In such relatively difficult times when the rating in countries such as Croatia, Ukraine, etc, is being lowered, (FYR) Macedonia’s is being affirmed. We have maintained stable rating, which is a good signal both for foreign and domestic investors,” said Stavreski reports the Government. Source: Balkans News

Destruction

CROATIA

“The consequences... are terrifying. The physical destruction is not less than the destruction caused by the war. During the war many people lost everything. Today, again, they have nothing “ — Zlatko Lagumdžija, Foreign Minister of Bosnia-Herzegovina

RambollWins Contract for Dubrovnik Airport

Recovery from Balkan Floods Will Cost Billions

Danish company Ramboll has won a contract for consultancy work and contract management for the expansion of Croatia’s Dubrovnik Airport. The project involves the extension of the terminal, including the installation of air bridges, construction of a new administrative building, as well as catering and cargo facilities. Ramboll will be providing a comprehensive range of services across the project cycle to support the client’s decision-making and ensure that the project objectives are met. “This is a great achievement which has only been possible due to our long term focus on aviation”, Kurt Bech, head of aviation for Ramboll, said. Roko Tolić, the CEO of Dubrovnik Airport, says the project is part of the airport’s 2020 masterplan. He expects for the European Union to partially finance the project. Dubrovnik Airport opened a brand new terminal, Croatia’s most modern, in 2010. It stretches over 13,700 square metres and has the capacity to handle two million passengers per year reports. Source: Aviation News

ROMANIA

Bosch Starts Production in New Cluj Unit Recently, German technology group Bosch opened in Cluj its second production unit in Romania, dedicated to manufacturing electronic car parts and control devices for the car industry. The company also recently expanded its production unit in Blaj, in which it invested approximately €50 million. By the end of the year, Bosch will hire 200 more people, taking the total number of workers in the Blaj unit at 1,000. Bosch inaugurated its R&D center in Romania at Jucu, Cluj, with a focus on the development of electron-

BALKAN

ic components and software solutions for the products manufactured in Romania. The R&D centers also provides engineering services for other Bosch units and also for local clients. Approximately 400 people are currently working in Bosch’s communication center in Timisoara which covers over 3,500 sqm and offers services in 19 languages. The center provides technical and IT assistance, accounting, customer relations and document management services. It also offers the eCall emergency service, which is available in 19 European countries. Last year Bosch invested over €70mln in Romania.

BOSNIA AND HERZEGOVINA

Azerbaijani Company to Build Fruit Processing Plant ELDAR HASANOV, Azerbaijani Representatives of the city of Doboj in H.E. Ambassador, (left) and ZLATKLO LAGUMDŽIJA, Foreign Minister and Vice Bosnia-Herzegovina and Azerbaijani company Benkons Bosnia signed a business- Chairman of the BiH Council of Ministers technical agreement on the construction of a factory for processing fruit and vegetables in Sevarlije, worth €30 million. The director of Benkons Bosnia, Elin Zalon, said that the company will be engaged in processing fruits and vegetables, producing fruit juices and other types of products from fruit and vegetables and that it will take over the brand of former giant “Bosanka”.

Recovering from the record flooding of the past week will cost Serbia and Bosnia billions that neither country has, officials said. Serbian Prime Minister Aleksandar Vučić said damage costs could reach €1.5 billion. Although there’s no official total for flood damages, the Raiffeisen Investment Group said in a note to investors that preliminary estimates are nearly €1.3 billion for Bosnia alone. Bosnian President Bakir Izetbegović confirmed the damage bill would reach the billions. Both countries already have opened negotiations with the EU to support reconstruction efforts. Separately, Bosnia’s Serb region has opened talks with its ally Russia. While floods have been less dramatic in Croatia than in Serbia or Bosnia, the east of the country is still partly underwater, forcing people from their homes and ruining harvests. The worst affected areas are Slavonski Šamac and Županja in Croatia’s eastern Vukovar-Syrmia County. The flooding has led to at least 51 deaths: 27 in Serbia, 22 in Bosnia and two in Croatia.

Serbia’s minister for construction, transportation and infrastructure, Zorana Mihajlović, said 3,500 kilometres of roads have been destroyed or damaged and 30 per cent of railway lines are closed. “It’s an enormous tragedy,” said Kristalina Georgieva of the European Commission’s International Cooperation, Humanitarian Aid and Crisis Response unit. The EU has deployed rescue workers, helicopters, boats, tents and other aid from 16 member countries, while more help is planned. “Right now we are at the emergency assistance phase,” she said, suggesting a focus on saving lives and preventing the spread of disease. In the next phase, EU and local experts will assess the damage. Serbia, like much of the Balkans, is poor. The country’s economy has failed to recover fully following the wars and international sanctions of the 1990s and it is also hampered by mismanagement and corruption. The unemployment rate officially stands at 20 per cent, but is much higher in reality. Bosnia has one of the weakest economies in Europe and an unemployment rate of up to 44 per cent. Almost no one has property insurance, meaning many residents lost virtually everything. The final cost of the flood damage is still unknown. An additional problem is the potential emergence of diseases and infections due to the number of dead livestock and the increased numbers of rodents. Source: The Associated Press cordeditorial@cma.rs |

116 June 2014 | 47

WORLD NEWS

Business Dialogue 01

European Union “A whole generation in the European Union pays with their life chances due to a crisis other people, irresponsible people, have caused.” — Martin Schulz, President of the European Parliament

SCOTLAND

RBS Director Receives Nearly £2m in Shares on his First Day in Job The Royal Bank of Scotland has handed its new CFO almost £2 million in shares on his first day in the job at the bailed out bank

Planning to Lure Foreign Talents

EWEN STEVENSON

Ewen Stevenson was awarded 584,506 shares, which will be released to him over three years, to buy him out of pay deals he left behind at his previous employer, Credit Suisse. He is on an annual package worth £1.9 million, comprising an £800,000 salary, £280,000 in pension contributions, £26,250 in benefits and £800,000 in “allowances” - a vehicle used by banks to get round the EU bonus cap. The government has refused to allow RBS to pay bonuses of 200% of salaries, subjecting the bank to the full EU cap that limits them to 100% of salary. This means the maximum Stevenson will receive is £3.8m, provided he manages to meet all the targets for his bonuses. Recruited after Nathan Bostock quit to join the UK arm of Spanish bank Santander, Stevenson takes on the CFO role as the bank battles to return to profitability after reporting more than £8 billion in losses for 2013. Source: theguardian.com

SWITZERLAND

Credit Suisse Fined $2.6bln Credit Suisse has admitted guilt and been fined $2.6 billion for helping Americans avoid taxes, marking the first time in 20 years a major bank has been punished on U.S. criminal charges. U.S. authorities said the Swiss bank, one of the world’s largest wealth managers, helped thousands of rich people hide money in accounts under false names and in fake foundations for decades. In one case, a wholly-owned subsidiary of the bank had been used to hide money from U.S. tax collectors for more than a century, they said. In a negotiated deal, Credit Suisse admitted guilt on one felony criminal charge of conspiracy to aid tax evasion and agreed to pay the fine. As part of the deal it can continue operating in the United States without fear of losing its license.

GEORGIA

Korea Seeks to Invest $760 mln in Georgia

The Korean Water Resources Corporation is planning to invest $760 million in Georgia. The decision IRAKLI GARIBASHVILI was mentioned during a meeting between Georgian Prime Minister Irakli Garibashvili and representatives of Korean Water Resources Corporation, the prime minister’s press service reported. The corporation is interested in hydro energy project “Nenskrahes”, which is set to be implemented on the River Nenskra in Georgia’s northwestern Svaneti region. President of the corporation, Gye Woon Choi, presented the project to Garibashvili.

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JAPAN

116 June 2014 | www.cordmagazine.com

Tokyo Governor Yoichi Masuzoe pledged aggressive deregulation drives to lure foreign talent to the city to spur growth and take back its reputation as Asia’s business hub Japan has very strict immigration policies and business has to battle reams of red tape to attract skilled workers, two factors that tend to put off global firms and foreign investors. “We have to import many intelligent people from abroad. We badly need young talented persons,” he said at a press conference for foreign media. By working with the central government, Masuzoe promised to relax labour regulations in a

planned special district of his metropolis to make it easier for foreigners to live and work. The pledge is part of his wider drive to make Tokyo a more vibrant hub for finance, health care and pharmaceutical development. His initiatives come amid a general view in Japan that Tokyo has lost its appeal as an international business centre after two decades of economic stagnation and because of archaic regulations illsuited to an era of globalisation.

UNITED KINGDOM

AstraZeneca Rejects Pfizer's Final $117bln Bid

British drugs giant AstraZeneca rejected a final takeover bid from US rival Pfizer worth $117 billion (85 billion euros), saying that the terms undervalued the company. At the end of May Pfizer made an improved and final offer worth £69 billion ($117bln), pitched at £55 per share, but added that it would not proceed without a recommendation from AstraZeneca’s management.

RUSSIA

Russia Makes Over $78mln on Student Innovations The commercialisation of inventions by Russian students and postgraduates led to revenue of 2.7 billion rubles ($78 Million) last year, Russian Prime Minister Dmitry Medvedev said at a government meeting. He stressed that over 200 centres that provide public access to scientific equipment and experimental facilities are currently operating in Russia, thus giving an opportunity for students who have no personal equipment to conduct research and implement their own projects. He also noted that a number of Russian universities successfully participate in technological parks, innovation clusters and various technological platforms. According to Medvedev, innovations by Russian universities boost not only the development of these educational establishments, but also the country’s economy. Source: RIA Novosti

Influence

INDIA

“To be influential in tomorrow’s world, to defend our values and our development model, France needs Europe and Europe needs France.” — Francois Hollande, President of France

Marks & Spencer Plans to Open 100 Shops

New $14 bln Airport in Beijing

Britain’s largest clothing retailer Marks & Spencer said this month that it will open 100 retail outlets in India by 2016, instead of the 86 it had planned last year. The clothing retailer, which runs 40 shops in the country, said its Indian same-store-sales grew 13 per cent in the fiscal year ending in March 2014. Three years ago M&S identified India as a priority market and chief executive Marc Bolland last year said that the company planned to offer more stylish and fashionable clothes to Indians after years of struggling with brand positioning in the country. M&S faces tough competition in India from the world’s biggest fashion retailer, Inditex SA, and its Zara brand. Marks & Spencer operates in India in a joint venture with Reliance Retail, a unit of billionaire Mukesh Ambani’s Reliance Industries.

Netflix to Launch in Six European Countries

Netflix Inc. will launch its online movie and TV subscription service later this year in France, Germany and four other European countries, in a major push onto new markets. The other new countries Netflix will enter in late 2014 are Austria, Switzerland, Belgium and Luxembourg, the California-based company said in a statement on Wednesday. The costs of launching on the new markets will keep the company’s international unit at a loss. The company will offer a mix of Hollywood, local and global TV series and movies on the new markets. Details on programming and pricing in each country will be announced later. Netflix currently has 48 million customers for its monthly subscription service in more than 40 countries, with 35.7 million of them based in the United States.

CHINA

China plans to build a new 86 billion yuan ($14 billion) airport in the south of the Chinese capital as congestion continues to clog runways and gates at Beijing Capital International Airport The new facility is planned to handle 72 million passengers and 2 million tons of cargo annually, according to China’s Ministry of Environmental Protection. Beijing’s Capital International Airport, which was built in 1958, is already operating beyond its designed capacity of 80 million passengers per year and in 2013 the

airport handled 83 million visitors. China’s airports handled a total of more than 754 million passengers last year, up 11 per cent from 2012 and 86 per cent from five years ago, official data shows. By 2015 Beijing alone is expected to see 113 million air passengers each year, rising to an estimated 142 million by 2020.

NORWAY

Aker Solution Splits Into Two Companies Norwegian engineering company Aker Solutions has announced that the compaany will be split to boost competitiveness and value creation. The aim is to speed up a streamlining process that will reduce costs and better position all parts of the group to meet the needs of customers in an increasingly competitive global energy industry. The Subsea, Umbilicals, Engineering and Maintenance, Modifications and Operations (MMO) areas will form a new company under the Aker Solutions name. The company will be more strategically aligned, have a narrower focus and deeper synergies in order to strengthen its leading position through its unique subsea technology and state-of-the-art offshore field design. The other units, including Drilling Technologies, Aker Oilfield Services and Process Systems, will be developed independently as part of a new oil-services investment company, named Akastor. The split is scheduled to occur around the end of September.

FRANCE

GERMANY

Directing Funds Towards Home Companies German Retail Acquisitions Beat UK France is considering steps that would direct the investments of financial institutions, such as pension funds and insurance companies, towards French ARNAUD MONTEBOURG companies, according to Economy Minister Arnaud Montebourg. “We have this huge national savings pot, €1,300 billion in life insurance,” Montebourg told a parliamentary committee late last month. “We have not yet decided to increase the level of constraint on insurance companies so that they invest more in the main businesses of our country. We could do that.” “We need this money, these billions, these hundreds of billions, invested in our companies,” he said.

German retail property acquisitions more than doubled in the first quarter as demand for stable returns pushed the total above the UK for the first time since 2012, Cushman & Wakefield Inc. said in a report. Investors bought €3.43 billion of German shops and malls in the first quarter, 116 per cent more than a year earlier, while the UK purchases climbed 27 per cent to €3.37 billion. Insurers, pension funds and money managers are buying German commercial properties as a way of boosting returns amid record-low interest rates on fixed-income markets. cordeditorial@cma.rs |

116 June 2014 | 49

AFTER WORK 08.05.2014

Charity Ball at Cvijeta Zuzoric

FIRST LADY DRAGICA NIKOLIĆ and their R.H. Crown Prince ALEXANDER II and PRINCESS KATHERINE

Their Royal Highnesses Crown Prince Alexander II and Princess Katherine attended a fund-raising ball at the Cvijeta Zuzorić Pavilion in Belgrade. The event was organised by the Serbian Association of Artists of Applied Arts under the patronage of the First Lady of Serbia, Dragica Nikolić. The funds raised will be used for the Pavilion’s reconstruction. MARKO STOJAKOVIC, Head of the environmental team, ELENA MLADENOVSKA JELENKOVIĆ, Marketing Manager, BOJANA JANJUŠEVIĆ-PANTIĆ and IGOR ILIEVSKI, Director General 08.05.2014

Winery Tikveš - Certificate of Quality The team of magazine ˝The Wine Advocate˝, under the leadership of one of the world’s most respected wine critics, Robert Parker, assessed Tikveš’s Bela voda red wine, from the 2012 vintage, with a high score of 95 points, which is one point more than the score this wine got for its 2010 vintage. The Winery was hosted at the Hyatt Regency Hotel’s Metropolitan Grill Restaurant, with numerous representatives of the media, the expert public, partners and celebrities joining in the celebrating of Tikveš’s great success. 09.05.2014

Six years of Don Don Company Don Don, a leader in the production of bread and pastries in Serbia, marked six years of successful operations with a cocktail reception at the residence of the Ambassador of Slovenia. The event was attended by the Finnish Ambassador to Serbia, H.E. Pekka Orpana, and Serbian Deputy Prime Minister and Minister of Trade, Tourism and Telecommunications, Rasim Ljajić.

H.E. FRANC BUT, Ambassador of Slovenia (left), ALEŠ MOZETIČ and his wife JASMIN MOZETIČ, majority owner of Don-Don, RASIM LJAJIC, Deputy Prime Minister and Minister for Trade, Transport and Telecommunications, KUSTAA AIMA KJK, and H.E. PEKKA ORPANA, Ambassador of Finland

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14.05.2014

Reception in Honour of Blood Donors A reception was held at the Stari Dvor royal court to commemorate World Red Cross Day and the National Blood Donors Day. Some 24 people received the highest honours - 50+ for women and 100+ for men - as blood donors. The local Red Cross branches of Lazarevac and Zemun were awarded as the best branches. Red Cross Belgrade also awarded IX Gymnasium High School Mihailo Petrović Alas, the Zemun Gymnasium High School, the Belgrade Medical School and the Zvezdara Medical School for providing the greatest number of blood donors during the 2012/2013 school year.

15.05.2014

Working Breakfast The Serbian Association of Managers (SAM) organised a working breakfast with the Fiscal Council of Serbia during which topics discussed openly included, amongst others, the grey economy, banking system stability, the transparency of public finances, public sector restructuring and pension reform. Motivated by a desire to share knowledge and experiences in the service of improving the country’s economic and financial situation, the discussion was attended by more than 50 SAM members, as well as President of the Fiscal Council, Pavle Petrović, and members Nikola Altiparmakov and Vladimir Vučković. The conclusion was that a balance must be found between what would suit the economy and what public finances can afford.

17.05.2014

ArtLink Performing Arts Managers’ Conference ArtLink’s first Performing Arts Managers’ Conference (PAMC) was organised at Kolarac Endowment with the support of the Central European Initiative (CEI). The conference’s welcome address was given by H.E. Johannes Eigner, Ambassador of Austria to Serbia, on behalf of the Austrian CEI Presidency, and Jovanka Višekruna Janković, Artistic and Managing Director of ArtLink. The PAMC is conceived as an intellectual platform for performing art management themes, contactmaking and exchanges among performing arts managers from all over the CEI region, with sessions delivered by international experts as well as through the participants’ own presentations.

PAVLE PETROVIĆ, President of the Fiscal Council

JOVANKA VIŠEKRUNA JANKOVIĆ and Austrian Ambassador H.E. JOHANNES EIGNER cordeditorial@cma.rs |

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FACES & PLACES

ALEKSANDR CHEPURIN and Defence Minister BRATISLAV GAŠIĆ

Serbian President TOMISLAV NIKOLIĆ (left), Russian Ambassador ALEKSANDR CHEPURIN and SERGEY NARYSHKIN, Speaker of the Russian State Duma 05.05.2014

Victory Day The Embassy of the Russian Federation to Serbia held a reception in honour of Victory In Europe Day, which marks the capitulation of Nazi Germany in WWII. The reception was attended by the Speaker of the Russian State Duma, Sergey Naryshkin, MPs of the Russian State Duma and representatives of Russian companies, as well as a number of senior Serbian officials, including Serbian President Tomislav Nikolić, Deputy PM Kori Udovički and government ministers Nebojša Stefanović, Bratislav Gašić, Aleksandar Antić, Lazar Krstić, Aleksandar Vulin and Jadranka Joksimović.

ALEKSANDR CHEPURIN and ALEKSANDAR ANTIĆ, Serbian Transport Minister

07.05.2014

Polish National Day Head of the Political & Economic Section of the Polish Embassy to Serbia, Hanna Dalewska-Greń, hosted an official reception at the Embassy’s premises in honour of the National Day of Poland. The reception was attended by numerous Serbian officials and ambassadors, including Canadian Ambassador H.E. Roman Waschuk, Indian Ambassador H.E. Narinder Chauhan, German Ambassador H.E. Heinz Georg Wilhelm, U.S. Ambassador H.E. Michael Kirby, Finnish Ambassador H.E. Pekka Orpana, Turkish Ambassador H.E. Mehmet Kemal Bozay and the Vatican’s Nuncio to Serbia H.E. Archbishop Orlando Antonini.

Finnish Ambassador H.E. PEKKA EINARI ORPANA (left), Turkish Ambassador H.E. MEHMET KEMAL BOZAY, U.S. Ambassador H.E. MICHAEL KIRBY and Canadian Ambassador H.E. ROMAN WASCHUK

HANNA DALEWSKA-GREN and H.E. HEINZ GEORG WILHELM, German Ambassador

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IVICA DAČIĆ and MICHAEL DAVENPORT

MICHAEL DAVENPORT and Prime Minister ALEKSANDAR VUČIĆ 09.05.2014

Europe Day Head of the EU Delegation to Serbia, H.E. Michael Davenport. hosted a reception in honour of Europe Day. Speaking at the reception, Davenport said that Serbia still had a lot to do before it became an EU member and added that there was no doubt Belgrade and Brussels were determined to accomplish their mutual goal, namely of Serbia becoming an EU member as soon as possible. The reception was attended by Serbian President Tomislav Nikolić, Prime Minister Aleksandar Vučić, government ministers Ivica Dačić, Nikola Selakovć, Nebojša Stefanović, Kori Udovički, Jadranka Joksimović, Ivan Tasovac and Vanja Udovičić, as well as the Speaker of the Serbian National Assembly, Maja Gojković.

09.05.2014

Europe for Students French Ambassador to Serbia, H.E. François-Xavier Deniau, gave a lecture about the European Union to over 50 students of the Faculty of Political Science and the Society for Academic Development. Following a tour of the embassy, which was part of the Open Days event organised by the EU Delegation to Serbia, a cocktail party and press point were held, at which EU Delegation Head Michael Davenport and Ambassador Deniau responded to questions from the press.

JADRANKA JOKSIMOVIC, Serbian Minister for European Integrations and FRANÇOIS-XAVIER DENIAU cordeditorial@cma.rs |

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FACES & PLACES

IVAN TASOVAC, Minister of Culture and Information, and JASNA DIMIRTRIJEVIC, Director of Ilija Kolarac Endowment Canadian Ambassador H.E. ROMAN WASCHUK 05.05.2014

The International Belgrade Singers “The International Belgrade singers” choir held its Spring Charity Concert at Kolarac concert hall in tribute to the fallen soldiers of all nations during World War I, 1914-1918. The concert’s special guests were the members of the First Belgrade Singing Society choir. The performance was additionally enriched with literary readings in Serbian, German and English by Serbian Minister of Culture and Information, Ivan Tasovac, H.E. Roman Waschuk, Ambassador of Canada, H.E. Johannes Eigner, Ambassador of Austria, and H.E. Michael Davenport, Head of the European Commission’s Delegation to Serbia. All funds collected with the help of this concert will be donated to the Kolarac Foundation for the purchase of a new concert piano.

13.05.2014

First Korean Film Festival - KFFIS 2014 At the new building of the Yugoslav Film Archives (1, Uzun Mirkova Street), the Embassy of the Republic of Korea and the Yugoslav Film Archives marked the opening of the first festival of Korean film in Serbia under the title “Different Colours of Korean Film – KFFIS 2014” (from 13th to 18th May 2014). This event is one in a series of happenings that the Embassy of the Republic of Korea is staging to mark the 25th anniversary of the establishing of diplomatic relations between Serbia and Korea.

Korean Ambassador HE. KIM KWANG-KEUN

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KORI UDOVIČKI, Minister of Public Administration and Local Self-Government, and H.E. NILS RAGNAR KAMSVÅG

MINISTER IVAN TASOVAC and MR and MRS KAMSVÅG 19.05.2014

200 Years of the Norwegian Constitution Norwegian Ambassador to Serbia, H.E. Nils Ragnar Kamsvåg, and his wife Mrs Josephine Kamsvåg hosted a reception at the Norwegian Embassy in honour of the bicentenary of the Norwegian Constitution. The celebration of this exceptionally important landmark date in Norwegian history was attended by many diplomats and guests from the Serbian political, cultural and public scene, including Serbian Culture and Information Minister Ivan Tasovac and Deputy PM Kori Udovički.

22.05.2014

International Donor Meeting An international donor meeting called to assess ways of helping Serbia deal with the massive damage caused by the catastrophic floods and assist in reconstructing the country opened in Belgrade on 22nd May with a minute’s silence for the flood victims. In her opening speech, Serbian Minister without portfolio responsible for European Integration, Jadranka Joksimović, said that the government aims to inform officials of countries, international institutions and creditors that have been active so far in providing official development aid to Serbia about the scale of the floods. The meeting was attended by diplomatic officials from 27 European countries, the U.S. and Asian countries, as well as officials of the EU Delegation to Serbia, the Council of Europe, the European Bank for Reconstruction and Development, the European Investment Bank, the World Bank, the Office of the UN Resident Coordinator, the OSCE and the German Development Bank. Photo: Tanjug

MICHAEL DAVENPORT, Head of the EU Delegation, (left) and ALEKSANDAR VUČIĆ cordeditorial@cma.rs |

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CULTURE CALENDAR CONCERTS

Mikser Festival Music Programme Mikser House, 3rd-8th June During the six days of this year’s Mikser festival, to be held from 3rd to 8th June, musicians will perform on three stages. Over 50 performers represent a selection of the best musicians on the local scene, as well as spicy and great bands from the region. “Let 3”, “Colored program”, “Big contempt”, “KKN”, “Eva Braun”, “Sparkle” and “Preti Bee Gee” are just some of the artists who will perform at the festival. New musical stage project “Secret Life”, which consists of members of the bands “Vrooom”, “Everybody on the floor” and “Darkwood Dub”, as well as other prominent musicians of the Belgrade scene, will premiere at Mikser, as will new regional project Vasil Hadzimanov feat “East Beat”.

Mikser Festival 2014 will host two regional inspiring bands - the citizens of Rijeka provocative “Let 3” and unusual musical attraction from Sarajevo “Twenty”, which the audience know for their energetic and emotional performance on the “Sarajevo my love” in Mikser House earlier in the year. For complete programme information, please visit www.eventim.rs

Plavi Orkestar Niš Fortress, 6th June @ 21.00 Legendary Sarajevo band Plavi Orkestar returns to Niš after more than two decades with a concert on Friday, 6th June at the Summer Stage Fortress of Niš, organized by Long Play. “So much time has passed! We look forward to meeting with the citizens of Niš on 6th June because, like any good celebration, our concert will be full of good vibrations. And we are otherwise known as a group for a good atmosphere. We aim to have a great time on stage and to

convey that to the audience. It is an especially good feeling to hear the crowd sing our songs and I think they know us very well in Niš” says lead singer Sasha Lošić-Loša. Prior to heading to Niš, Plavi Orkestar completed a successful North American tour in March and April, where – in addition to an exclusive concert for a limited number of visitors at the “Florida” in Las Vegas – they performed in Salt Lake City, Los Angeles, St. Louis, Chicago, New York and Toronto. In early May the band was also performing in Helsingborg, Sweden.

Steven Seagal Sava Centre, 24th June @ 20.00 Action movie legend Steven Seagal will perform with his blues band at the Sava Centre on 24th June. Seagal has nurtured a love for blues music since childhood and many would be surprised by the fact that he has been performing music much longer than he has been acting. He got his first guitar aged 11 and since then he has played the blues continuously. He studied performing for years and he has shared his love of music and played alongside the most influential blues legends, including BB King, Bo Diddley, John Lee Hooker, Clarence “Gatemouth” Brown and others. This holder of a seventh dan black belt and

aikido master released his first album, “Songs from the Crystal Cave”, in 2005, combining blues, pop, jazz and reggae and featuring the harmonica playing of Stevie Wonder. The album was among the year’s best-selling on the European market. In his next album, “Mojo Priest”, released 2007, he remained faithful to the blues and the critics proclaimed it one of the best blues albums of the year, which illumantes Seagal’s musical playing talents in the full light. Not many people know that Seagal also has one of the largest collections of blues guitar

Eugene Onegin National Theatre, 4th June @ 19.00 Belgraders first saw and heard this classic work of this Russian master on 1st June 1911, when the Zagreb Opera Ensemble presented Onegin during its fifteen guest appearances. Immediately upon the establishment of the Belgrade Opera as a professional institution, after the maiden premiere (Madam Butterfly on 11th February 1920 in the then Manjež Hall – today’s Yugoslav Drama Theatre), the second opera premiere was Eugene Onegin, which was performed on 8th May

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Laibach Dom Omladine 14th June @ 21.00

Iconic Slovenian band Laibach will perform on 23rd May at Belgrade’s Dom Omladine Youth Centre as part of a world tour marking the release of new album “Spectre”. Laibach arrive in Belgrade with a brand new audio-visual programme to produce an album that in many ways marks a new chapter in their history - “Spectre” literally sounds like a political manifesto in poetic form. “Spectre” is a major, important and, one could say, dangerous step forward for a group that never clearly declared itself politically, but constantly analysed politics through its works, because with its new lyrics and songs Laibach clearly takes a side and consciously leaves behind the comforts of former political freedom and neutrality. The opening theme with classic militant and symphonic flair, Laibach’s “The Whistleblowers” sounds like a continuation of “Colonel Bogey March” and alludes to the heroism of new in the world. He is currently working on a third album, but prior to that he has decided to visit Europe in June and July and along the way he will find himself in Belgrade! Don’t miss this unique opportunity to see in the flesh this star – who has starred in over 40 movies and two major TV series to date, has a black belt seventh dan and Shihan in aikido and who is called “Take Sensei” by his pupils – in a role you’ve never seen him in before: with a guitar and behind the microphone! Tickets for the concert of Steven Seagal and his blues band will be on sale soon!

digital Prometheus figures of freedom Bradley Manning, Edward Snowdon and Julian Assange. In the track “No History” Laibach seeks uncompromising action requiring the courage and bravery of heroes “who will be the faith of the new political destiny,” while “We Are Millions And Millions Are One” is one of Laibach’s few love songs and deals with love in today’s impossible times, which are dangerously close to Yevgeny Zamyatin’s dystopian novel “We”. “Spectre” concludes with the elegant “Koran”, a song that suggests a better and more honest life is possible in this world or the one after, and refers to a series of revolutions and rebellions taking place in the Arab world during recent years.

OPERA

Dragana del Monaco – Guarda Che Luna Sava Centre, 6th June @ 20.00 Dragana del Monaco, mezzo soprano Fabio Andreotti, tenor, Rome, Italy Mario Pavle del Monaco, Vienna, Austria Artistic ensemble MO ‘’Stanislav Binički’’ Choir AKUD ‘’Ivo Lola Ribar’’ Conductor: Vojkan Borisavljević The repertoire will include the most beautiful opera arias, canzone, romances etc.

Arsenal Fest Kragujevac, 26th-28th June Croatian singer Gibonni, reggae musician Gentleman, legendary guitarist Vlatko Stefanovski, Balkan-reggae-ska-dub Dubioza kolektiv, punk rockers Goblins and Atheist Rap, alternative acts Bjesovi and pop sensation Ničim izazvan will perform at the fourth Arsenal Fest, to be held on 26th, 27th and 28th June in Kragujevac.

L’incoronazione di Poppea 1920, also in Manjež Hall – as the building of the National Theatre had been heavily damaged in World war I.

116 June 2014 | www.cordmagazine.com

Madlenianum, 15th June @ 19.30 The Coronation of Poppaea, an opera created in 1643, is considered the first real opera in the history of music. It addresses the Roman period and Emperor Nero who, despite being married to Octavia, seduces and lures his mistress Poppaea

CULTURE NEWS and manages to marry her too. This opera has some timeless qualities, insofar as it is still possible today to grasp its main driving idea, the desire for power, passion, love, betrayal, jealousy, greed and the insane ambition of Poppaea to put a crown on her head. This opera will have its premiere at Madlenianum Opera & Theatre on 15th June.

musical was a regular part of the repertoire until 2011. Its resurrection, after three years and 43 stage plays, will see it set up with the same team of authors, but with major changes in the division of roles.

Terazije Theatre, 4th June @ 19.30 Since 2006 Belgrade has hosted the annual Belgrade International Architecture Week - BINA, which brings together a number of local and foreign architects with the aim of encouraging the advancement of the joint exchange of architectural and urban development of the city. “Public Space” was the theme of this

Gospodjica Yugoslav Drama Theatre, 18th June @ 20.00 Theatre play

Mletacki Trgovac

BALLET

Ko To Tamo Peva National Theatre, 3rd June @ 19.30

Goethe Institut, 8th - 31st May

Zorba the Greek

THEATRE

Yugoslav Drama Theatre, 26th June @ 20.00

9th International Architecture Week

Based on the 1946 novel “The Curious Adventures of Alexis Zorbas” by Nikos Kazantzakis (18831957), Greek director Michael Kakojanis made the film ‘Zorba the Greek’ in 1964 under a GreekAmerican production. The film’s cast included Anthony Quinn, Alan Bates, Irene Papas and Lila Cedar. With music composed by Mikis Theodorakis, the film proved a great success and was honoured that year with three Oscars. Especially notable was the music of Theodorakis, who used this film as a platform to promote traditional Greek music and the folk dance “Sirtaki”, which subsequently became very popular around the world.

Spanish Transition from 19th to 20th Century Instituto Cervantes, 15th May This anthology comprises 11 stories authored by representatives of Spanish romanticism and realism. The translators of the stories are students of the Philological High School in Belgrade, while editing and proofreading of all texts was carried out by Professor Dragana Bajić. The authors represented in the anthology are: Mariano José de Larra and Sánchez de Castro, Gustavo Adolfo Bécquer, Juan Valera and

DANCE Like the film of the same name, the ballet Who’s Singin’ over There will make you laugh. Language game that is not easy (...) Zurovac blends all of his splendid creativity in humour (...) remaining true to self as a funny, aggressive choreographer who draws inspiration from the natural gesture and volcanic stage energy. There is also naked talent - that which does not need expensive costumes and tons of décor, but cannot do without the gorgeous dancers he invariably chooses.

MUSICALS

Les Misérables Madlenianum, 7th June @ 19.30 This classic musical is back in response to numerous requests from the audience. Since it was first staged by Madlenianum in 2007, the

Tango in Red Major Sava Centre, 28th June @ 20.00 We take you on a journey through the hidden side of tango! TANGO IN RED MAJOR led by the famous Gustavo Russo choreographer, will perform at the Sava Center, 28th June. TANGO IN RED MAJOR contemporary show, yesterday’s and tomorrow’s ideas of rhythm, full of color, beauty, glamor and elegance. Gustavo Russo, choreographer, creator, inspiring pioneer of a new generation of artists, along with Samantha Garcia, uses the tango as a basic instrument conveying movement and production, again exposing the tango show in a unique way, rejecting prejudices and stereotypical canon. Orchestra TANGO IN RED MAJOR takes you to a beautiful way to introduce new arrangements of some of the most famous tango songs but at the same time introduce new ones.

Zona Zamfirova Terazije Theatre, 10th June @ 19.30 It was an unknown fact for a very long time that Stevan Sremac based his best work on real-life events that took place in Pristina in the late 19th century. Sremac heard the whole story recounted by Branislav Nušić, who was the Serbian consul in Pristina in 1895. Upon his return from Pristina, one Summer evening at Kalemegdan, Nušić met with Sremac and told him about the story.

Sremac was delighted and asked his friend to let him retell it and this is how Zona Zamfirova was born.

Alcalá-Galiano, Pedro Antonio de Alarcón, Benito Pérez Galdós, Emilia Pardo Bazán, Leopoldo Alas Clarín, Armando Palacio Valdés, Miguel de Unamuno, Ramón María del Valle-Inclán y Vicente Blasco Ibáñez.

year’s BINA and the network of institutes of culture of European Union member states in Serbia (EUNIC – Cluster Belgrade) jointly participated in this programme. Under the auspices of BINA will be the presentations of Urban Incubator projects: Belgrade – from the Model for Savamala (in cooperation with the Netherlands Embassy) to tours through the city that will be led by Goethe-Guerrillas through the project in Savamala and the project of publishing house “Gestalten” from Berlin. Celebrating a decade since the greatest enlargement of the European Union, the festival deals with the specific impact of enlargement on the psychological map of the continent, united in respect and celebrating cultural and natural diversity. The idea of the festival is not only to bring the best European film productions to Serbia, but also to prove that Serbia’s visual arts can stand shoulder-to-shoulder with Europe’s best creative achievements.

4th Festival of the Art of Photography Kragujevac, 29th May – 1st June The International Festival of Artistic Photography “Fotorama04” is being held in Kragujevac from 29th May to 1st June 2014. Since 2011 this festival has provided an opportunity for young photographers from the countries of the Western Balkans and the Danube region to present their works and meet with more established artists from other countries. These artists showcase their work at the festival and conduct seminars and workshops on the latest photographic techniques, as well as the most interesting and most innovative artistic trends. Standing out as the absolute protagonists of this year’s edition of the festival are female

Festival of European Film Dom Omladine, 16th – 21st May The EU Delegation to Serbia, EUNIC, the EU Info Centre and Dom Omladine Youth Centre Belgrade organised the Festival of European Film for the third consecutive year, offering audiences a wide selection of contemporary films and documentaries from the Old Continent. The slogan of this year’s festival was. The festival, this year under the slogan “In-BetweenLand”, was opened on 16th May by H.E. Michael Davenport, Head of the EU delegation to Serbia. The festival screened a total of 30 feature films and documentaries from 22 EU member states and Serbia, including this year’s Oscar winner for best foreign language film “The Great Beauty” (“La Grande Bellezza”), winner of the 2013 Palme d’Or at the Cannes Film Festival “Blue is the warmest colour” and BAFTA winner “Philomena”.

photographers with a desire to explore and analyse their approach to the visual arts, as they face reality with a different sensibility and perception in relation to their male counterparts. The Italian Culture Institute in Belgrade participated in the festival by supporting the presence of Lucia Giacani, a fashion photographer of international renown who presented some of her best photos and held a series of seminars for professional and artistic improvement.

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TOURNAMENT

Socialising

Through Sport This golf tournament for diplomats and executives seeks to promote socialising and friendly competition, but also offers prizes and golf lessons for novices

of Novi Sad, Mr Miodrag Milošević, together with the tournahe Embassy of the Kingdom of the Netherlands and the Malaysian Embassy, in cooperation with the Golf Centre ment organisers: Consul of the Embassy of the Kingdom of the and media partner CorD Magazine, will organise the 5th Netherlands, Mr Frans Rotmans, First Secretary of the Embassy of Malaysia, Mr Ahmad Ibrahim, and President of the Belgrade Golf Tournament for the Diplomatic and International Golf Centre, Mr Saša Jokić. Business Community. The impressive turnout is evidence that this tournament has The Golf Tournament for the Diplomatic and International a good perspective. There is no doubt that golf courses are very Business Community has been organised for two years and the suitable for encounters between different cultures and people last event, in October 2013, exceeded all expectations – with 48 from many business circles. Golf is a sport that brings together golfers playing the tournament for interesting awards. On the successful people and an ideal sport for meeting and socialising. same day, the golf demonstration day was well attended by nonThe Malaysian and Indonesian embasgolfers and participants had their first golf lessons and took part in a mini-toursies offered an exotic Asian cuisine to the Golfers from embassies, delight of all players and guests. Sponsors nament. international recognised the possibilities and importance In the Stableford competition, first organisations and the of this event and donated attractive prizes place went to Mr Bjarne Bundgaard business community for the various winners of the tournament. Lauritzen from UNDSS. Second was the are invited to join the 5th Golfers from embassies, internationAmbassador of Malaysia in Sarajevo, Mr Annuar Bin Kasman, while third place al organisations and the business comGolf Tournament and went to Mr Ibrahim Ahmad from the munity are invited to join the 5th Golf Golf Demo Day, which Embassy of Malaysia in Belgrade. Tournament and Golf Demo Day, which will will be organised for all First place in the ladies competition be organised for all non-golfers seeking to non-golfers seeking to went to Mrs Lee Sung Park from South get acquainted with the game of golf. Korea. The overall winner of the tourNumerous attractive prizes offered by get acquainted with the various sponsors can be won. nament was Malaysian Ambassador in game of golf Contact us on: office@golfclubcentar. Budapest Mr Dato Kamilian Maxon. rs and reserve your place in the tournament! Among golfers from the Golf Centre, first place in the ‘bruIt looks to be a special day at the golf course for players and to’ category was won by Mr Vladimir Grčić of Slovenia, while first non-players, with a nice atmosphere and where you can enjoy the place in the ‘netto’ category was won by Mr Ivan Misevski from game of golf or practice and learn more about it, meet people and Macedonia. enjoy the scenery with a delicious lunch. At the official Award Ceremony, guests and participants We are all looking forward to seeing you at the tournament! ■ were welcomed by Deputy Head of the Mayor's Office of the City

5th

GOLF TOURNAMENT

& international in Serbia

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Golf Centar May 22nd, 2014.

SPECIAL EDITION

World Markets and Opportunities

CANADA - c ountry of diversit y -

2014

cordeditorial@cma.rs |

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CANADA HAS TEN provinces (Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, Quebec, and Saskatchewan) and three territories (Northwest Territories, Nunavut, and Yukon).

ACCORDING TO THE UNITED Nations Human Development Index, Canada has the fourth highest quality of life in the world.

OCCUPYING THE NORTHERN HALF of North America, Canada is the second largest country in the world (approximately 9,984,670 sq. km), with a population of about 32.5 million and comprising six time zones. Ottawa is the capital of Canada and the country's fourth largest city.

CANADA IS A DEMOCRATIC constitutional monarchy, with a Sovereign as head of State and an elected Prime Minister as head of Government. The Sovereign appoints the Governor General, who performs the monarch's duties, but does so only on the Prime Minister's recommendation.

LEADING EXPORTS are: automobile vehicles and parts, machinery and equipment, high technology products, oil, natural gas, metals and forest farm products.

HOCKEY AND LACROSSE are the national sports.

BETWEEN 2006 and 2011 around 1.2 million foreign-born people immigrated to Canada. These recent immigrants made up 17.2% of the foreign-born population and 3.5% of the total population of Canada. Source: Employment and Social Development Canada

THE COUNTRY'S ECONOMY is heavily dependent on natural resources. In the vast wilderness of Canada one can find bears, beavers, moose, lynxes, cougars, geese, pigeons, herons and eagles. In the coastal waters there are whales, dolphins, sharks and salmon.

INTERVIEW H.E. ROMAN ANDREW WASCHUK, CANADIAN AMBASSADOR TO SERBIA

Land of Diversity Canada is considered a promised land for many young people, especially educated ones, and after graduation foreign students can stay and work in Canada for a maximum of three years

alism are always of making sure that everyone can feel at home; (c) we continue to believe in building caring communities - our healthcare and education programmes are designed to protect citizens, both old and new, from catastrophic health risks and provide a level playing field to make the best of young people’s talents.

anada is a vast, multicultural, bilingual, academically successful, economically powerful and culturally diverse nation and, according to Ambassador Waschuk, it also enjoys excellent cooperation with Serbia, thanks in no small part to the Serbian Diaspora living in Canada. ■ Canada is one of the world’s most developed and stable economies, a vast country with large natural resources and a highly educated workforce. What would you add to this? - I’d have to agree with you on that trio of key characteristics of our country, and add three more: (a) we are a nation built on evolution, not revolution, drawing on one of the world’s oldest continuous constitutional traditions as a guarantee for our democracy; (b) Canada accommodates diversity within its vastness - federalism in the form of 10 provinces and 3 territories, recognition of aboriginal self-government, official English and French bilingualism and multicultur-

■ Your country is also something of a “promised land” for young highly educated immigrants who come from

It is easy for a young person from abroad to integrate in Canada because of its multiculturalism, which is interwoven into every part of their daily professional and personal experience in Canada, while foreign students are also eligible to register for work & study programmes

WORLD MARKETS AND OPPORTUNITIES | CANADA

all parts of the world, including Serbia. What does Canada offer them and what are the experiences of young people who come from Serbia and the region like? - Indeed, Canada is considered a promised land for many young people, especially educated ones. Postsecondary diplomas from Serbia and other regional countries are very

much respected in Canada, especially in the fields of IT, mining, electrical engineering, agriculture and environmental studies. There is a wealth of different programmes offered for international students. Students from this region have very good experience with Canadian education’s system of combining theoretical knowledge with practical experience. The education system in Canada constitutes an excellent environment that allows the student not only to succeed but also to bloom, because students gain from practical placements in industry. For a young person coming from abroad, it is also easy for them to integrate in Canada because of its multiculturalism, which is interwoven into every part of their daily professional and personal experience in Canada. A foreign student in Canada is also eligible to register for a work & study programme once they are enrolled at a university in Canada. Such an experience enriches their own learning experience and helps them develop policies on how to bridge the gap between the lab, field an society. After graduation, foreign students can stay and work in Canada in the field of their studies for a maximum of three years and in that way gain international work experience that is valued

DIVERSITY

Canada accommodates diversity within its vastness - federalism, recognition of aboriginal self-government, official English and French bilingualism and multiculturalism are all ways of making sure everyone can feel at home.

throughout the world. Canadian universities also offer scholarships for postgraduate international students, based on their academic merits. International students are also interested in the International Experience Canada programme, which allows young professionals to come and work in Canada for a year. ■ Some time ago an article circulated news portals in Serbia which stated: “A decent life in Canada includes at least two annual holidays in a Caribbean resort, three cars per family and a house of 300 square metres”. Is this really true and what makes life in Canada pleasant, except for economic stability? - I’m afraid your news portals may be slightly overstating the leisure aspect of Canadian life. While many Canadian families enjoy a holiday in the sun to break up the winter months, going twice seems a bit much, especially as we don’t have as many days off work as Europeans. As for vehicles, we have an average of one and a half per family; while some families are keen to own more, others (especially in big cities) are trying car-sharing, cycling, transit and other options to reduce the cost and environmental impact of auto ownership. Our average house is about 200 sq m in size, though many have been built in the past 20 years in the more generous (and costly) 300 sq m range. What makes it all worthwhile? For most Canadians, it is the “neighbourhood feel”, the sense that you share certain values and experiences with the other people on your street, the other parents at school, or the other volunteers at the community recreation centre. Also, having the space (both literally and figuratively) to pursue

EDUCATION

Canadian universities offer scholarships for international post-grad students, while students are also interested in the International Experience Canada programme, which allows young professionals to work in Canada for a year.

interests ranging from gardening in your own backyard to canoeing in a nearby park or conservation area. ■ When it comes to political trends, a global trend over the past decade has been the strengthening of conserva-

With an immigration policy that balances economic, family and humanitarian considerations, Canada helps ensure a steady stream of professionals arrive to fill skills shortages, along with families highly motivated to make an energetic new start in life tive options. What is the situation like in Canada in this respect? - At the federal level, our government has been formed by the Conservative Party of Canada since 2006, under the leadership of Prime Minister Stephen Harper. So in that “capital C” sense, we fit into the trend that you’ve identified. In many policy respects, however, this government has been very innovative (tax-cutting, public service reform, free trade with Europe), so prag-

IMAGE

Serbian artists that immigrated to Canada have contributed to the excellent image of the Serbian cultural scene in Canada, such as writers David Albahari and Vladimir Tasic, illustrator and caricaturist Dušan Petricic, composer Ana Sokolovic et al.

matic, measurable, positive change is also very much part of the picture. ■ One of the most significant characteristics of Canadian society is its ethnic diversity. In which ways does that enrich and regenerate society as a whole? - Ethnic and other forms of diversity are constant reminders to us at home in Canada that there is a whole world of people and opportunities out there. With an immigration policy that balances economic, family and humanitarian considerations, we help ensure a steady stream of professionals arrive to fill skills shortages, along with families highly motivated to make an energetic new start in life. Canada is one of the few countries in the world where immigrant children in the first and second generation generally succeed at school as well or better than their native-born peers (who are themselves consistent Top 10 PISA test performers). Seeing this focus on achievement, a majority of Canadians is reassured in their view of immigration and diversity as a net benefit. ■ When we have the case of a country that is so rich in different identities, the rule is that such a country has a fertile cultural scene. What are the personalities and phenomena in Canadian culture that we can highlight as being the most relevant at present? - Canadian filmmakers are performing strongly, with two winning prizes at this year’s Cannes festival: the young (25) yet experienced (fifth movie) Xavier Dolan for “Mommy”, and veteran David Cronenberg for “Maps to the Stars”. It has also been a very good year in literature, with the Nobel Prize going to short story laureate Alice Munro. Four Munro story collections

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and a novel are among the 250 books by Canadian authors translated and published in Serbia over the past decade. Audiences in Belgrade, and this year Novi Sad, have also encountered and enjoyed Canada’s top contemporary dance companies. ■ There are very intense cultural and academic exchanges between our two countries. What are the most important points of this exchange? - Strong cultural and academic bridges between our two countries have enhanced overall bilateral cooperation. Literary bridges have been strengthened through visits by numerous Canadian writers who attended their book launches in Serbia. We are very grateful to Serbian publishers and university professors – Canadianists – for spaying such an interest for Canadian literature. Serbian is ranked within the top three languages in respect to the number of received translation grants by the Canada Council for the Arts. The Serbian Ministry of Culture implemented a similar programme according to the Canadian model in light of promoting the Serbian literature abroad. Canadian performing artists are invited to numerous Serbian festivals, such as BITEF, BEMUS, the Belgrade Dance Festival etc. I would like to name just some of the recent visiting Canadian artists and companies, such as Gradimir Pankov and his Les Grands Ballets Canadiens, Ballet Jazz de Montreal, Compagnie Marie Chuinard, famous theatre director Robert Lepage and his Ex Machina company, Ana Sokolović and her a capella opera Svadba. Canadian film is regularly present at Belgrade’s FEST, Francophonie Film Festival, documentary film Festivals, BOSI fest, KIDS film festival etc. Canadian visual artists have established excellent cooperation with their Serbian colleagues through the University of Arts in Belgrade and galleries throughout Serbia. Our embassy is proud to be able to showcase many of the segments of Canadian culture within our Canada Days programme in towns outside the

capital of Belgrade. Just last month we were present with Canada Days in Kraljevo, thanks to excellent cooperation with the Kraljevo National Library and Kraljevo City Hall. We presented Canadian Francophone literature and the Canadian children’s film pro-

The Serbian Association for Canadian Studies organises biannual international conferences in Serbia attended by distinguished professors of Canadian studies from all over the world. In return, Serbian theatre plays and films are regularly presented in Canada

WORLD MARKETS AND OPPORTUNITIES | CANADA

gramme in this town. There are also three universities in Serbia that teach Canadian studies, mostly within the fields of literature, history and geopolitics. Canadian professors are often the ones who identify and translate Canadian titles. The Serbian Association for Canadian Studies organises biannual international conferences in Serbia attended by distinguished professors teaching Canadian studies from all over the world. In return, Serbian theatre plays and films have been regularly presented in Canada from Vancouver on the West Coast to Ottawa, Montreal and Toronto on the East Coast. Serbian literary readings are organised with the assistance of the Serbian Diaspora and the famous Serbica bookstore in Toronto, owned

by the Apić family. Serbian visual artists have also displayed in Canada on numerous occasions. They have a very good cooperation with the Atelier Presse Papier from Trois Rivières in Québec in particular. Many of the Serbian artists that immigrated to Canada have contributed to an excellent image of the Serbian cultural scene in Canada, such as writers David Albahari and Vladimir Tasić, illustrator and caricaturist Dušan Petričić, composer Ana Sokolović (who was recognized as a national Treasure of Québec two years ago), theatre actress and director Dragana Varagić and many others. Distinguished Serbian academics and researchers are also invited to attend conferences in Canada. ■ The government portrays Canadians as being a very peaceful people. If we were to highlight the main characteristics of the Canadian mentality, what would they be? - Very peaceful? Yes, unless provoked by radical injustice. You should recall that Canadians have not only been active peacekeepers, but also joined the fray in 1914 as an ally of Serbia and went to war in 1939 to help stop Hitler. Polite and self-effacing? Perhaps, where appropriate; but we have also been trying to train ourselves to be more assertive when it comes to sporting excellence. Successive “Own the Podium” initiatives drove Canada to #1 at the Vancouver Games, which we hosted in 2010, and a third-place finish in Sochi earlier this year. We continue to be good at teamwork, perhaps a heritage of sticking together to stay warm in a (periodically) cold climate. ■ What should every foreigner know, but often doesn’t know, about Canada? - Canada has more lakes than all other countries in the world combined. This not only enhances lifestyles (Canadians are always “going up to the lake for the weekend”), but also creates important environmental obligations, as stewards of 20% of the world’s supply of fresh water. This resource role will become even more important in the decades to come. ■

INTERVIEW MILJANA VIDOVIĆ, DIRECTOR OF REV D.O.O.

Delayed Start Construction of the hydro-electric plants near Brodarevo is the biggest greenfield investment in renewable energy in Serbia. The Brodarevo Project has several benefits for Serbia, not only in terms of the investment value, but also in resolving infrastructure problems in the construction zone

EV Company is currently in the final stage of preparing documentation and beginning implementation of a project to build hydro-electric power plants Brodarevo 1 and 2. The company has an environmental protection study in place, as well as the Spatial Plan for Special Purpose Area. REV has also created a hydraulic model and completed geological research. “We have bought all this land and acquired over 50 different opinions and documents from various state-run institutions. We have been implementing energy and mining projects in Serbia since 2006,” says Miljana Vidović, Director of REV. ■ How satisfied are you with your collaboration with the Serbian government and to what extent does the future of your investment hinge on the government and to what extent on other factors? - Our problems stem from the overall climate. The state has definitely been welcoming to investors, but, in reality, we cannot see the results of this. Had there been continuity in fostering a positive attitude towards this project during the political changes while we have been present in Serbia, realistically speaking we could have started

the construction long ago and thus, as investors, spent much less money on development. A huge investment has been made, considering the project has lasted longer than planned. Our further activities largely depend on how the Serbian state treats our company. ■ You have spoken to the media several times and outlined the economic and environmental benefits the project would bring both the local community and Serbia. Would you mind reiterating them? - Through implementation of the Brodarevo 1 and 2 projects REV will spend close to €40 million on infrastructure facilities that will ultimately belong to the Serbian government

The state has definitely been welcoming to investors, but, in reality, we cannot see the results of this adequate intention that the Serbian government has and the total value of the project is over €140 million. The local community and individuals have already benefitted from us being present and making donations in various segments. By constructing a 110kV power line, Brodarevo and Sjenica would be connected electrically, which would round off the regional power grid and provide power supply stability in this part of Serbia. Additionally, with the construction of a new road and two tunnels (2,930-metre-long

Junakovina and 4,650-metre-long Brusovnik), the most critical points on this segment of the main road would be eliminated. We would also shorten the commute between Prijepolje and Bijelo Polje and bypass the most dangerous points on the existing road, making it much safer. Debris coming from Montenegro will be collected at the Brodarevo 1 power plant, making the River Lim much cleaner. The company is also mindful and respectful of strict environmental standards. Obviously, all of the aforementioned factors will benefit both the country and the local community. ■ In terms of what has already been completed, could you tell us which qualitative and procedural standards you have complied with? - This is the biggest greenfield investment in the renewable energy sources segment in Serbia. We have done everything in accordance with IFC standards and auditors TRACTEBEL ENGINEERING GDF SUEZ AND COYNE ET BELLIER INGENIEURS CONSEILS have been auditing our operations, which proves that so far everything has been executed in line with the strictest global regulations and standards. Considering that REV d.o.o. has floated its shares on the stock exchange and our main shareholders come from North America, international financial institutions have carried out all of the required financial monitoring. ■

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INTERVIEW PREDRAG LUKIĆ, DIRECTOR, PHARMASWISS SERBIA

Right Medication at the Right Time Apart from having high quality products, an important segment of our business policy is ensuring that each product is available to patients the moment they need it. Our products play a very important role in the treatment of cardiovascular, urological, neurological and endocrine diseases. Our medication is also used in ophthalmology, paediatrics, dermatology and aesthetic medicine plements which we market in Serbia and other European countries. Specifically, this means our products play a very important role in the treatment of cardiovascular, urological, neurological and endocrine diseases, while our medication is also used in ophthalmology, paediatrics, dermatology and aesthetic medicine. In these medical areas, we recognise opportunities for introducing new treatment options and for our further growth.

harmaSwiss is a pharmaceutical company that has experienced very dynamic development of its production portfolio in a relatively short time. Additionally, the company has managed to successfully develop its niche market, primarily in Central and Eastern Europe. We are talking to the director of PharmaSwiss Serbia, Predrag Lukić, about the reasons behind such fast growth, investments in Serbia, future plans and conditions for doing business in Serbia.

With its modern production facility, experience and know-how, the Serbian branch plays a very important part in realising Valeant’s vision

• What is the company’s fast development based on? - PharmaSwiss Serbia is a young, dynamic and quite successful company. The same adjectives can be used to describe Valeant, which has been our mother company since 2011. The success of PharmaSwiss in Serbia and regional countries, as well as the global development of Valeant, is first and foremost based on a diverse, high quality, well-balanced portfolio of medication, medical devices, natural health products and dietary supWORLD MARKETS AND OPPORTUNITIES | CANADA

• You made a decision to invest in your production facility in Zemun. How efficient has this investment been from today’s perspective and how important it is for the company’s overall business? - Apart from having high quality products, an important segment of our business policy is ensuring that each product is available to patients the moment they need it. Our own production and distribution are the only true guarantee that we will proceed to continuously supply our market. Modesty aside, I would like to underline that our production facility in

Serbia meets all technical and quality requirements in terms of production and export of our medication to the countries of the region and the EU. Our EU GMP certificate is validation of this. In 2014 most of our production capacity in Serbia will be spent on manufacturing various products for the markets of Slovenia, Croatia, Bosnia-Herzegovina and Montenegro. • PharmaSwiss began operating under the name Valeant Pharmaceuticals International three years ago. What role does PharmaSwiss play in this system? - Again, all modesty aside, the Serbian branch is a very important part of Valeant for several reasons. When the acquisition took place, Serbia and Poland were the countries with the biggest turnover in the region, which also comprises other European countries, the Middle East and North Africa. Following expansion to Russia and the CIS countries, as well as the acquisition of one of the leading ophthalmological companies in the world, Bausch & Lomb, the situation today is somewhat different. Still, considering its modern production facility, experience and know-how, which the Serbian branch is eager to share and exchange with other countries, we play a very active role in realising Valeant’s

REGULATION

CRISIS

EXPANSION

Frequent changes in regulations are preventing us from making bigger investments, due to a high risk associated with that.

During the economic crisis, the main thing is to have realistic plans and adjust to the current market situation.

This year our production capacity in Serbia will be also manufacturing for the markets of Slovenia, Croatia, Bosnia-Herzegovina and Montenegro.

vision, namely the protection and improvement of our patients’ health. • An increasing number of large companies have been operating along consolidated regional market principles in order to achieve higher business efficiency. This is made possible due to similar languages, business manners and level of economic development. What are PharmaSwiss’s experiences in this matter? - The lack of linguistic, cultural and economic barriers should be utilised. I have already mentioned that our production facility is regionally orientated, just like other parts of our

company. Our marketing and medical sectors know no boundaries. We have been actively participating in all regional gatherings, we organise professional symposiums with lecturers from all over the region, encourage the exchange of experiences and hold workshops aimed at gaining new knowledge and skills, which are supervised by the most renowned global medical experts. • All the region’s countries have been experiencing economic difficulties which resulted in diminished interest among foreign investors for these investment destinations. How do the economic situation in Serbia and the rest of the region affect PharmaSwiss?

- We in Serbia like to say that the crisis in our country is a “chronic disease” that we have, unfortunately, grown accustomed to. In such circumstances, the main thing is to have realistic plans and adjust to the current market situation. The prices of medication in Serbia and other European countries are dropping, which jeopardises the profitability of some segments of our production portfolio, especially in terms of prescription medication that is covered by the National Health Insurance Fund. Since we view ourselves as a responsible company, we are not going to stop producing or distributing these products from our

Modesty aside, I would like to underline that PharmaSwiss Serbia meets all technical and quality requirements in terms of production and export of our medication to the countries of the region and the EU production portfolio, but will rather become engaged in new treatment segments and reduce the current overheads. Reducing our costs is important and has to be done, but at the same time we have to maintain the quality of our products and services. • Almost all foreign investment groups in Serbia have objected to the business climate in the country, namely to unpredictable business

conditions, red tape, an inefficient legal system and corruption. What do you think are the main obstacles from the perspective of the company you manage? - In our business segment, market stability is an immeasurably more important parameter than market size. Stability facilitates planning, reduces risks, helps you realise your vision, as well as with investing and hiring. Unfortunately, stability and efficiency are things the Serbian market lacks. Frequent changes in regulations and vague deadlines for the implementation of certain legislative procedures prevent us from planning far into the future. This also prevents us from making bigger investments, since they have become too risky. Risk is even more pronounced in the pharmaceutical industry, since you have to think way ahead. For instance, you have to order raw materials for a certain medication six months before the actual medication is sold. Before that, you have to consider the registration process, price approval, as well as the status of that particular medication with the National Health Insurance Fund, which, all in all, can last up two years. We often find ourselves in a situation where state institutions do not observe legally set deadlines, or where deadlines by which state institutions have to make a certain decision are very vague. The result of this is that, following completion of the said procedures, market conditions have changed so much that we are actually forced to abandon the market launch of a certain medication. Regardless of the aforementioned difficulties, we have ideas and knowledge which are the foundation for further development and successful business operations in any kind of environment. ■

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INTERVIEW ZORAN SOKOLOVIĆ, plant manager at Magna Seating d.o.o.

Reliable Producer of Reliable Products Car component manufacturer Magna International is a world leader in providing goods for the automotive industry. With the opening of the company’s car seating plant in the Vojvodina municipality of Odžaci in 2012, Magna has become a driver of employment opportunities and employee development in Serbia ment, the administration of Vojvodina and the municipality of Odžaci have all been exceptionally supportive of Magna and acted as reliable and dedicated partners in the decisionmaking process and throughout the construction phase. The municipality, for instance, provided us with a plot in the newly established economic zone and also helped with infrastructure developments. We have been working hand in hand with the regional and national governments, local FDI advisors and the Canadian ambassador to Serbia in order to create a business envi-

agna International Inc develops and manufactures automotive systems, assemblies, modules and components, as well as engineering and assembling complete vehicles – primarily for sale to manufacturers of cars and light trucks worldwide. Magna has been operating in Serbia since 2012 with impressive results. Magna Seating, an operating unit of Magna International, is an innovative leader in the development and manufacture of high-quality seating systems, seat structure and mechanism solutions, and foam and trim products for the global automotive industry. “Our capabilities range from consumer and market research, full concept development, design and engineering through testing and validation to world-class manufacturing of seating components and complete seat assemblies,” says Magna Seating plant manager Zoran Sokolović.

We have more than 580 employees, have mostly hired locally and are investing in the education of our staff. Naturally, not all positions could be filled with personnel from Odžaci, but even all management-level employees were hired from within Serbia

■ Why did Magna choose Serbia for production and how did the company decide to base its first plant in Odžaci? - Magna continues to expand in south-east Europe alongside the growing manufacturing footprint of our customers. The Serbian governWORLD MARKETS AND OPPORTUNITIES | CANADA

ronment that will benefit all parties involved. One fragment of this cooperation was the availability of land for the plant’s development. The municipality further supported our arrival by facilitating the necessary infrastructure elements, such as access roads, a sewage system, electricity, gas infrastructure etc. ■ In June 2013 Magna announced that it would hire more staff. How many workers do you have today?

- Yes, we were planning to employ approximately 450 people at full capacity. We succeeded in that and today we have even more employees than we had planned. There are more than 580 employees at the moment, and we have mostly hired locally and are investing in the education of our staff. All production staff received special training that qualifies them for the production of seating components in the automotive industry. Naturally, not all positions could be filled with personnel from Odžaci, but even all management-level employees were hired from within Serbia. ■ Does Magna have plants in other Western Balkan countries and, if so, where are they, how many people are employed and what is manufactured there? - In addition to the plant in Odžaci, Magna has established plants in, for example, Bulgaria, Hungary, Slovakia, the Czech Republic and Turkey. Odžaci is the sixth plant Magna has opened in south-east Europe. ■ Which automotive brands do you produce equipment for? - In Odžaci we produce seat covers for Mercedes, Renault and Ford. We manufacture seating components that are delivered to Magna plants in Luton in the UK, Valencia in Spain and KBD in Germany, which in turn finalise the seats and deliver them to our customers. ■

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INTERVIEW DUŠAN PETRIČIĆ, CARICATURIST & ILLUSTRATOR

Art vs. Bureaucracy In my line of work, that is children's books, which has special treatment in Canada, there are festivals and children's literature festivities all over the country all year round. And this really works, because the scene is buzzing and there is always something going on. The fact remains that this environment, with the help of banks, funds the production of children's books and nurtures young readers for the most part. I find that fascinating

n late 2013 celebrated Serbian caricaturist and illustrator Dušan Petričić went back to Canada, where he had been living for the past two decades. In Canada he mostly works in publishing, children’s literature to be more specific, as well as being engaged as a caricaturist for the Canadian media. Here we talk to him about Canada’s culture and art scene, which Petričić is still a very active member of, despite having returned to Serbia. ■ In one of the first interviews you gave following your return from Canada you were quoted as saying that Canada was not a good place for artists. Since this is an economically stable country, do you think it is economic stability and prosperity that stifle artistic productivity?

- I think that is the problem. Canada is known as a country where life is pleasant, where everything is orderly and organised and where the economy is strong. However, that does not go hand in hand with artists’ needs. We can say that there is an organised system in Canada that serves to help culture through funds, grants and project financing. By filling out cer-

Provided they come up with enough money, film artists are very respected and for them things are much better than for visual artists or theatre people

WORLD MARKETS AND OPPORTUNITIES | CANADA

tain forms, artists can apply for these funds, which basically enable them to work. But I think that it all boils down only to that. After a while, you real-

ise that artists spend way too much time filling out the huge number of forms required in order to apply for grants. Additionally, the funds they are granted are only sufficient to start contemplating a project subject, but not sufficient to see the project fully implemented. Hence, instead of doing what they need to do, which is their art, artists spend most of their time chasing money. This applies to artists who are not working for institutions, which allows them to fulfil their artistic mission on a regular basis. My job is somewhat different, because I am closely linked to the media, which do not have art at the core. However, I did spend a lot of time there, socialising with artists who see their profession as something that is not one of the state’s top pri-

orities. I don’t think Canadians are even aware of that, but the people who come to Canada from Europe mostly feel like their hands are tied and that the way they have been expressing their art in the past is no longer going to work. ■ Is this emblematic only to the North American culture? - Well, America is emblematic in many ways, but we should differentiate between the United States of America and Canada. The U.S. has something that Canada doesn’t – a more pronounced and more sincere receptiveness of immigrants. Both the U.S. and Canada are multiethnic environments, but while Canada remained loyal to the British crown, the Americans took a different route. America was built on this openness and sincerity in every aspect. The Canadians are somewhat more oldfashioned and it seems to me that they are faking it a little bit when it comes to their attitude towards immigrants, which is seen through their stance regarding art. I have felt on my skin how artistic processes suffer because of red tape, but I am not complaining. I did quite a few books there. I also learned many useful things by going through that process and complying with their rules. ■ Could you elaborate? - My segment of work is not purely artistic and, even before I left for Canada, I had learned how to commit. I learned to work as much as was required and really immerse myself in work. In terms of children’s books, I had to learn what works and what doesn’t in communicating with children. The pedagogical approach has certain practices that you have to comply with, namely political correctness, respecting national minorities, gender consideration etc. This is not difficult to learn but, as a creative person, I see it as a positive experience. It was very beneficial for me to learn how to incorporate my own creative require-

ments into the requirements of the environment that surrounds me. ■ Speaking about this environment, which artistic segments are the most developed? - Just like in most other countries, film

be in a trend which brings us to the situation where you need to follow a certain trend/subject in order to get the money. This is why many artists from Canada dream about working in Europe after a while, despite Europe not being what it used to be.

DUŠAN PETRIČIĆ

Many artists from Canada dream about working in Europe after a while, despite Europe not being what it used to be remains the strongest category. Provided they come up with enough money, film artists are very respected and for them things are much better than for visual artists or theatre people. ■ What are the predominant topics in film and literature? - I don’t think there is a predominant topic. There are trends in every art segment. For instance, in terms of visual art, conceptual art has been quite dominant for a whole decade now. Conceptual art has spread around the world like wildfire and it seems that there are no other art forms out there anymore. This is happening in Serbia too. In order to get the funds I mentioned earlier, you need to comply with that criterion too, namely to

■ Is this a global phenomenon, i.e. today’s culture not producing artefacts but events? - Well, yes, you could view it as a matter of trend. I think the internet had a lot to do with that, since it is the internet that has facilitated a high level of democratisation in artistic processes. Anybody can be an artist today, anybody can write, paint, publish or show what they’re doing to a huge group of people. I am quite bothered by that and I am known as a staunch opponent of what the internet is doing today, specifically downgrading the quality of art. Yes, I agree with you – there are not artefacts, there are no relics. I am afraid that painting, for instance, will become fashionable again. Just like everybody is starting to use record players again, they will start painting again. I find this unacceptable. Painting should not succumb to trends or fashion, it has to hold a more permanent value than that.

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■ What cities in Canada stand out as artistic and cultural centres similar to Berlin in Europe? - There are no artistic centres in that respect, but there are several cities in Canada which stand out as social, political and economic centres – Toronto, Montreal and Vancouver. Since Montreal is situated in a francophone area, it has always been viewed as the city with the closest ties to Europe and as possessing an atmosphere that people from our country like. Montreal is ‘softer’ than Toronto which, on the other hand, was built to resemble American cities and, by default, looks more American than Montreal. Artists have this sophisticated need to get closer to Montreal and, if possible, work in this city. Of course, language is often an obstacle, since more people speak English than French. ■ Considering what we know about Canadian culture, the country is known for its festivals. Which is the most renowned festival there? - The Toronto Film Festival is the most important festival and it has really become popular in the last decade or so. Twenty years ago it lagged behind the Montreal Film Festival, since Montreal was a very serious art film festival, while Toronto was more a film production festival. However, due to the large amount of money poured into the Toronto Film Festival, it became a big and very important festival, while the Montreal Festival has almost fallen into oblivion. Since these two festivals happen almost concurrently, reading Toronto’s newspapers you couldn’t tell that the Montreal Festival takes place at the same time. Sometimes there are only a few lines dedicated to it, while the media report on the Toronto Festival for two weeks straight. In my line of work, that is children’s books, which has special treatment in Canada, there are festivals and children’s literature festivities all over the country all year round. And this really works, because the scene is buzzing and there is always something going

on. The fact remains that this environment, with the help from banks, funds the production of children’s books and nurtures young readers for the most part. I find that fascinating. Banks provide millions of dollars for promoting children’s books and acquiring books

The idea of profitability in art is one of the reasons why art is becoming extinct

WORLD MARKETS AND OPPORTUNITIES | CANADA

for summer camps, in an effort to keep kids focused on reading during school breaks. ■ How much do Canadian children like to read, considering what you have just mentioned? - That’s the thing – they like to read a lot, since nothing is left to chance. They are aware of the importance of fostering new generations of readers so that these generations grow up to become cognizant citizens and voters one day, as well as well-behaved and cultured adults. This is something that I find very impressive as a person who is engaged in children’s literature in Canada. ■ What kind of special status do books have in Canada?

- Despite a widespread view that Canadians don’t read enough, the opposite is true – they read a lot. Of course, they are not immune to the e-books and Kindle culture, which I don’t find appealing as a person who works in literature. Of course, I am aware of just how important the internet and technology are, but, as an insider, I am also privy to the negative aspects of it, which are going to have a devastating effect in a few decades. If we are talking about children’s books, the paper issues are still prevalent, since it is very important for children to have tactile moments, to flick through pages with their fingers... This kind of communication is something that children absolutely need. ■ I am under the impression that money has been one topic that has permeated throughout this interview. What about inspiration? - I have a huge problem with money being so present as a topic. I am no fool and I am not going to claim that money is not important, but we should be engaged in art. Generally speaking, in life, there are people who are very focused on money and material goods and there are others. The presumption is that ‘the others’ are artists who prefer spiritual values. In the Western world, including Canada and America, I have a big issue with money being the only criterion. In certain areas money is the only norm and has crucial importance, like business and the economy, where money and profit must matter. But when you use money as a criterion in art, everything starts going downhill. During the creative process, artists should not and cannot function with only money on their minds, constantly thinking about who is going to buy their work or whether they will be able to sell it. The idea of profitability in art is one of the reasons why art is becoming extinct. I am convinced of this, considering my experiences here and there. ■

Tennis doubles pair NENAD ZIMONJIĆ and DANIEL NESTOR have dominated the ATP list for years, recording exceptional results

Most Successful Serbian-Canadian Cooperation Canada is a country of globally connected people in a world that needs cultural translators. The 2006 census reports that 20% of all Canadians are foreign-born – marking the highest proportion in 75 years. All newcomers, ancestors of those who came before and the ancestors of Canadian indigenous peoples - are part of the rich diversity of Canada

hat diversity and mixture of human destinies sometimes creates conditions for successful stories, such as the sporting story of two great tennis players: Daniel Nestor and Nenad Zimonjić. When Serbian and Canadian tennis unite today, we get one of the best combinations in the sport on the planet. That has been proven for years by tennis players Nenad Zimonjić and Daniel Nestor, both born in Belgrade and now champions with different passports - one displaying a two headed eagle with a crown, with the other showing the “Royal Arms of Canada”. When they are together, they are untouchable. In tandem they have won 26 titles, reached 13 other finals and individually taken 51 or 84 cups on the ATP doubles tour. They were number one in the rankings, took a few grand slam titles and reached the very top of the sport. Alongside this, they can be proud of the fact they represent a “nightmare” for brothers Mike and Bob Bryan, officially the best doubles pair in the world, because they are one of the few pairs – if not the only – to have a positive record against the Twins. They have earned over $18 million dollars from tournament prize money alone and recorded more than 1,500 victories. They aren’t bothered by the fact

Daniel Nestor and Nenad Zimonjić have earned over $18 million dollars from tournament prize money alone and recorded more than 1,500 victories

that they have long since gained the status of veterans - Nestor is 41 and Zimonjić 37. It is also not a problem that they both have families and children and that, alongside striving to be top tennis players, they also try to be good fathers, i.e. to find time for everything and the right balance. Danijel Nestorović, aka Daniel Nestor, has origins in Macedonia (father) and Croatia (mother). He was born in Belgrade and it was from here that, following an invitation from his uncle in Canada, Daniel travelled with his parents to this distant land in the mid-1970s, in search of a new, better life. Fate later brought him together with the beautiful Natasha, a Toronto-born Canadian with Serbian roots from Čačak. - We met in 2002 at a Serbian party for Catholic Christmas, under the title “This is not our Christmas”. When the majority of Canadians celebrate Christmas on 24th December, Serbs in Toronto organise a party to let them know that their Christmas is in January. My wife was born in Toronto, but her parents are from Čačak. However, while she is fluent in Serbian, I have forgotten it all - said Daniel once, noting that after moving away from Belgrade at the age of four he only returned to the city for the first time in 2007. Nenad Zimonjić, on the other hand, also has an interesting family history. His origins can be traced back to famous duke, crusader, priest and

military leader Bogdan Zimonjić, a brave 19th century Serbian rebel from Gacko in Herzegovina. - Yes, that’s my most famous ancestor. Several families moved from that area and left and one went to the area of Vučkovići near Kragujevac, where my parents come from, and the other relocated to near Čačak. My mother is from Gospić in Lika (Croatia). I hope I’ve inherited the best from both of them – said Nenad. That Balkan mentality, hot blood and even stubbornness, also saw them part ways for a short time, and that happened after one of their most successful years: 2010 (when they won Roland Garros and took six other titles). They did not play together for two years. It is said that they may have been tired of each other and that there was a drop in form, so they decided to try playing alongside others. This was a mistake, which they realised at the end of 2012, when they briefly got back together in Basel and easily won the tournament. - That was a sign for us to consider playing together again. At this year’s first tournament in Sydney we won the title, as well as reaching the semi-final in Melbourne and playing two more finals. We have no reason to be dissatisfied. Now we are second on the list and the plan is to be among the top eight at the end of the season and play in the Masters in London says these Belgraders. ■

CANADA | WORLD MARKETS AND OPPORTUNITIES

CANADIAN ECONOMY

A transparent and stable business climate makes Canada one of the world’s most attractive investment destinations. Openness to global trade and commerce is firmly institutionalised and the economy has rebounded relatively quickly from the global recession

anada’s economy is set to expand next year as exports and business investment pick up steam, according to the latest forecast from the OECD. However, risks remain in the housing market and provincial governments, in particular, need to watch their healthcare spending. Growth in the Canadian economy will reach 2.75 per cent by 2015, according to a report published by the Organisation for Economic Co-operation and Development on 6th May. Businesses will also invest to boost capacity and become more competitive, the forecast said. Spending by consumers is likely to strengthen, as the housing market “should decline towards a more sustainable level,” the OECD said. With the economy firing on all cylinders, inflation is projected to rise to nearly two per cent by late 2015. The Bank of Canada should hike interest rates as inflation rises, the organisation advises. “Fiscal consolidation” should continue among all levels of government, it noted. “Most notably, provincial governments should continue to work on reforms that would limit growth in healthcare expendi-

North America’s Freest Economy

tures,” the forecast said. To keep housing market risks in check, “mortgage-insurance coverage should be limited to only part of lenders’ losses.” Canada’s economic freedom score is 80.2, making its economy the 6th freest in the 2014 Index. Its overall score is 0.8 points better than last year, reflecting improvements in investment freedom, the management of government spending and mon-

Canada’s economic freedom score is 80.2, making its economy the 6th freest in the 2014 Index, and its overall score is 0.8 point better than last year

WORLD MARKETS AND OPPORTUNITIES | CANADA

etary freedom. Canada continues to be the freest economy in the North America region. Over the 20-year history of the Index, Canada has advanced its economic freedom score by 10.7 points, the third biggest improvement among developed economies. Substantial score increases in seven of the 10 economic freedoms, including investment freedom, fiscal freedom and the management of public spending, have

enabled Canada to elevate its economic freedom status from “moderately free” 20 years ago to “free” today. A transparent and stable business climate makes Canada one of the world’s most attractive investment destinations, while openness to global trade and commerce is firmly institutionalised and the economy has rebounded relatively quickly from the global recession. The financial system has remained stable and prudent regulations have allowed banks to withstand the global financial turmoil with little disruption. Canada has long had a reputation for honest, responsible and responsive government that vigorously prosecutes corruption. Its foundations of economic freedom rest on a judicial system that has an impeccable record of independence and transparency. Private property is well protected. Enforcement of contracts is very reliable and expropriation is highly unusual. Protection of intellectual property rights is consistent with world standards. The top federal income tax has been cut to 29 per cent and the top corporate tax remains at 15 per cent.

Other taxes include a value-added tax (VAT) and a property tax. The overall tax burden is 31 per cent of GDP. Expenditures have continued to fall to 41.9 per cent of domestic output as the Conservative-led government attempts to balance the budget by 2015. Public debt is equivalent to 86 per cent of GDP. The regulatory framework is efficient. With no minimum capital requirement, incorporating a business takes one procedure and less than one week. Licensing requirements are not burdensome. The labour market remains relatively flexible and labour costs are moderate. The government provides extensive energy and agricultural subsidies and controls virtually all charges for healthcare through a mandatory “single-payer” nationalised programme. Canada’s average tariff rate is a low 0.9 per cent. Canada is unilaterally eliminating tariffs on many inputs, while negotiating several trade agreements. Foreign investment in some sectors of the economy may be screened. The financial sector provides a full range of competitive services and remains dynamic. The six main banks continue to dominate the sector, although it has become easier for foreign banks to enter the market. Prime Minister Stephen Harper governs with a solid Conservative Party majority in Parliament. The Liberal Party, which dominated politics in Canada for decades but suffered a crushing defeat in 2011 in which it even lost the status of official opposition to the New Democratic Party, has achieved renewed popularity under the leadership of Justin Trudeau, son of former Prime Minister Pierre Trudeau. Canada’s large and diverse land mass is reflected in a democratic system that provides substantial autonomy to its 13 provinces and territories. The 20 per cent of Canadians for whom French is their native language are heavily concentrated in Quebec. Canada’s economy is closely linked to that of the United States, representing a major exporter of oil, minerals, automobiles, manufactured

goods and forest products. A new Conference Board report, published on 15th May, puts Canada’s three oil rich provinces at the top of the world in terms of economic performance. The think-tank’s annual economic report card comparing 16 of the world’s richest countries puts

A new Conference Board report, published on 15th May, puts Canada’s three oil rich provinces a the top of the world in terms of economic performance

Canada in fifth place overall, one spot better than last year and behind Australia, Ireland, the United States and Norway. That’s partly a function of Canada’s relatively stable growth rate, but also due to difficult recoveries in the eurozone and Japan. Canada scores highly on economic growth and employment growth, although “poor grades on la-

bour productivity as well as inward and outward foreign direct investment raise concerns about long-term prosperity,” the report cautions. In a new twist for the Conference Board’s annual report card, the latest grades treat the 10 provinces as if they were countries, in order to cre-

ate a picture of not only the internal disparities but also how the provinces compare globally. The report places Alberta, Saskatchewan and Newfoundland — the three oil producing provinces — in that order as the top

performers, with A-plus scores across indicators such as per capita income, economic growth, unemployment and productivity. They are the only jurisdictions rated to have A-plus economies. Alberta is “class leader,” says the report, with 2013 per capita income that was $10,000 higher than Norway, the top-ranked country in that indicator. ■ SOURCES: OECD, Heritage.org, Financial Times

CANADA | WORLD MARKETS AND OPPORTUNITIES

CANADIAN CULTURE

Being a settler nation, Canada has been shaped by waves of migration that have combined to form a unique blend of customs, cuisine and traditions that have marked the socio-cultural development of the nation

Diversity of Identities

ilingualism is probably the most important characteristic of Canadian culture. Fifty years ago the initial work of the Royal Commission on Bilingualism and Biculturalism laid the foundations for what would become the Government of Canada’s policy of official bilingualism. In the years following the commission, the rate of English–French bilingualism in Canada increased, but seemingly reached a plateau in 2001. What are the bilingualism trends in Canada? What factors are behind the recent slowdown in bilingualism across the country? In 2011, 17.5% of Canadians, or 5.8 million people, reported being able to conduct a conversation in both English and French, up from the 12.2% recorded 50 years earlier, in 1961. In Canada, the proportion of bilingual people went from 17.7% to 17.5% between 2001 and 2011, even though the number of bilingual people rose continuously. Quebec was the only province in which the rate of bilingualism rose steadily between 2001

For tens of thousands of years Canada was inhabited by aboriginal peoples from a variety of different cultures and several major linguistic groupings

WORLD MARKETS AND OPPORTUNITIES | CANADA

and 2011—from 40.8% to 42.6%. In 1961, the rate was 25.5%. In the rest of Canada, the rate of bilingualism went from 10.3% in 2001 to 9.7% in 2011. In 1961, the rate was 6.9%. The lack of growth in bilingualism outside Quebec between 2001 and 2011 occurred as the non‑Francophone immigrant population was growing and the proportion of students in French-as-a-second-language (FSL) programmes was shrinking. Aboriginal Culture For tens of thousands of years, Canada was inhabited by aboriginal peoples from a variety of different cultures and several major linguistic groupings. Although not without conflict and bloodshed, early European interactions with First Nations and Inuit populations in what is now Canada were arguably peaceful. The First Nations are the various aboriginal peoples of Canada who are neither Inuit nor Métis. There are currently over 630 recognised First Nations governments or bands spread across Canada, roughly half of which

are in the provinces of Ontario and British Columbia Aboriginal peoples, their cultures and contributions lie at the heart of Canadian identity. The Aboriginal Peoples’ Programme (APP) works with aboriginal peoples, primarily offreserve, to celebrate and strengthen their cultural distinctiveness as an integral part of Canadian society. The APP focuses primarily on strengthening cultural identity, encouraging full aboriginal participation in Canadian life and supporting the continuation of aboriginal cultures and languages as living elements of Canadian society. The APP supports community projects that incorporate aboriginal values, cultures and traditional practices into community-driven activities designed to strengthen cultural identity and enable positive life choices. The APP supports the efforts of aboriginal communities to develop innovative and culturally appropriate approaches to their cultural and social aspirations that further their

community and personal prospects. It focuses on the unique challenges faced by aboriginal women, youth and urban communities. Literature Canadian literature, the body of written works produced by Canadians, reflects the country’s dual origin and official bilingualism and the literature of Canada can be split into two major divisions: English and French. In the early 20th century, popular poets responding to the interest in lo-

JOHN MCCRAE

cal colour depicted French Canadian customs and dialect (W.H. Drummond, The Habitant and Other French-Canadian Poems, 1897), the Mohawk tribe and rituals (E. Pauline Johnson, Legends of Vancouver, 1911; Flint and Feather, 1912), and the freedom and romance of the north (Robert Service, Songs of a Sourdough, 1907). John McCrae’s account of World War I, “In Flanders Fields” (1915), remains Canada’s best-known poem. Slowly a reaction against sentimental, patriotic and derivative Victorian verse set in. E.J. Pratt created a distinctive style both in lyric poems of sea-bound Newfoundland life (Newfoundland Verse, 1923) and in the epic narratives The Titanic (1935), Brébeuf and His Brethren (1940) and Towards the Last Spike (1952), which – through their reliance on accurate detail – participate in the documentary tradition. Influenced by Pratt, Earle Birney, another innovative and experimental poet, published the frequently anthologised tragic narrative “David” (1942), the first of many audacious, technically varied poems exploring

the troubling nature of humanity and the cosmos. His publications include the verse play Trial of a City and Other Verse (1952) and poetic collections such as Rag & Bone Shop (1971) and Ghost in the Wheels (1977). Theatre Since the late 1960s there has been a concerted effort to develop the voice of the ‘Canadian playwright’, which is reflected in the nationallyfocused programming of many of the country’s theatres. Canada’s theatre history began in earnest with the dawn of the 20th century. It began with amateur performers in places like Toronto’s Hart House Theatre. Taking inspiration from places like Ireland’s Abbey Theatre, these pioneers began to see theatre as part of the process of forging a nation’s identity. This, finally, led to the development of Canadian playwrights. Merrill Denison, Robertson Davies, Herman Voaden and others began writing plays (for the stage and also for the radio), with Canadian themes for Canadian audiences.

HART HOUSE THEATRE, TORONTO

The first films shot in Canada were made at Niagara Falls; Lumière, Edison and Biograph all shot there in 1897 Film The long history of the Canadian film industry has been one of sporadic achievement accomplished in isolation and against great odds. Canadian cinema has existed within an environment where access to capital for production, to the marketplace for distribution and to theatres for exhibition, has been extremely dif-

ficult. It has experienced a concurrent history of struggle against a neighbouring entertainment monopoly (Hollywood) and a search for an audience that remains largely unaware of a domestic industry. The lack of domestic production throughout much of the industry’s history can only be under-

FILM QUEBEC FILM LEGEND MICHEL BRAULT

stood against this economic backdrop, where the major distribution and exhibition outlets have been owned and controlled by foreign interests. The first films shot in Canada were made at Niagara Falls; Lumière, Edison and Biograph all shot there in 1897. James Freer is recognised as the first Canadian filmmaker. A farmer from Manitoba, his documentaries were shown as early as 1897 and toured across England in an effort to promote immigration to Manitoba. The first fiction film, Hiawatha, the Messiah of the Ojibway, was made in 1903 by Joe Rosenthal and the first Canadian feature film, Evangeline, was produced by the Canadian Bioscope Company in 1913 and shot in Nova Scotia. Notable filmmakers from English Canada include David Cronenberg, Guy Maddin, Atom Egoyan, Patricia Rozema, Sarah Polley, Deepa Mehta, Thom Fitzgerald, John Greyson, Clement Virgo, Allan King and Michael Snow. Notable filmmakers from French Canada include Claude Jutra, Gilles Carle, Denys Arcand, Jean Beaudin, Robert Lepage, Denis Villeneuve, Léa Pool, Xavier Dolan, Philippe Falardeau and Michel Brault. ■ Sources: Princetone.edu, http://www.statcan. gc.ca, CanadianHeritage, Encyclopedia Britannica

CANADA | WORLD MARKETS AND OPPORTUNITIES

OBITUARY

Wizard of Our

Childhood We will remember him as the author of the best children’s series that Belgrade Television, later renamed RTS, ever broadcast – series like ‘Neven’, ‘Babino Unuče', 'Poletarac', 'Nedeljni Zabavnik' and 'Metla Bez Drške'. Still, throughout the 40 years of his prolific work in Serbia he always had the status of a foreigner with temporary residence and was only granted Serbian citizenship at the age of 65 TIMOTHY JOHN BYFORD (1941-2014)

imothy John Byford arrived in Serbia over four decades care in Serbia, because they didn’t know about the Healthcare ago in order to study Serbian culture. He stayed here Agreement concluded between Great Britain and Serbia. After all, the rest of his life, which ended last month – on 5th May, I have been a Serbian citizen for the past five years and that hapto be exact – in Belgrade. He enriched our culture and pened only when President Tadić personally intervened. Because left a mark where it matters most and is the most indelible – in of a combination of administrative conundrums I was not allowed the childhood memories of generations and generations of peoto pay for my state contribution as a freelance artist and thus beple born in Yugoslavia and Serbia. It is up to this society to dig come eligible for a pension one day”, he said in a 2011 interview. deep into its conscience and conclude whether it has fully repaid However, this was by no means the last of his troubles. A tough its debt to Byford. battle against cancer ensued. “I am not going to die because of We will remember him as the author of the best children series cancer, but because of red tape”, he said in one of his interviews that Belgrade Television, later renamed Radio and Television of Serbia last year. “If you sometimes hear a scream coming from Zvezdara, (RTS), ever broadcast – series like ‘Neven’, ‘Babino Unuče', 'Poletarac', it is quite possible that it comes from me, because I have to take 'Nedeljni Zabavnik' and 'Metla Bez Drške'. It was painkillers that cannot be found in pharmapurely coincidental that RTS decided to broadcies. I know that I am not alone, but I would It was purely love to hear about a politician going without cast reruns of 'Neven' in April and May this year, coincidental that RTS a medication that he depends on.” thus introducing the magical world of Timothy Following Byford’s passing, his long-term John Byford and Jovan Jovanović Zmaj to a decided to broadcast collaborator Rastko Ćirić wrote the following: whole new generation of kids. reruns of 'Neven' in “Byford loved Serbia. He dedicated himself Byford was born in Salisbury, England, in April and May this fully to this country and spent all of his time 1941. His first job was at the BBC, working on year, thus introducing here. He was an illuminator and you cannot a children’s programme, and in 1969 he refind that profession on the administrative ceived the prestigious BAFTA award for his the magical world of list of professions in our country. It took a documentary ‘I Want to Be a Showjumper’. Timothy John Byford long time for Serbia to issue him with the baTwo years later, in 1971, he moved to the and Jovan Jovanović former Yugoslavia, where he married Mila sic documents like an ID card or to give him Zmaj to a whole new Stanojević, another creator of memorable pension and even that happened because the children’s shows. Although he and Mila diunderstanding portion of the country petigeneration of kids vorced after 27 years of marriage, he retioned and urged for that.” Velja Pavlović, a reporter working for Studio B TV, wrote and mained in Belgrade. Still, throughout the 40 years of his prolific directed a documentary about Byford called “I wonder, I wonwork in Serbia, he always had the status of a foreigner with temporary residence and was only granted Serbian citizenship at the der…. Who is Timothy John Byford?” There is a ‘thank you’ plaque age of 65, after then Serbian President Boris Tadić intervened. at the entrance to Banjička Forest which reads that, thanks to Mr His status as a foreigner meant he was not entitled to a naTimothy John Byford, a lover of and expert on birds, the forest now enjoys state protection. He took long walks in that forest and tional pension. He lived in Belgrade’s Zvezdara district, and, demade a list of 76 bird species, which resulted in the forest being spite being gravely ill, he tutored in English and worked togethgiven the status of an ontological property following a petition by er with the Belgrade Children’s Cultural Centre. “Civil servants at the Society for the Protection of Nature. ■ the Belgrade Municipality of Vračar questioned my right to healthcordeditorial@cma.rs |

116 June 2014 | 79

HUMANITY 2,243 kilometres long

Participants in this year’s CorD Charity Masters humanitarian race, which took place during the Belgrade Marathon, ran a total of 2,243 kilometres and raised 887,400 dinars, which has already been transferred to the bank accounts of the organisations chosen by the runners themselves, all 467 of them. The National Association of Parents of Children with Cancer (NURDOR) received the most money Company

Participants

Total km

Total donated

Recipient

Payment

Telenor doo

200

1000

400,000

The National Association of Parents of Children with Cancer (NURDOR)

paid

Piraeus Bank AD

186

647

258,800

The Home for Mentally Disabled Children and Youth in Sremčica

paid

CorD

269

107,600

Petnica Science Centre, Valjevo

paid

Schneider Electric Srbija d.o.o.

190

76,000

Petnica Science Centre, Valjevo

paid

Merkur osiguranje a.d.o.

17,000

The Rare Children’s Diseases Association ‘Life’

paid

Wiener Städtische osiguranje a.d.o.

16,000

The National Association of Parents of Children with Cancer (NURDOR)

paid

Metropol Palace Hotel d.o.o.

10,000

The Belgrade Children’s Shelter

paid

Airport City d.o.o.

8,000

For Medical treatment of Nađa Novaković

paid

I&F McCann Group

4,000

Petnica Science Centre, Valjevo

paid

467

2243

897,400

Total

80 |

116 June 2014 | www.cordmagazine.com

or the eighth consecutive year, CorD magazine joined the Belgrade Marathon to organise its traditional charity race called the CorD Charity Masters. The participants of this year’s CorD Charity Masters humanitarian race, which took place during the Belgrade Marathon on 27th April, ran a total of 2,243 kilometres and raised 887,400 dinars, which has already been transferred to the bank accounts of the organisations and individuals chosen by the runners themselves, all 467 of them. Telenor, Piraeus Bank, Schreder and CorD managed to raise the biggest amount of money. Telenor had 200 runners participating, who managed to run a combined total of 1,000 kilometres and raise 400,000 dinars. The money was donated to The National Association of Parents of Children with Cancer (NURDOR). 186 employees of Piraeus Bank also participated in the race and raised a total of 258,800 dinars, which was subsequently donated to the Home for Mentally Disabled Children and Youth in Sremčica. Also running were representatives of CorD, ABC Serbia, the Embassy of Bosnia & Herzegovina, the Embassy of France, Schneider Electric Serbia d.o.o., Merkur Insurance a.d.o., Wiener Städtische Insurance a.d.o, Metropol Palace d.o.o, Airport City d.o.o. and I&F McCann Group, all of A total of €130,716 which made significant donahas been raised during tions. The money they raised the eight CorD Charity was donated to NURDOR, the Masters races to Rare Children’s Diseases Association ‘Life’ (‘Život’), The date, with that total subsequently donated to Belgrade Children’s Shelter, for medical treatment of Nađa 40 different organisations Novaković and the Petnica Sciand individuals ence Centre. The money raised this year by the employees of alliance international media, publisher of CorD magazine, who participated in the race, has been donated to the Petnica Science & Research Centre. The CorD Charity Masters system for charitable runners is quite straightforward. The shortest running course is 5 km and all the runners need to do is find themselves sponsors willing to pay 400 dinars for each kilometre they run. The sponsors are usually runners’ employers and companies that CorD cooperates with. A total of €130,716 has been raised during the eight CorD Charity Masters races to date, with that total subsequently donated to 40 different organisations and individuals. Here (left) is the list of companies and donations collected during the CorD Charity Masters campaign this year. ■

IVAN NOVČIĆ, aim General Manager, after completing the half marathon

ALEKSANDAR ĐORĐEVIĆ, (left) director of the Belgrade Marathon, with CorD’s RUŽA RISTANOVIĆ and Telenor CEO OVE FREDHEIM

RUŽA RISTANOVIĆ (left), Belgrade Marathon director ALEKSANDAR ĐORĐEVIĆ and MIROSLAVA NEŠIĆ BIKIĆ, Piraeus Bank

MARIJANA JOVIĆ, Schneider Electric Serbia, and NATAŠA NEŠIĆ, CorD

LJUBIŠA LUKIĆ (left) and DAMIR RADINOVIĆ, ABC Serbia, LAURENT MULLER and OLIVIER ROUANET, of the French Embassy

LELA SAKOVIĆ, Wiener Städtische osiguranje, and CorD’s RUŽA RISTANOVIĆ

The youngest and oldest participants cordeditorial@cma.rs |

116 June 2014 | 81

CHILL OUT

Australian Mistook Cockpit for Toilet An Australian passenger mistook the cockpit door for the toilet, triggering a hijack scare on a Virgin Australia flight from Brisbane to the Indonesian island of Bali, police said. Matt Lockley told Bali police after his arrest that he banged on what he thought was the toilet door for a last-minute bathroom break before the Boeing 737-800 aircraft landed. The door was actually the cockpit door and the pilot, Neil Thomas Cooper, responded by alerting Indonesian traffic controllers of a possible hijacking. Crew members then seized Lockley and handcuffed him. After taking blood samples from Lockley, police said he was drunk.

Bun Scrambling Competition Each spring tens of thousands of Hong Kong residents and visitors swarm the minuscule fishing island of Cheung Chau to witness man vs. bun event. Just outside Pak Tai temple, 18 m bamboo and metal structures are covered in steamed, sweet and blessed buns. At midnight on the final night of the weeklong festival, in an event known as the Bun Scramble, athletes attempt to scurry up the bun towers and gather more buns than their opponents. The competition is part of the Cheung Chau Bun Festival, which was placed on China’s national list of intangible cultural heritage in 2011. The four-day celebration includes parades, opera performances, children dressed in colourful costumes and the Bun Scrambling Competition, which traditionally takes place on the eighth day of the fourth moon in the lunar calendar, 17th May this year.

The World’s Largest Massage Session A thousand Indonesian masseurs performed simultaneous massages, which could be the most relaxing world record achievement yet. The event involved a thousand masseurs congregating on Sanur Beach, Bali, and giving lucky volunteers a free treatment. In order to beat the previous record set in Thailand last July the team had to spend 15 minutes massaging the participants. The masseurs travelled from across Indonesia to be part of the event. Many therapists failed to participate because they only needed 1,000 masseurs.

Tokyo Pub Puts Bald People First A Japanese-style pub in Tokyo’s Akasaka district, not far from the central government offices, encourages customers to embrace their loss of hair, not hide it. Baldness is not as prevalent in Japan as in the West, but it still affects 26 per cent of men, says Aderans, a leading Japanese hairpiece maker. Genetics plays a major role, but stress among the nation’s chronically overworked corporate “salarymen” is also blamed. Each bald customer gets a 500 yen ($4.92) discount, with the rewards increasing along with the number of bald customers in each group. If five go drinking together, one drinks for free. 82 |

116 June 2014 | www.cordmagazine.com

Honourable Man When Mei Guanghan’s (66) wife got sick 24 years ago he had no money to pay for her treatment and had no choice back then but to borrow 70,000 yuan ($11,000) from hundreds of neighbours. The medical fees required to save her life were huge, so he went from door to door, begging people for whatever cash they could spare. He carried a little brown book with him, carefully noting down the name of each person and the amount they had loaned him. He made a promise to all the donors: “One day I will be back, knocking on your door with your money.” For the next 15 years Guanghan saved up every single penny he could manage. After he accumulated a decent sum, he decided it was time to honour his promise, one neighbour at a time. Last month marked the clearing of the final debt and it was a true moment of celebration. He managed to pay back every household, except for four families who have since moved and could not be contacted. However, he still plans to track down the four remaining people and pay them back as well, even if it takes him the rest of his life to do so.

Bristol Park and Slide Project A participant dressed in fancy dress takes part in the Bristol Park and Slide project, an interactive temporary installation by artist Luke Jerram set up in Park Street in the centre of Bristol, southwest England The 90m slide was made from plastic sheets, hay bales, water and washing-up liquid and was the brainchild of artist Luke Jerram. The three hundred ticket holders who were picked from nearly 100,000 applicants took turns to hurtle down the slide watched by hundreds of spectators lining the street that was closed to traffic.

The Craziest Hair Last month saw the world’s elite hair stylists take part in the OMC Hairdressing World Championships in Frankfurt, Germany. Taking place in the city’s Festhalle venue, the contest saw more than 1,000 participants from 50 countries compete in a contest which runs parallel to the Hair and Beauty Show – one of the industry’s most up-to-the-minute trend shows. The models shown in our photo are presenting hairstyles in the ‘Progressive cut & style model’ category.

Norwegian Cows Get Full Pampering in Bosnia Jusuf Arifagić, a 52-year-old farmer from the Kozarac area, brought the concept of pampering cows from Norway, where he lived as a refugee after fleeing from Bosnia’s 1992-95 war. His animals sleep on mattresses in a barn with a computerised air conditioning and lighting system. They are bathed regularly, get a massage whenever they feel like it and receive the occasional pedicure. After years of negotiations with both countries, Arifagić invested €8 million in the luxury farm that started four months ago with the import of 115 Norwegian Red Cows. His plan is to expand to 5,000 cows, creating the biggest facility in Europe for this type of animal. That would avoid the high heating costs during the six months of Norway’s harsh winter and would help reduce Bosnia’s almost 40 per cent unemployment rate. cordeditorial@cma.rs |

116 June 2014 | 83

TOURISM

Countryside

INSPIRATION I

n Serbia there are 328,000 farmsteads of up to three hectares in size, which account for 56 per cent of the total number of households in the Serbian countryside and of which many provide tourist services. The spectacular scenery of Serbia offers everything from a peaceful farmstead by the side of a gorgeous lake and/or lush forest where you are left in peace to the inspiring countryside living, sporting activities and the chance to get excited with the locals and the rich Serbian culture, in order to experience the rebirth of your creative energy. Plenty of superb homemade food and excellent options for discovering natural challenges are available to guests visiting Serbian villages, which provide tranquillity and seclusion, as well as exploration of a number of cultural attractions and outdoor activities. The rural accommodation of Serbia, or countryside tourism in Serbia, is becoming increasingly popular not only for short weekend trips in Serbia, but also for longer holidays as true retreats in intact nature, far from today’s bustling life. Here are some of the recommended destinations for this issue.

Highlanders Adventures

Three-day outdoor package with visits to numerous natural sites, bus transportation. Attractions and activitie: “Terzica avlija” Ethno Park Zlakusa village, pottery manufacture, wilderness of Golija Mountain Nature Park /full day hike, 1834 m/, Uvac Special Nature Reserve – the largest natural habitat of griffin vultures in the Balkans, boat race, buckwheat pie preparation, mountain bike ride, highlanders legends...

Stara Planina Mountain Adventure Five-day outdoor package with exploration of numerous cultural sites and bus transportation. Attractions and activities: Hikes to Babin Zub Mountain peak /1723 m/ and “Tri čuke” observation point /1937 m/, Balta Berilovac rural tourism, Bigar waterfalls, Ponišavlje Museum Pirot, rug weaving, Saint George Monastery Temska, outdoor picnic, “kolo dance”, cow milking, herbal balms, Timacum Minus Archaeological site, Tupižnica Mountain hike, collecting aromatic herbs, shepherd games, Ravanica Monastery etc. 84 |

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Western Serbia Hiking Tour Eight-day outdoor package with visits to numerous cultural sites, bus transportation. Attractions and activities: Hikes to Divčibare Mountain and Subjel peak /924 m/, Kosjerić rural tourism, Skakavac Waterfalls, Zlatar Mountain pine forests, Uvac River emerald lakes, Kamena Gora hamlet rural tourism and the Holy Pine, Mileševa Monastery, Zlatibor Mountain, Tornik peak /1496 m/, Tara Mountain – National Park vistas /Crnjeskovo 1035 m/, Rožanstvo village rural tourism, Staro selo Sirogojno Open air Museum vernacular architecture, Sirogojno Knitters Museum, “Terzica avlija” Ethno Park Zlakusa village, pottery manufacture, Potpec Pećina Cave exploration...

Ovcar-Kablar Gorge Climbing Adventure Three-day outdoor and retreat package, bus transportation. Attractions and activities: Saint Nicholas Monastery, Gradina Archaeological site, Ovčar Banja Spa wellness and exercises, famous Serbian barbeque, brass orchestra music, Potpeć Pećina Cave...

Ivanjica and its Fascinating Surroundings Four-day relaxation package with numerous cultural sites, bus transportation. Attractions and activities: Ovčar-Kablar Gorge, enjoyable walks to mountain peaks through thick coniferous forests, jumping across the streams, picking medicinal herbs and forest products, Mećavnik Drvengrad, Terzica...

Đerdap National Park and the Iron Gate Adventure Five-day outdoor package with numerous cultural sites, bus transportation. Attractions and activities: hike to Kovilovo and Ploce observation points and Veliki Štrbac peak /768 m, hikes from 3 to 10 km/, Lepenski Vir Archaeological site, Homolje cheese tasting, “gold mining”, Canyon of Boljetinska Reka River, Vratna Monastery and Vratna Stone Bridges, Rajkova Pećina Cave, Crnajka village, Viminacium Archaeological site with “Roman lunch”...

For more information, please contact: Panacomp Wonderland Travel Bulevar Cara Lazara 96, 21000 NOVI SAD, Serbia, tel +381 21 466-075 e-mail: info@panacomp.net office@panacomp.net ; SKYPE: panacomp.travel cordeditorial@cma.rs |

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TECHNO TALK

SUMMER GADGETS

FUN IN THE SUN Summer is here and the time is right for gadgets, to make the hot summer days and nights go by easier, or at least more fun. If you are going outside to enjoy the sun, hitting the road for a long summer trip to a holiday destination, or just staying at home for the perfect stress-free break, here are a few gadgets that you might want to take along with you that will make your summer even more enjoyable and might even leave you more relaxed than your average holiday.

LiveLuggage Suitcase PRICE: €475 This sturdy case has “flat motor” technology built into the wheels to give you a helping hand when it senses you’re trying to lug your case up a slope or kerb. Best of all, though, is the unique ID chip built into the case, so you’ll know exactly which corner of the airport it’s been lost in. It also has a handy on-board umbrella.

Sony FMP-X1 4K Ultra HD Media Player PRICE: €510 The world’s first home media player to deliver hit Hollywood movies in 4K Ultra HD, with 4 times more clarity than HD. Preloaded with 10 feature films and a library of 4K shorts, the FMP-X1 is also the gateway to Sony’s Video Unlimited 4K service.

TellSpec Scanner PRICE: €250 TellSpec Scanner is a portable device that will allow you to determine what is there in your food. The functioning of this device is simple, point the scanner towards the food, press the small black button and wait for the results of the analysis. The collected data is then sent to the smartphone app. The app then displays all the data about the composition of the food. In fact the device uses an infrared mini spectrometer to analyse your food. One of important aspects of this technology is that it can also scan through the glass and/or plastic. 86 |

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The 94Fifty Smart Basketball PRICE: €220 With its built-in smart sensor and the free downloadable app, the innovative 94Fifty basketball turns your iPhone or iPad into a powerful hoops training tool. While using the regulationsized indoor/outdoor ball, the integrated sensor tracks dribble force and speed, shot speed, backspin and arc and sends the data to your device in virtual real time. You can even set up head-to-head competitions with up to five players and adaptive workouts to improve your skills.

Solar Cooler PRICE: €875 It’s always a good idea to pack munchies and beverages into a cooler for outdoor parties, but when the ice melts all you’re left with is soggy food and warm beer. Enter the Solar Cooler beach fridge powered by solar panels gets so cold it can even make its own ice. The cooler also features charging ports for mobile devices and a 10-hour battery.

TYLT VU Wireless Charger PRICE: €55 If your smartphone charges wirelessly using the Qi standard, it’s your next must-have accessory. Drop a handset into its 45-degree cradle and microscopic nanobots pass from the 5W charger directly into your battery and restore it to health. Comes in yellow, blue, red or black, for whatever phone side you’re batting for this contract term.

Kodak HD Waterproof Pocket Video Camera PRICE: €107 The Kodak Play Sport is waterproof up to 3 metres, provides up to 1080p HD video resolution, 5 megapixel digital still images. The camera is equipped with electronic image stabilisation to reduce shaking and SD/SDHC expandability for up to 32GB of video recording. Built in HDMI and USB 2.0 connectivity allow for television and computer playback, or use the 2-inch colour display for instant playback. With a 5MP camera mode and a rechargeable Li-Ion battery, the Kodak Playsport is a tough and versatile video camera.

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TECHNO TALK

LG Pocket Photo Smart Printer PRICE: €160 This pocket-sized printer connects to Android or iOS devices via Bluetooth or NFC and uses “inkless” ZINC technology. This works by heating special paper containing colourforming molecules packed into layers that, once melted, form the everlasting image of you drunkenly giving a double thumbs-up whilst meeting Wagner from X Factor.

GPS Angel V4e PRICE: €72 This device is a red light and speed camera warning system that protects drivers from dangerous intersections and possibly costly traffic violations. The device includes GPS to determine where your car is, and then checks against a database of fixed speed and red light cameras. It then warns you if you’re nearing those locations. The company says it is 100% road legal and is “designed to warn you of risk areas and to help you observe traffic law.”

Mio Navman Spirit TV PRICE: €360 The 7 inch Mio Navman Spirit TV includes a Freeview tuner, so you can get all your favourite channels. You can also load the device with videos and music. The sat-nav has a touch-screen display, turn-byturn spoken directions, lane guidance and traffic alerts to help steer clear of jams. It even comes pre-loaded with travel books, so you can make the most of your time when you reach your final destination.

Metal Detector Sandals PRICE: €44 Carrying around a Metal Detector while wearing a big set of headphones isn’t exactly the coolest look for the beach this summer, but neither are these metal detecting sandals which are meant to be a more subtle approach to finding buried treasure and at least you’ll keep busy. The right sandal connects to a removable battery pack that’s strapped to your calf and a coil in the sandals does all the work. The detector can find metal objects buried as ‘deep’ as 70 centimetres underfoot and it will alert you to their presence via a flashing red light, a gentle vibration and an audible buzz.

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Biolite Camp Stove PRICE: €155 There is no need to carry heavy gas canisters for this stove which generates its own power using twigs and biomass fuels. The generating unit also comes with a fan and its own battery supply. It heats the stove for outdoors cooking, recharges its own battery, and surplus energy is sent to the USB port on the front of the device to charge phones and cameras.

Self Stirring Coffee Mug PRICE: €8

Panono Camera Ball

Whether your drink of choice is coffee, tea, hot cocoa or even soups, then this awesome and clever little device will serve you well by saving you minutes every time you go to refill… Who would have thought that coffee could be turned so high tech? Basically – we love it!

PRICE: €550 The durable Panono camera ball loaded with 36 intelligent cameras has come out. It will make sure that you get a 360 degree shot with a difference. You simply toss it in the air and the camera measures the launch acceleration to calculate when the camera is at its highest point and barely moving, before taking 36 completely individual shots.

The Wrist Strap Fish Finder PRICE: €110 As the most significant recreational fishing innovation in recent times, sonar fishfinder units are well established as a fundamental piece of equipment for boat-based anglers and, like almost everything electronic, decreasing size and increasing capabilities are expanding these applications by bringing the benefits of sonar technology to land-based fishing. One of the latest examples - the Humminbird Smartcast RF30 - utilises a wireless link between a small sonar transducer attached to the fishing line and a wrist-worn display unit to provide a picture of what’s underneath - identifying fish within a 25 metre radius a well as a map of the bottom and any submerged structures that could cause snags.

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SUMMER 2014

Contrasting, Beachwear Colours

Tory Burch 'Kerrington' Shopper

PRICE:

€215

Bold nautical stripes and smooth leather trim evoke East Coast sophistication on a spacious, simplified shopper.

'Retro' Tie Front Maillot Retro glamour inspires a one-piece swimsuit striped by nautical rope, designed with a tie focusing the bust PRICE: and throwback boy legs.

€215

Tory Burch 'Miller' Thong Sandal A Tory Burch logo cutout accents a breezy, cleanly styled flip flop. PRICE:

€145

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he summer is back! The lifestyle and the fashion of the people always change and many have plans to spend their holidays on beaches relaxing, unwinding and feeling the sea breeze. So, let’s see what the summer 2014 fashion trends are like when it comes to beachwear. Popular materials for the beach in 2014 include silk, cotton, lightweight fabric with glitter, fine natural materials, chiffon and lace, while knitted and woven fabrics are still fashionable. This season’s favourite colours are black, white, orange and caramel shades of azure, bright red, pink and blue for monochrome beachwear. Moreover, it is en vogue to choose a combination of two contrasting colours. Becoming one of the undisputed trends of the new season, beach clothes featuring bright prints are the common choices. Images of exotic landscapes, birds, animals, snakes, leopards, flowers, mix prints on various shades, ikat and paisley, contrasting stripes, ethnic ornaments for models selected for making designs by the fashion designers. Finally, here are a few useful tips for you: • Wear sunglasses during the summer beach outing to protect your eyes and skin from heatwaves. • Don’t forget to bring your flip flops to protect and add style to your feet. • A bag will definitely be very helpful to place your stuff like sunglasses, hat, water, accessories etc. • Scarf will also help protect your skin and hair from harmful rays. • When you are not comfortable wearing a twopiece swimsuit, you can wear sarong and protect your body from the heat. • If you’d like just to go around the beach, drink beer, chat with your friends, wear see through tops with underwear swimsuit and printed hot pants. Wow! • Fashion trend in summer 2014 that can give style to your body and looks.

Crinkle Cotton Gauze Swimsuit Cover Up PRICE:

€65

Laid-back silhouettes turn up the heat in sizzling shades and cool textures. Point collar. 3/4 rolled sleeves with button tabs.

Tom Ford 'Whitney' Polarized Sunglasses A crisscrossed bridge accents open-sided sunglasses in a fashionably oversized style. PRICE:

€325

Tile Print Keyhole Swimsuit Coverup From the exotic tile print to the alluring keyhole neck, this silky style is a splashy statement-maker.

La Blanca Hooded CoverUp Tunic

PRICE:

€50

Soft stripes are cast into a gauzy knit tunic essential to your beach bag. PRICE:

€27

PRICE:

€78

Tommy Bahama Hipster Bikini Bottoms A trendy colour-blocked band updates mid-rise bikini bottoms cut for a classic fit that flatters a variety of figures.

€40

A memory-foam footbed lends luxe comfort to a two-tone T-strap sandal lifted by a modest platform.

Lightweight striped towels for summer adventures, with adequate size (183cm x 92cm) to dry yourself or to simply lay on the beach. Made in Turkey.

Tommy Bahama Rugby Stripe CoverUp Maxi Dress Nautical stripes encircle an Empire-waist maxi dress with a plunging V-neckline, its soft, stretchy fabric as flattering on the sand as on an evening out beachside.

PRICE:

Janelle' Platform Sandal

Red Stripe Towel

PRICE:

€75

PRICE:

€165

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FASHION

Relaxing on the Beach

Travellers Short Woven from a comfortable cotton blend, these durable utility shorts make for effortless PRICE: weekend wear.

his year we've been waiting for the spring showers to end and the sunny summery days to begin. Now summer has finally arrived here too, which means we’re entering into the period of holidays and escaping the grind of the normal everyday life of working 9-to-5 (or 7.30-to-3.30), hunting for parking spaces and carrying out daily responsibilities. The time has come to get out the swimsuit and find somewhere to relax by the water. Do not forget to take your summer clothes out of storage in the closet and buy a few more details for this year's summer season. This year you should also ensure those clothes are simple, with as much cotton as possible, and sufficiently comfortable to forget the restrictive suits and usual office dress code. Here are a few suggestions for summer 2014.

PRICE:

Bi-Colour Woven Leather Belt

€ 158

The bi-colour design offers a fully adjustable fit and silver-tone buckle for a polished finish.

€ 43

Thom Browne Sunglasses PRICE: With blue lenses and contrasting red arms, the € 835 round-framed metal pair makes subtle allusion to the designer’s signature colours.

Gucci Strapped Leather Sandals Secured with a buckle fastening and free from superfluous design details, this pair will take you through busy city days to relaxed seaside trips. 92 |

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PRICE:

Ralph Lauren Sport Shirt A lightweight sport shirt styled from soft linen is finished with a point collar and military-inspired button-flap chest pockets.

€ 417 PRICE:

€ 90

BOSS Lecco Cotton T-Shirt

Thomas Sabo Rubber Bracelet

PRICE:

€ 67

This soft jersey cotton tee is the perfect choice for donning at the weekend for a cool, laidback look.

This collection features high-gloss enamel, pavé settings and stunning polished sterling sliver.

PRICE:

€ 20

PRICE:

€ 240

Loro Piana Shorts

Addictiv Digital Wach

If you’re looking for swimming shorts that are as appropriate when relaxing on deck as they are for a dip, this Loro Piana pair is just the ticket.

PRICE:

€ 260

Polycarbonate case with stainless steel top cover, digital tide movement, water resistance (100 metres).

PRICE:

€ 70

Kaihuna Shirt

Stripe Polo Tonal horizontal stripes texture a polished short-sleeve polo with a soft feel and an easy drape.

Linen Blend Plaid Shorts

Short sleeve printed design, men’s shirt with single chest pocket, modern fit, 100% cotton.

PRICE:

€ 70

PRICE: PRICE:

€ 47

€ 70

Swim Shorts

Marsell Cut-Out Leather Sandals This pair is crafted in Italy using supple, tumbled leather to achieve the label’s signature broken-in look. They’ll work well with a linen shirt, tailored trousers and sunglasses on hot days in the city. PRICE:

€ 483

A breezy linen blend shapes cool, four-pocket shorts patterned with a classic plaid print.

'Hermosa Plimsoll' Sneaker Inspired by the styles of California in the 1960s, each shoe is dedicated to an influential event from that time and place.

Lend your holiday repertoire a splash of contemporary flair PRICE: with Paul Smith’s geometric patterned € 115 swim shorts.

PRICE:

€ 110

Striped Linen Beach Towel This large Frescobol Carioca towel is highly absorbent, lightweight and able to resist wear, making it ideal for withstanding the sand and salt water at a beach.

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COMMENT

Seeking

Challenges As a Chinese proverb says: “When a strong wind blows, some people build bastions, others build windmills” DRAGANA NERANDŽIĆ Marketing Services Director,Wiener Städtische osiguranje a.d.o. Belgrade

often hear people saying they have not found their job by folhad to be revived and rejuvenated in order to survive on the diminlowing their hearts, but rather their job found them. A conished post-war, post-independence market. Thanks to an excellent, stellation of circumstances also determined my career. From dedicated team, we succeeded in making 2007 the best year ever the desire to convert my love towards natural sciences into for the Trebjesa Brewery. As a Chinese proverb says: “When a strong a job that would encompass them all, I chose the vocation of a diwind blows, some people build bastions, others build windmills.” etetitian – nutritionist. However, as life’s scenario differs greatly Despite great success and making friends in Montenegro, my from our wish list, I was carried away in another direction: I graddesire to go home was stronger. I got the chance when an agenuated when our country’s shops were short of even basics, when cy sought me out for the Beisdorf marketing team: from domesit was questionable whether people would have anything to eat at tic beer to international cosmetics. Although limited in the largeall, never mind if anyone ate healthily. The vocation of a nutritionist ly adapted advertising section, the BTL section gave me an opwas utopic at the time. portunity to play with my creativity. I enjoyed all new ideas for Eager for new knowledge, I decided to find synthesis and conproduct promotions and robust competition motivated me even tinued studying in a direction that would assure me an opportunimore to compete. ty for employment. As early as the end of my After all FMCG industries, I needed a place Some people first year of studies, I was given a chance to where quality and not quantity matters, where start work as a media planner in newly estabthe message needs to go deeper and more enconsider insurance lished advertising agency “Idols & Friends”. ergy needs to be invested to achieve better a slow industry, but The parent agency of the greatest advertislong-term results. for me it is a huge ing agencies to emerge in our country, it was I found all this at Wiener Stadtische osigusea of possibilities, here I grew to love marketing and all the unranje. Some people consider insurance a slow sought possibilities it offers through a subtle industry, but for me it is a huge sea of possiunencumbered by play with emotions. unencumbered by product lifespan and product lifespan and bilities, From media planner, via supervisor to mefocused only on those needing the product. focused only on those Although the team did not consist of marketdia director … my proficiency prospered as needing the product the media in Serbia prospered. I created the ing experts, within a year they became experts first internet media plan ’98, on the eve of and their enthusiasm and energy helped us imthe bombing, proud to enter a new medium. Soon I wished for the prove the company’s results in just six months. The team’s motto greater creative freedom offered by other marketing fields. When is: “Happiness is working with great people”. you become a director at 30, finding new challenges and motivation These days, with our country in a very tough situation and for further accomplishments is a great issue. At that moment the nobody thinking of sales and advertising, we took a step further challenge was to sit on the other side of the table by becoming a clithrough the project “Wiener with SERBIA”, aimed at helping enent. I got my chance at Telenor Montenegro (then proMonte), where dangered families throughout Serbia. It is not as important to be a a novice marketing team became a team of experts in four years. good manager as it is to be a good leader, since good or bad leaders From telecommunications I moved to the beer industry. As marmake a team. Let’s say I was lucky. Besides my position’s enormous keting director of InbevTrebjesa, I had a chance to see for the first demands and obligations, I cannot disregard those who always give time why FMCG was really the best marketing school. Fast products me their unselfish support and love once my working hours are over require fast thinking, preparations for frequent market changes and – my loved ones. Relaxation with them and sport are my biggest the ability to adapt. Nikšićko beer, once a strong domestic brand, source of energy and healthy optimism. ■ 94 |

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