December 2023, Issue No. 230 by CorD Magazine

H.E. Yahel Vilan Ambassador of Israel to Serbia

Ambassador of the State of Palestina to Serbia

Zoran Hamović

founder of publishing house CLIO

THE POWER OF THE BOOK IS IN ADVANCING THE MIND

UN TO CONVENE INTERNATIONAL PEACE CONFERENCE

www.cordmagazine.com

DECEMBER 2023/ ISSUE NO. 230

COMPLETELY NEW REALITY

H. E. Mohamed Namoura

interviews opinions news comments events COMMENT

Consolidating Power FOCUS

Elections in Serbia: The Deceptive Ease of Victory

EXCLUSIVE

Dejan Šoškić

SPECIAL FEATURE

December 2023

GROWTH The growth of financial leasing demonstrates how companies are increasingly recognising the advantages of this financing model and its impact on reducing costs.

ECOLOGY

POSSIBILITIES

Financial leasing could play a role in financing the purchase of solar panels, energy-efficient systems and other eco-friendly innovations.

Companies that want to implement green technologies can take advantage of financial leasing as a means of investing without significantly burdening their liquidity.

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Leasing & Finance

771451

SPECIAL EDITION 2023, VOL. V

BENEFITS Financial leasing often offers faster approvals and less demanding procedures compared to traditional bank loans, making this option particularly attractive to SMEs. cordmagazine.com

We’re Living in Dangerous Times

DIGITAL DIVIDE

ISSN1451-7833

Professor of the University of Belgrade Faculty of Economics

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Contents 08 C ONSOLIDATING

13 U N TO CONVENE

POWER

INTERNATIONAL PEACE CONFERENCE

ZORAN PANOVIĆ

ART

Leasing & Finance

Ambassador of the State of Palestina to Serbia

IN DANGEROUS TIMES

SERBIA’S ARTISTIC VANGUARD

2023

H. E. MOHAMED NAMOURA

10 W E’RE LIVING

52 N ADEŽDA PETROVIĆ:

37 L EASING

SPECIAL FEATURE

DEJAN ŠOŠKIĆ

Professor of the University of Belgrade Faculty of Economics

December 2023

GROWTH The growth of financial leasing demonstrates how companies are increasingly recognising the advantages of this financing model and its impact on reducing costs.

ECOLOGY

POSSIBILITIES

Financial leasing could play a role in financing the purchase of solar panels, energy-efficient systems and other eco-friendly innovations.

Companies that want to implement green technologies can take advantage of financial leasing as a means of investing without significantly burdening their liquidity.

BENEFITS Financial leasing often offers faster approvals and less demanding procedures compared to traditional bank loans, making this option particularly attractive to SMEs. cordmagazine.com

20 E LECTIONS IN

58 T HE POWER

OF THE BOOK IS IN ADVANCING THE MIND

48 A TRAILBLAZER

IN THE SHARING ECONOMY

SERBIA

ZORAN HAMOVIĆ

ENTREPRENEUR

THE DECEPTIVE EASE OF VICTORY

12 C OMPLETELY NEW

founder of the publishing house CLIO

FOCUS

REALITY

H.E. YAHEL VILAN

Ambassador of Israel to Serbia

27 B USINESS

DIALOGUE

70 F ACES & PLACES

“CorD - 20 Years of Independent Thought and Inspiration”

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COMMENT

Consolidating Power By Zoran Panović

Vučić’s campaign (despite the elections not being presidential) is being conducted like crisis management. The aim is to convince his supporters, and even more so the oppositions’, that everything is already known in advance and that the elections should just be held as a matter of routine

uch a campaign also implies emphasising that the Serbian President is the only reliable partner of the foreign factor that guarantees stability. This is admittedly contradictory: for the West, he provides stability in the region and a compromise policy regarding Kosovo; for Russia, he provides stability in terms of Serbia continuing to not impose sanctions against it, which is of symbolic importance. Vučić treats cooperation with the West, which the stability of his regime depends on, as his exclusive zone. If the opposition (the real one) is pro-Western – that is treasonous. At the recently concluded Belgrade Wine Fair, held under the auspices of the Open Balkan initiative, Vučić didn’t give the impression of a man facing sanctions, though he certainly understood the messages on that issue that are being sent (after Vu-

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lin, the U.S. has imposed personal sanctions against Nenad Popović and Miša Vacić). According to diplomatic sources – or at least as far as we’ve heard – “a line has been drawn under Banjska”. This means that Vučić received conditional support and wiggle room from the West. This support is also expressed in two words included in the European Commission’s report on Serbia: “limited progress”. Presumably, according to some logic, that should also mean a “limited regression” on relations with Russia. But in Vučić’s logic of the technology of governance (or its perception), it means no such thing. That geopolitical lionising is Vučić’s talent and the backbone of his catchall system of mutually reinforcing paradoxes. Although the opposition is attempting to relativise it, the annual report

Although the opposition is attempting to relativise it, the annual report of the European Commission on progress achieved in the enlargement process represents a somewhat cynical incentive for Belgrade to supposedly approach the EU, which is why Vučić is able to say semitriumphantly: “We are advancing on the path to Europe; there are no measures or sanctions”

of the European Commission on progress achieved in the enlargement process represents a somewhat cynical incentive for Belgrade to supposedly approach the EU, which is why Vučić is able to say semi-triumphantly: “We are advancing on the path to Europe; there are no measures or sanctions”. Vučić announced at the opening of a new stadium in Zaječar, in the company of UEFA President Aleksandar Čeferin, that the national stadium in Belgrade will be completed by 1st December 2026, thereby suggesting to voters that there will be no significant political changes in Serbia prior to that time. Vučić is allergic to the very notion of cohabitation. And it looks as though the West also isn’t calculating on having to reach a final agreement on Kosovo with a prime minister who comes from the ranks of the current opposition. With the outbreak of war between Israel and Hamas, Kosovo’s position in the hierarchy of conflicts was diminished, which made it easier for Vučić to consolidate his position following the armed incident in Banjska. He announced the appointing of a prime minister from the Progressives following the election, but that doesn’t seem to have demotivated SPS leader Ivica Dačić, because his identical slogan from last year’s elections (Dačić-prime minister) is slightly more convincing today. Some would call that “sharing responsibility”.

INTERVIEW

EXCLUSIVE

We’re Living in Dangerous Times With relatively high inflation persisting, interest rates rising and economic activity once again waning, Europe is perhaps at its most vulnerable, and with it the economies of this region, which are inextricably linked to the EU. Some controversial measures on the part of the Government of Serbia contribute to the possible ramifications being even tougher than anticipated Dejan Šoškić Professor of the University of Belgrade Faculty of Economics

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e are certainly living in more dangerous times today than we’ve seen over the past few decades, considers Dejan Šoškić, professor of the Belgrade University Faculty of Economics and former governor of the National Bank of Serbia, with whom we discussed new eco-

nomic and political realities, and the possibility that the escalating of existing problems could make 2024 a year that won’t lead the world towards recovery, but rather towards a possible further deterioration of the economic situation, particularly in the EU, which is very susceptible to war and economic turmoil. That also spells bad news for the region, which has decidedly strong ties to European economies. The problem partly lies in the fact that new economic powers have emerged, but they have yet to gain an appropriate place on the political stage. In the meantime, those coming from preexisting positions of power are attempting to resolve open issues in the world of the third decade of the 21st century without having any understanding for that change. This scenario, and the possibility of the political crisis escalating further, could make 2024 a much riskier year than we think from today’s perspective, considers our interlocutor.

DILEMMA

CONCERN

EXPENDITURE

Not all FDI is the same, nor is it all equally useful to the development of the economy and society, and this is particularly important if FDI is incentivised with budget subsidies

The possible spreading of the conflict in Gaza to the surrounding countries could provoke significantly larger and more dangerous conflicts, with unforeseeable consequences

We’re spending too much, and when a restrictive monetary policy is being conducted at the same time as an expansionary fiscal policy, that hampers the curbing of inflation and negatively impacts growth

To what extent are current economic growth forecasts, at the global level and in Europe, being impacted by the conflict in Gaza and the possibility of it spreading to the region? — The conflict in Gaza is extremely risky and is unfolding under international circumstances that have altered significantly compared to during previous Middle East conflicts. Today we see an obviously reduced level of consensus on the policy being implemented by the U.S. and Israel in that part of the world among some important countries in the region (Saudi Arabia, Turkey, Jordan etc.). At the same time, with China’s mediation, significantly improved relations have been established between Iran and Saudi Arabia. Major military powers have displayed a certain degree of readiness to provide financial and military support to the parties in the conflict, especially in the event that it spreads. These are potentially tectonic shifts in the region, which ensure that the possible spreading of the conflict in Gaza to the surrounding countries could provoke significantly larger and more dangerous conflicts, with unforeseeable consequences. What is already evident is that uncertainty over energy supplies is set to increase in the period ahead, though a significant hike in energy prices has yet to occur. If the conflict doesn’t spread from Gaza to the region, there will, as a rule, be no major economic consequences, because the Israeli economy itself is relatively insignificant to economic flows in Europe and the world. In reference to the impact of the wars in Ukraine and the Middle East, World Bank Chief Economist

sanctions imposed against Russia, an important energy supplier globally. In the case of the possible expansion of the conflict in the Middle East, certain countries in a possible conflict are, in general, also significant producers of oil and gas, and we could see significant and relatively longstanding reductions in production and/or transport capacities in supplying the world market with energy, and that could in turn have extremely serious consequences for inflation and economic growth around the world.

The policy of huge capital expenditure being led by the Serbian government seems to me to be inappropriate for the current fiscal position of the country Indermit Gill said recently that we are facing two energy shocks for the first time. How much can similarities really be drawn between the two shocks and where do they differ the most when it comes to their impact on Europe and our region? — The effects of the “two energy shocks”, as Mr Gill describes them, have so far had a fairly limited impact and world oil prices still haven’t reached the levels they were at when the conflict in Ukraine started or in mid-2008, when they were well over $100 a barrel. At the same time, the possible spreading of these conflicts could have very serious negative consequences in terms of rising oil prices, inflation and stagnating economic growth around the world. The conflict in Ukraine caused disruption to regular supplies of energy, first and foremost due to the

In the meantime, JPMorgan Chase CEO Jamie Dimon said last month that “now may be the most dangerous time the world has seen in decades”. Where would you draw a line here between political narratives and basic economic indicators? — This is indisputably the most dangerous time in recent decades. The conflict in Ukraine is a conflict between Ukraine, which is supported by the whole of the Western world, and Russia, which is the world’s biggest nuclear power. The conflict in the Middle East is a conflict between Israel, which is believed to possess nuclear weapons, and not only Hamas, but potentially the Arab and Islamic world in that region, which, on the issue of this conflict, is now more unified and united than at any time in decades. At the same time, three world superpowers are giving relatively clear indications that, in the event of the conflict spreading, they would support opposing parties. The world today differs drastically to the one of just a few decades ago. There has been a significant shift in world economic power, which many analysts don’t seem to be aware of in

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their analyses. If we look at GDP levels (purchasing power parity adjusted) from the Washington database of the World Bank1, which can be used to make relevant international economic comparisons, we see that – unexpectedly for some – China has been the world’s largest economy since back in 2017, and is today already approximately 20% larger than the U.S. economy. Furthermore, and again probably unexpectedly for many, we see that Russia has a larger economy than Germany and that it is the largest European economy, that Iran’s economy is three times the size of Israel’s, and that Turkey’s economy is bigger than Italy’s. We can also see in that same World Bank database that the five BRICS countries are economically stronger than the G7 countries. These new world economic realities are obviously not yet clear to many, and lead to the risk of someone persistently attempting to resolve open issues in the world of the third decade of the 21st century with the perception of the relative economic power relations of the final decade of the 20th century.

Renowned economist Olivier Blanchard suggested back in early 2023 that secular stagnation is not yet over. An aggressive fiscal policy and rising public debt used to be widely accepted solutions for overcoming economic stagnation. What makes things different today; and what impact could an economic slowdown around the world, and particularly in Europe, have on Serbia? — Secular stagnation, as a theoretical model that implies that low private demand represents a key limiting factor for economic growth, was considered by many as a suitable model to describe the economic situation in the aftermath of the 2008 World Economic Crisis. This is used to explain the need to reduce interest rates drastically and implement huge monetary expansion, so-called quantitative easing, first in the U.S., and later also in the EU, as

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Low expected growth rates in the EU don’t provide much reason for optimism regarding Serbia’s own economic growth. Simultaneously, world economic growth isn’t under threat, because a growth rate of 5% is expected for China, 6.3% for India and 2.2% for Russia, and those are today three of the world’s five largest economies

h ttps://data. worldbank. org/indicator/ NY.GDP.MKTP. PP.CD?locations=TR-IL-IRRU-JP-DE-IT-GBUA-CN-US I MF World Economic Outlook, October 2023.

a way to use the lowering of interest rates and the increasing of banking sector liquidity to stimulate economic growth. However, we saw a significant part of that additional liquidity ending up on the securities market and the real estate market, and partly also on the commodities market (especially after the outbreak of the war in Ukraine and the imposing of sanctions against Russia), which prompted inflation around the world in 2022. Circumstances are today changing. Inflation is higher, interest rates are rising and economic activity is again faltering. Europe is perhaps the most vulnerable in that domain, because it doesn’t have enough energy of its own, as well as other raw materials and semi-finished products needed for

its economic activity, industrial production and agriculture in particular. The EU’s economic prospects aren’t encouraging. Expected growth rates for 2023 – of 0.7% in the EU and 0.5% in Germany2 – don’t provide much reason for optimism regarding Serbia’s economic growth either. Simultaneously, world economic growth isn’t under threat, because a growth rate of 5% is expected for China, 6.3% for India and 2.2% for Russia, and those are today three of the world’s five largest economies. Still, if Europe is deprived of relatively cheap energy sources over the long term, that will inevitably be reflected in its competitiveness, especially when it comes to industrial production in the EU. Such circumstances will result in the importance of the EU economy to the world reducing in relative terms over the period ahead. This in turn doesn’t provide too many reasons for optimism when it comes to accelerating economic growth in Serbia and the region, which are predominantly dependent on the EU when it comes to trade and investment.

Elections are in the spotlight in our country, and budget expenditure always increases during election campaigns. Considering the expenditure announcements to date, can we say that this campaign

is more generous than previous ones or less? — I think too much is being spent. They are announcing incomes with higher growth rates than current inflation, even though it is known that increasing budgetary spending, almost without exception, fuels inflation. This is particularly problematic when a restrictive monetary policy is being conducted at the same time as an expansionary fiscal policy. This will hamper and extend the process of reducing inflation, and cause the subsequent necessarily more restrictive monetary policy to reduce economic growth potential. This, however, is unfortunately not the end of inappropriate budget allocations. The huge capital expenditure envisaged for the construction of the stadium and some other facilities and infrastructure, under conditions of rising interest rates and without serious public debate and pre-investment studies made available to the public, seem to me to be unacceptable and completely wrong. Despite inflation being relatively high, and the Fiscal Council and quite a large number of economists warning of the failure to take seriously enough the maintaining of the macroeconomic and fiscal balance, we are bearing witness to Serbia essentially receiving very positive relative ratings from the IMF and ratings agencies. Who is in the right and how come the differences of opinion? — Serbia is one of the poorest European countries. The average annual economic growth rate in Serbia from 2001 to 2011 was 4.44% per annum and was above the world growth rate and the GDP growth rate of Central and Eastern Europe. The average annual economic growth rate in Serbia from 2012 to 2023 is 2.27%, which is lower than the world growth rate and the GDP growth rate in Central and Eastern Europe. So, Serbia has fallen even further behind the CEE and the world over the last ten years. As an illustration, we

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A somewhat distorted picture can be created under conditions of inflation and a fixed exchange rate concerning expression of GDP in Euros; both in terms of Serbian GDP trends, but also about the real debt to GDP ratio

had a growth rate of 2.3%3, in Serbia last year, while the average growth rate around the world was 3.5%. Expressing Serbia’s GDP in euros, which is commonplace among our public, under the conditions of a fixed exchange rate and the present inflation, has the effect of nominal GDP in euros showing growth that isn’t real. As in illustration, in the pandemic year of 2020, we had a real GDP fall of 0.9%, but when the GDP was expressed in euros, due to the present inflation and fixed exchange rate, it was higher than 2019’s GDP, i.e., nominal GDP showed growth when expressed in euros, even though real GDP fell by 0.9%. A similar thing happens with debt-to-GDP ratio indicators. Debt indexed in a foreign currency, under conditions of inflation and a fixed exchange rate, decreases in relation to GDP even when there is no real GDP growth. This is because nominal GDP increases as a result of inflation, which when multiplied by the fixed exchange rate provides GDP growth in euros without real GDP growth. As such, a completely distorted picture can be created under conditions of infla-

All data sourced from IMF World Economic Outlook, October 2023. The Statistical Office of the Republic of Serbia cites a growth rate of 2.5% for Serbia in 2022

tion and a fixed exchange rate; an illusion about GDP trends, but also about the real debt to GDP ratio.

In the same way, although we’ve seen export activity decreasing in Europe, we are witnessing foreign investments growing constantly in Serbia, despite the current relevance of the themes of corruption, excessive bureaucracy and poor administration. What makes Serbia attractive to FDI inflows today, when it no longer has such cheap labour? — Not all FDI is equally beneficial to the national economy. Only FDI that comes and launches new economic activities in the so-called tradable part of GDP (new export-oriented activities), and which creates new and well-paid jobs, represents a real improvement to the national economy and real and desirable FDI. A lot of it, however, is FDI that represents something other than what we expect from it. Any retained (reinvested) profit of companies with foreign founders is also classed as FDI. These can sometimes be investments that have very dubious benefits to society (bookmakers) or in areas where they squeeze out local companies and entrepreneurs, and even the state sector (real estate construction, hospitality facilities, health clinics, publishing school textbooks, private schools, representation of foreign companies etc.). We also shouldn’t lose sight of the fact that, in countries with weak institutions and widespread corruption, even money taken from illegal activities abroad can be returned to the country, in order to legalise it, in some form that is categorised as FDI. Serbia is the largest economy in the Western Balkan region and, as such, should be somewhat more attractive to foreign investments. What is needed is for our side to develop an awareness that not all FDI is the same, nor is it all equally useful to the development of the economy and society, and this is particularly important if FDI is incentivised with budget subsidies.

Completely new Reality When it comes to horrific events like the shocking attack of 7th October, there can be no room for anything other than a very clear moral stance. There can be no grey areas, rather only black and white. Anyone in the UN and in the international community that tries to place any of the blame on Israel is simply collaborating with Hamas and will find themselves on the very wrong moral side of history ~ Yahel Vilan H.E. Yahel Vilan Ambassador of Israel to Serbia By Ljubica Gojgić

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srael has set out to fight, in an effort to ensure that there will never again be a repeat of the kinds of atrocities committed against its citizens on 7th October, when more than 1,300 Israelis were brutally murdered and 240 were kidnapped, says Ambassador Yahel Vilan speaking in this interview for CorD Magazine. He adds that Israel’s position is clear in that there can be no peace negotiations with a terrorist organisation like Ha-

mas, which has violated international law. Nor can the Israeli side negotiate with “any other Palestinian leadership that has failed to condemn or at least openly oppose this monstruous massacre of Israeli citizens”.

Your Excellency, clashes in your lands have to date claimed the lives of thousands of people on both sides, including a large number of civilians and children. Do you see any possibility for a ceasefire that would bring an end to any further suffering? ― I think that the very presentation of the question creates bias and may mislead the readers from getting the correct picture of the reality on the ground since the October 7th massacre. On the one hand, there is a murderous terrorist organisation called Hamas, which for about 17 years, since taking over the Gaza Strip, has been operating terror- page ism with the sole purpose of murder- 14

UN to Convene International Peace Conference After occupying Gaza for almost 40 years, Israel turned it into a open-air prison by imposing a comprehensive siege on the territory for a further 16 years. Israel has been expanding its colonial settlements in the West Bank and continues its settlement policy and the Judaization of Jerusalem, in an attempt to reshape the Islamic and Christian characteristics of the city and destroy its Arabic identity ~ Mohamed Namoura H. E. Mohamed Namoura Ambassador of the State of Palestine to Serbia By Ljubica Gojgić

he murder of more than 20,031 Palestinians in Gaza, including around 8,176 children, 4,112 women, 67 journalists, 18,460 civilians, is a war crime that must result in Israeli officials being brought before the International Criminal Court, says Ambassador Namoura, speaking in this interview for CorD Magazine.

According to him, the prerequisites for lasting peace are “the withdrawal of the occupying Israeli army and colonial settlers from the West Bank, including East Jerusalem”, sovereignty for Palestinians over the territories of the State of Palestine and the resolving of the refugee problem in accordance with UN General Assembly Resolution 194, which was adopted in 1948.

Your Excellency, clashes in your lands have to date claimed the lives of thousands of people, including a large number of civilians and children. Do you see any possibility for a ceasefire that would bring an end to any further suffering? ― This is neither war nor clashes – it is a protracted war crime being car- page ried out in continuity by the fascist 15

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INTERVIEW H.E. Yahel Vilan

LAW

CASUALTIES

RESPONSIBILITY

The State of Israel is a state of law and therefore its military action on the territory of the Gaza Strip is carried out fully and strictly under international law

Indeed, unfortunately, there are innocent casualties on both sides, but this is where the comparison between the two sides begins and ends

Hamas bears direct and exclusive responsibility, not only for the murder and kidnapping of Israeli civilians, but also for the killing of innocents on the Palestinian side

ing as many Israeli citizens as possible, and is also happy to “sacrifice” Palestinian citizens from time to time, both in order to use them as human shields against Israeli attacks and in order to increase the international pressure on Israel to stop its just and legal response to the terrorist attacks by Hamas. Indeed, unfortunately, there are innocent casualties on both sides, but this is where the comparison between the two sides begins and ends. The horrifying October 7th massacre, both in its scope – in which over 1,300 Israelis were brutally murdered – and in its cruelty and systematicity – in which the murderers went from house to house, exterminating entire families, including newborn babies in front of their parents, grandparents, raping young girls and finally kidnapping more than 240 innocent civilians, including, again, babies and children, some of whom are the sole survivors of families who were murdered and burned in their homes – is not “another day” in the Israeli-Palestinian conflict. This is the organisation and these are the atrocities against which the State of Israel set out to fight, in order to ensure that such atrocities against its citizens will not be allowed again. Despite all of the aforementioned, the State of Israel is a state of law and therefore its military action on the territory of the Gaza Strip is carried out fully and strictly under international law. There is no army in the history of warfare that has carried out more actions than the IDF has carried out in order to warn and call on the citizens of Gaza to leave the areas of fighting. At the same time, the State of Israel allows humanitarian aid even though it is not obliged to do so according to international law. Hamas, on the other hand, violates international law, as mentioned first

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and foremost in the barbaric attack directed against civilians, in the ground invasion and in launching tens of thousands of missiles at the civilian population. Secondly, it is also converting the entire city of Gaza – its civilian neighbourhoods, hospitals, schools, community centres and amusement parks – into military headquarters or missile launch sites against Israel. And thirdly, Hamas is preventing civilians from taking Israel’s warnings and heading south to safer areas, even by shooting at its fleeing residents. In all of these actions, Hamas bears direct and exclusive responsibility, not only for the murder and kidnapping of Israeli civilians, but also for the killing of innocents on the Palestinian side. And regarding the ceasefire, it is worth mentioning again that on 6th October there was not only a ceasefire, but the State of Israel had even increased the number of work permits issued for Gazan citizens to work in Israel. Hamas bears the sole responsibility for its violation and the current fighting in the Gaza Strip, fighting that will end when the legitimate goals set by our government are achieved: first and foremost, the return of all the abductees to their homes and families and the elimination of Hamas as a political and military force in the Gaza Strip.

The Resolution on Gaza adopted by a two-thirds majority in the UN General Assembly also calls for an “immediate humanitarian truce”. Why was this resolution unacceptable to Israel? ― The United Nations was established after the horrors of the Second World War, primarily the extermination of the Jewish people, with one stated goal: to prevent the recurrence of such horrors. Unfortunately, this organisation has been failing to fulfil this goal consistently and for many years and, unfortunately, has turned itself into a politically biased organisation that is run on the basis of geopolitical power groups. And, indeed, the results are as unprofessional as one could expect: only in the UN organisation can a country like Iran, the world’s biggest violator of human rights, with an emphasis on the rights of women and other minorities, be elected to chair the Human Rights Council. In the same way, the same organisation can manage an entire network of schools and hospitals in Gaza, while turning a blind eye to their transformation into military headquarters and missile launch sites by Hamas. Therefore, of course, it is not a surprise that the secretary general of this organisation does not condemn the crimes against humanity committed by Hamas. If the UN had existed in its current configuration in the 1940s, I can guess that there would have been a majority to condemn the U.S. for the invasion of Normandy. What conditions are required for peace negotiations to be launched and who should participate in those negotiations? ― Allow me to underline that today we live in a different, completely new reality, as a result of the October 7th mas- page sacre. There is no peace process with 16

INTERVIEW H.E. Mohamed Namoura

CONDITIONS

SOLUTION

LAW

The first thing required now is a ceasefire, the second is to stop building Israeli settlements in the West Bank and Jerusalem

A political solution should be reached, which includes the State of Palestine covering the territory of the 1967 borders and with east Jerusalem as the capital, with full sovereignty

The United Nations has issued about 970 resolutions, of which not a single one was implemented, whether issued by the General Assembly or the Security Council

Israeli army. A total of 20,031 Palestinians were killed in more than six weeks, around 8,176 children, 4,112 women, 67 journalists, 18,460 civilians of whom were children (until today, 24th November 2023). The Israeli army is targeting hospitals, schools, churches, mosques. A nuclear army is targeting premature infants. This genocide should immediately stop. The U.S. can force Israel to stop its aggression in the Gaza strip. Instead of that, they support them, providing weapons, equipment and money. Furthermore, by using the veto, the U.S. has many times prevented the United Nations Security Council from adopting a ceasefire decision. The Israeli government and officers of the Israeli occupation army must be brought before the International Criminal Court.

The Resolution on Gaza adopted by a two-thirds majority in the UN General Assembly also calls for an “immediate humanitarian truce”. Could the UN contribute to de-escalating Israel-Palestine relations? ― The General Assembly passed a resolution for a humanitarian ceasefire, and the Security Council, after several unsuccessful attempts, passed a resolution for a “humanitarian pause”, as they say. What is required is that the United States does not obstruct the Security Council in making a ceasefire decision and enables humanitarian aid to arrive in the northern part of the Gaza Strip, as well as in the southern part, because there is a real humanitarian disaster there. Permanent de-escalation can only be achieved by ending the Israeli occupation of the territory of the State of Palestine and dismantling the colonial settlements.

estinian People no longer accept it as the main mediator in any negotiations with the Israeli side. In September 2023, President Mahmoud Abbas urged the UN General Assembly to hold an international peace conference, in which all countries concerned with achieving peace in the Middle East would participate.

What conditions are required for peace negotiations to be launched and who should participate in those negotiations? ― The first thing required now is a ceasefire, the second is to stop building Israeli settlements in the West Bank and Jerusalem. It is also required that Israel stop all other actions and procedures that violate international law. After that, a political solution should be reached, which includes the State of Palestine covering the territory of the 1967 borders and with east Jerusalem as the capital, with full sovereignty. Netanyahu has for years constantly refused negotiations, ignoring the Palestinian issue, and has moved towards trying to normalise relations with some Arab countries instead of finding a solution with the Palestinian Liberation Organisation. Unfortunately, the American Administration a priori excludes any comprehensive and positive outcomes of the negotiations process, so the Pal-

Does the danger exist that the operations in Gaza could spread to a conflict that engulfs the broader Middle East region? ― Yes, this is possible, and it may not be limited to a regional war, but rather it may turn into a war on a global scale, especially since American and Western fleets have been moved to the Mediterranean Sea to support Israel’s aggression against the Palestinian people, who have no army! I think it will expand if the U.S. has an interest in that. Are there any solutions that could bring durable and sustained peace between Israel and Palestine, ending many decades of conflict? The United Nations has issued about 970 resolutions, of which not a single one was implemented, whether issued by the General Assembly or the Security Council. Israel does not respect any of these resolutions. Israel does not care about the United Nations, rather it has killed and wounded dozens of United Nations employees in Gaza, in addition to bombing UNRWA schools there. Lasting peace can only be achieved when Israel respects international law, the withdrawal of the Israeli occupation army and colonial settlers from the West Bank, including East Jerusalem, when the Palestinian people are able to have their sovereignty page over the territories of the State of Pal- 17

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INTERVIEW H.E. Yahel Vilan Hamas and never will be, just as there was no peace process between the Allies and Hitler and there was none between the U.S. and Al Qaeda or ISIS. Murderous terrorist organisations are not partners in peace negotiations, but only for elimination. What should be the agenda for such negotiations, in what form would we prefer to be murdered, to be raped or kidnapped? Unfortunately, it is not only Hamas that cannot be our partner for peace negotiations in the future, but also any other Palestinian leadership that has refrained from condemning or at least coming out openly against the monstruous massacre of Israeli citizens.

Does the danger exist that the operations in Gaza could spread to a conflict that engulfs the broader Middle East region? Let me start with the obvious, as has been reiterated time and again: Israel will not be the one to initiate an escalation to more fronts. But, once again, this question shouldn’t be addressed to us in the first place, but rather to the main initiator of every act of destabilisation in the region: the Islamic Republic of Iran. You don’t need to be a very sophisticated investigator to find the fingerprints of Iran on every act of violence against my country, with money, weapons and technological support, you name it. And, of course, they are a very directly and imminent threat through their main proxy Hezbollah, and now also through the Houthis in Yemen. In confronting all of these “potential” threats, which – as we have seen in Gaza – are not just theoretical threats, Israel has already evacuated tens of thousands of its civilians from the proximity of the Lebanese border and additionally issued a very clear message to Hezbollah not to make the detrimental mistake of a full-scale attack against us, which will possibly lead to the full destruction of Lebanon. And yet, for the longer term, no one should expect Israel to live with this threat permanently. Are there any solutions that could bring durable and sustained peace

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between Israel and Palestine, ending many decades of conflict? I hope one day the Palestinian people and their automatic supporters around the world will finally start demanding accountability from their own leadership for the fact that they have not had their own state for so long. Only once they start to do that will the first seed for peace be planted on their side. The launch of operations of Israeli forces in Gaza has led to an increase in the number of attacks against Palestinians, but also the number of murders in the West Bank. Does the danger exist of the conflict also escalating in that region and, if so, who would bear the responsibility for that? Well, I have already answered this question. I will just add that no murder was committed in the West Bank, but only routine activity against terrorist centres and activists. Whoever wants to call the elimination of terrorists a murder will find those terrorists very quickly in their own backyard, here in

Only in the UN organisation can a country like Iran, the world’s biggest violator of human rights, with an emphasis on the rights of women and other minorities, be elected to chair the Human Rights Council

the Balkans and throughout Europe. Israel was not interested in the war in Gaza in the first place and, of course, is not interested in its expansion to other fronts, but at the same time we will continue to do everything necessary, on all those fronts, in order to provide defence to our residents, just as any other sovereign country would do.

Numerous international organisations that have representatives on the ground in Palestine (UNRWA, UNICEF, Doctors Without Borders) have indicated that, during operations ostensibly directed against terrorist organisation Hamas, Israeli forces are not refraining from attacking civilians, hospitals, refugee columns and camps housing those expelled from Gaza. How would you comment on claims that ethnic cleansing and war crimes are being committed by Israelis on the ground? ― For me, the UN is part of the problem and not part of the solution, and all those who are now complaining about the harm to civilians should ask themselves where they were and why they allowed this war crime, of turning hospitals into terrorist headquarters, to happen under their noses. If anyone in the world still lacks evidence to prove what we have been saying for years, the cameras that accompany the entry of the IDF into those hospitals prove to the whole world that there is not a single hospital in the entire Gaza Strip that has not been turned into a terrorist headquarters by Hamas. Anyone who did not act to prevent this has committed a war crime and anyone who, even now, directs their criticism against Israel instead of Hamas is doubling the crime. In such horrific events like the October 7th attack there is no room for anything else but a very clear moral stand. There can be no grey areas – just black and white. Whoever in the UN and in the international community tries to put any blame on Israel is simply collaborating with Hamas and will find himself on the very wrong moral side of history.

INTERVIEW H.E. Mohamed Namoura estine, with East Jerusalem as its capital, and when the refugee problem is solved according to UN resolution 194 of 1948,so the Palestinian people can live in peace in their homeland like other people around the world.

This latest conflict with Israel erupted after Hamas attacked civilians and massacred young people attending a concert, while Hamas is still holding a number of hostages. The actions of Hamas have prompted condemnation worldwide, with the whole world dubbing them acts of terrorism. To what extent do these actions complicate Palestine’s international position and sympathy for the difficulties the Palestinian people face? ― The true story is that the Zionist militias committed massacres against the Palestinians, destroyed 530 Palestinian villages and expelled two-thirds of the Palestinian people from their land in 1948. Since then, Israel has continued to commit massacres, genocide and apartheid to this day. We are now witnessing the most horrific massacres, which are historically unprecedented. After Israel occupied Gaza for almost 40 years, it turned it into a prison, placing it under a comprehensive siege for another 16 years. Israel has been expanding its colonial settlements in the West Bank. Israel continues its settlement policy and the Judaization of Jerusalem, attempting to change the Islamic and Christian features of the city and to destroy its Arabic identity.

The colonial settlers also terrorise the Palestinian people in the West Bank all the time, while Israel has erected more than 500 checkpoints around and between Palestinian towns. Some of those bunkers look like borders that Palestinians cannot pass without permissions from the Israeli army. Those checkpoints transform the life of Palestinians into an unimaginable daily suffering. The Israeli army mistreats Palestinian civilians and kills them. Israel has not stopped building the racist separating wall, which snakes through the West Bank. Israel is continuously building the wall despite the fact that the International Court of Justice asserted (on 9th July 2004) that it is contrary to international law and that Israel is obliged to discontinue the construction of the wall and dismantle those sections that have already been built forthwith. There were 5,000 Palestinian prisoners in captivity in Israeli prisons, but since 7th October that figure has

What is required is that the United States does not obstruct the Security Council in making a ceasefire decision and enables humanitarian aid to arrive in the northern part of the Gaza Strip, as well as in the southern part, because there is a real humanitarian disaster there

increased to more than 7,000. Among them are many who have been imprisoned for 40 years. We should not forget that occupation is the worst form of terrorism. Therefore, the latest conflict is not the cause, but rather the consequence of the continuation of Israeli aggression, which has been continuing unabated for a long time. The Israeli occupation government has a plan to expel the Palestinian people from the Gaza Strip and relocate them to the Sinai in Egypt, as well as forcing Palestinians to move from the West Bank and East Jerusalem to Jordan. They have been waiting for an “excuse” to carry it out. Because of this, the Israeli occupation government immediately began to seek condemnation from the whole world in order to justify what they have in mind. And that’s why they share disinformation and fake news. Now, in the investigations of the Israeli police, they have come to the conclusion that a large number of Israelis killed on 7th October, were bombed by the Israeli air force. They also shared false news that they found a massacre, and now they have admitted that those victims were Palestinians who were killed by the Israeli army. There are ever more officials and people around the world who stand in solidarity with the Palestinian people, and we hope that international support and solidarity will help end the Israeli apartheid and occupation. Let’s not forget that the international community and solidarity ended apartheid in South Africa.

How would you comment on the stance of the countries of the Arab world regarding the current conflict in Gaza? ― The Arab states, of course, condemned the Israeli aggression in Gaza. The Arab countries are exerting diplomatic efforts, specifically in the United Nations, to achieve a ceasefire. They are also trying to provide humanitarian, medical and other aid for the Palestinian people in Gaza.

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Global Diary

“I am a citizen, not of Athens or Greece, but of the world” Socrates

Gaza Strip Truce Prolonged The ceasefire agreement in the Gaza Strip, aimed at temporarily ceasing hostilities, has now entered its fifth day following a recent two-day extension. This development fosters renewed optimism for the liberation of more hostages by Hamas, the Palestinian militant organisation. To date, Hamas has freed 69 of the roughly 240 individuals they took during the attacks on 7th October. Israel has expressed a readiness to prolong the ceasefire, suggesting an extra day of peace for each group of 10 hostages released. However, it remains unclear if this condition forms part of the current extension terms.

King Charles III Delivers Inaugural Parliamentary Address

Montenegrin Parliament Appoints Government Headed by Prime Minister Spajić The Montenegrin Assembly has elected the 44th government, spearheaded by Prime Minister Milojko Spajić. The decision saw 46 MPs in favour, 19 against, and one abstention. Following the appointment, Prime Minister Spajić took the oath of office in the Assembly, reading a brief section of his exposé outlining the government’s action plan. He pledged that the administration would run for four years, and from 1st January next year, the minimum pension will be set at 450 euros. Additionally, within a year of the government’s formation, the average wage will reach 1,000 euros. Spajić also announced reduced working hours for employees and impending reforms of the health and pension systems. 18

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In a landmark address to the British Parliament, His Majesty King Charles III has affirmed the United Kingdom’s unwavering support for Ukraine and a strengthened NATO alliance, as well as ensuring accountability for the perpetrators of what he termed ‘barbaric terrorism’ against the people of Israel. “Her Majesty’s Government will work closely with international allies to support Ukraine, fortify the NATO alliance, and address the most challenging security issues,” declared King Charles III. In his speech, he also reflected on Brexit, asserting that the government will take steps to make the economy more competitive globally and will legislatively aid the promotion of trade and investments with the world’s fastest-growing regions.

“Nowadays, one country cannot go it alone. This is a global village” Sheikh Hasina

Prime Minister of Bangladesh

EU Commission Presents New Growth Plan For WB The European Commission has adopted a new Growth Plan for the Western Balkans, aimed at extending some membership benefits to the region prior to accession. This plan is designed to stimulate economic growth and hasten socio-economic convergence. The goal is to assist partners in intensifying reforms and investments, substantially quickening the pace of the enlargement process and the growth of their economies. To this end, a new €6 billion Reform and Growth Facility for the Western Balkans has been proposed for 2024-2027. Payments will be made only upon the completion of agreed reforms.

Iceland Declares State of Emergency Over Volcanic Eruption Threats

Djokovic Cements Legacy Novak Djokovic has once more secured a place in the annals of tennis history with his latest triumph. At 36, the Serbian claimed an unprecedented seventh Nitto ATP Finals title, surpassing Roger Federer’s record of six. This victory also represents his 71st ‘Big Title’ - a tally including Grand Slam titles, Nitto ATP Finals trophies, ATP Masters 1000 wins, and Olympic singles gold medals. Djokovic holds unparalleled records in Grand Slam wins (24), Nitto ATP Finals (7), and ATP Masters 1000s (40). This year, Djokovic has amassed seven trophies on the ATP Tour, six of which are ‘Big Titles’, marking his most successful season since 2016.

Iceland has declared a state of emergency following powerful earthquakes on the Reykjanes peninsula, signalling an increased risk of a volcanic eruption. The Department of Civil Protection and Emergency Management announced the emergency in response to significant seismic activity near Grindavik. The Icelandic Met Office (IMO) suggests an eruption could occur within days. Grindavik, home to 4,000 people and close to the quake’s epicentre, has prepared evacuation plans. Two strong earthquakes, including a 5.2 magnitude tremor, were felt in Reykjavik, 40 km away, and along the southern coast, shaking homes. A crucial road to Grindavik was closed due to earthquake damage. Authorities are closely monitoring for further seismic activity or potential volcanic eruptions. cordmagazine.com

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ELECTIONS IN SERBIA

The Deceptive Ease of Victory Despite voters of both the ruling parties and the opposition being dissatisfied – with economic results, quality of life and growing violence across society – there is scant basis to believe that the results of the elections scheduled for 17th December will bring much in the way of change. However, that doesn’t mean that, in the post-election period, both blocs won’t have to fundamentally change the way they’ve addressed voters to date

hich issues will prove decisive for victory or defeat in these elections? How will such a choice of issues influence the possibility for the opposition to present a united front regarding these matters, given the differences between

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their voters? Did Ursula von der Leyen already choose the new/ old winner of these elections during her recent visit to Belgrade? Is Belgrade a “done deal”, i.e., is it lost to the ruling party or not? These are the questions we posed to our interlocutors.

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Aleksandar Baucal Ph.D full professor at the Faculty of Philosophy in Belgrade

What I’m Listening to and What’s Happening to Me The key question for this election is the extent to which citizens will believe the image presented to them through the media more than they believe the life they’re actually living believe that every political party and coalition will attempt to impose the issue that it considers as supporting its cause the most. The ruling parties, which have spent more than 10 years in power, and during that time have managed to “dismantle” all the control mechanisms that ensure government accountability in any normal society, will emphasise economic issues and their adhoc pre-election donations to different groups of citizens. However, the government is aware that there are huge problems lurking behind the façade of a good economic situation and that those problems won’t be visible to citizens prior to heading to the polls. It is for this reason that the ruling parties will exert efforts to ensure the campaign is very dirty, thereby discouraging all those who aren’t their voters from even voting. The opposition parties that are nationally-oriented will place an emphasis on the issue of Kosovo. Meanwhile, civic-minded opposition parties will try to bring to the fore issues of violence and insecurity in society, the eradicating of the rule of law and the sense of injustice felt among citizens, widespread corruption and exploitation on the part of the authorities, as well as the breakdown of all institutions that are important for citizens to be able to live well. It is difficult to say which issue will prove decisive, given that most of the media scene is massively controlled by the authorities. However, the media image being projected by the government via its media outlets differs greatly from the real life being experienced by a large number of citizens. Thus, the key question for this election is the extent to which citizens will believe the image presented to them through the media more than they believe the life they’re actually living. I’m under the impression that the entire opposition, both national- and civic-minded, has a shared interest in fighting for normality to return to society and for democracy to be restored to political life. Specifically, both factions know

that their ideology and priorities will have no chance without these changes occurring. Ursula von der Leyen did not select the new/old winner of the elections during her visit to Belgrade, as some analysts have claimed. I don’t share that impression. She is the EU representative chosen to represent the Union’s interests. They will cooperate with every representative chosen by the citizens of Serbia on issues that are important to both them and us. I would say that she showed us, the citizens of Serbia, that she respects us as mature and responsible people. In a way, she told us that the question of the kind of society in which we live and the kind of country we have is our responsibility, and that she – as an EU representative – doesn’t want to deprive us of our right to order “our house” in the way that best suits us. I personally believe that she would also be happy if she didn’t have to cooperate with the current ruling pack.

Anyone who thinks that this kind of society is not a good place for them and their family to live should vote for change and for this society’s gradual return to normality When it comes to a possible winner of the elections in Belgrade, that remains an open question. Elections are very, very rarely a done deal for any idea or option being subjected to a vote. The ruling elite have shown their readiness to violate all laws and rules of democracy in order to stay in power, and to do so brazenly if necessary. That’s why anyone who thinks that this kind of society is not a good place for them and their family to live should vote for change and for this society’s gradual return to normality.

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Foto: Paola Felix Meza

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Ana Stijiljković Political Communication Consultant, Media and Communication Researcher, Loughborough University

Converting Dissatisfaction into Votes will be Challenging The upcoming elections in Serbia will take place in an atmosphere devoid of free discussion or support for democratic choices from electoral institutions. And yet there is nevertheless a possibility for the opposition to take control of Belgrade erbian citizens will head to the polls once again on 17th December. Awkwardly requested by the opposition and surprisingly scheduled by the government, these elections are distinctive in that the opposition has a real shot in Belgrade. Polls show that the opposition (all parties, from left to right) has equal support compared to the ruling parties and could challenge the years of SNS and SPS (along with a few minor parties) rule in Belgrade, provided it manages to entice all its supporters out to vote. Still, regardless of what the polls show, and regardless of the rise in dissatisfaction that they illustrate, it won’t be easy for the opposition to convert said dissatisfaction into votes. These elections are again occurring under unequal conditions, with a considerable advantage for the ruling parties. Most media outlets in Serbia continue to report uncritically on the government, while the opposition in the country has limited access to such media outlets and continues to be vilified by the pro-government press and tabloids. Electoral institutions that would ordinarily play a significant part now sit largely dormant or are supportive of the ruling players. These elections in Serbia represent a juncture that could instigate change. They come at the end of a shocking year. The elections were called following the eruption of protests in the aftermath of the tragic gunning down of children and young adults in Belgrade and Mladenovac over the course of two days in early May. Protestor numbers unseen in recent times flooded the streets of Belgrade and other cities to protest the growing atmosphere of violence in Serbia that they believe is being reinforced continuously by the ruling political players, by their rhetoric, mannerism and actions. All-encompassing violence is the most important topic and problem in Serbia for those key voters that

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might bring change to Belgrade. That holds true for loyal opposition voters, those who remain undecided and those who might break from the ruling party. The voters beyond this group, representing the majority of all voters, view inflation and constantly rising prices of food and other essentials as the most important problem. This comes as no surprise. Statistics show that food prices have risen 42% over the past two years. The pains of the average voter in covering their family’s basic needs probably explain the widely discussed episode with the President showcasing Baloney-style Parizer sausage on national TV (and everywhere else), offering hope that the cheapest foods might be even cheaper in the future.

The predominant issue of all-encompassing violence stands out as the greatest concern and challenge in Serbia, particularly among crucial swing voters who have the potential to instigate change in Belgrade It is within the power of Serbia’s current government to almost completely control the public agenda in the country, and it has so far used that power to squash dissenting voices and disruptive arguments. Such has been the case with the May tragedies that are building up to be a collective trauma for Serbian society, or the events in Banjska, Kosovo, that were left largely unexplained to the public. The President and the ruling Progressives have instead chosen to run their campaign on further progress and their perceived achievements. Will that be enough to hold on to power in Belgrade? That remains for us to see on 17th December.

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Bogdan Živković historian

Serbia has Election Fatigue Serbia enters the December election period in a remarkably calm mood, weary from overexploited political issues, passions and ideas. Nothing points to change. However, the calmest period is sometimes the one that comes before the storm here will be no issues that prove decisive in these elections, despite that seeming otherwise in the first half of the year. The French-German plan brought the Kosovo issue to the fore. Then came the mass shooting at the Ribnikar Primary School that triggered mass protests among the civic-minded opposition. Over the course of just a few months, both of these issues disappeared from public discourse and their power to mobilise opposition voters was lost. Several factors served to ensure that the government wasn’t seriously shaken by the Kosovo issue. On the one hand, the national-oriented opposition didn’t prove to have matured enough to handle the situation. The recent unsuccessful negotiations on the unifying of nationalist parties provided yet more evidence of this shortcoming. On the other hand, President Vučić had many allies on this issue – from the West and from Serbia’s own pro-Western opposition. The school massacre was, on the other hand, an apolitical issue. It is very difficult to make the government culpable for this event, even with all the mistakes in the handling of the crisis. This tragedy has roots that are deeper than daily politics issues. As such, it is no wonder that the initial fiery reaction and mass rebellion collapsed of its own accord as a result of its apolitical undertone. The fading of these two major issues caused an anticlimactic atmosphere to spread among the opposition. However, the government is also awaiting the elections in a similar mood. At the national level, SNS failed to attract some significant non-party figures, as it has previously. In Belgrade, internal party divisions and the short and not particularly successful term of Mayor Šapić didn’t provide a ratings boost. But the opposition still threw SNS a lifeline. The candidacy of Vladimir Obradović, a vapid technocrat,

doesn’t appear to be a move that will contribute to a change of government. We must nonetheless take the stance of Western players into consideration. Serbia is completely dependent on the West in a geostrategic and economic sense, with the West possessing an enviable media and para-political structure of NGOs in the country, and Western stakeholders gladly meddle in internal affairs. The visit of Ursula von der Leyen provided a reminder of some constants of Western policy: Serbia must recognise Kosovo independence; the prospects of EU accession are a long way off; and Vučić is the best possible collaborator for the West, because he’s able to mobilise a good part of the nationalist and anti-Western-oriented electorate in Serbia. Regardless of how much the civ-

Vučić is the best possible collaborator for the West, because he can mobilise a good part of the nationalist and anti-Western electorate in Serbia. Regardless of how much the civic-minded opposition offers itself up to cooperate with Western players, they clearly recognise that Vučić is a far better collaborator for them ic-minded opposition offers itself up to cooperate with Western players, they clearly recognise that Vučić is a far better collaborator for them – provided he wants to collaborate. As such, Serbia enters the December election period in a remarkably calm mood, weary from overexploited political issues, passions and ideas. Nothing points to change. However, the calmest period is sometimes the one that comes before the storm.

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Bojan Klačar Executive Director of the Centre for Free Elections and Democracy (CeSID)

Elections 2023: Elections When it isn’t Time for Them? The ruling coalition is the favourite to win parliamentary and provincial elections, while the race for Belgrade will be very uncertain. Estimates that the ruling party has lost Belgrade are premature. The turnout will be an important factor in the upcoming elections, given that Serbian citizens have weaned themselves off voting during winter he announcement of December elections surprised the general public in Serbia. And Serbian President Vučić raised the political stakes we he announced that there subsequently won’t be any elections until 2027, because that means that the December vote will determine political life for the next three to four years. Secondly, it is clear that following 11 years of such frequent elections, four of which were extraordinary elections, neither the ruling parties nor the opposition can carry on as before. The ruling coalition is “tired” of frequent elections, with voter discipline waning and the need for internal reforms within the Serbian Progressive Party only set to grow. The opposition won’t be able to continue with a campaign in which it wins votes more due to dissatisfaction with the government than thanks to its own good organisation, campaign, election promises and communication. The priorities of citizens on the eve of these elections are Kosovo, prices, living standards, corruption, internal political life and security issues, or stability. These are also issues that have to be given importance in the election campaign, but electoral success will be influenced more by the way these issues are communicated: on how plausible the parties are in their public appearances; the trust they’ve gained and their ability to lead a campaign. The ruling coalition is homogeneous and its campaign will rely on communicating its achievements and results, with Vučić presenting all messages. The important issues for the left-centrist opposition will include violence, corruption, the media and the state of democracy. Meanwhile, Kosovo will be the absolute leading issue for the nationalist opposition.

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The ruling coalition is the favourite to win parliamentary and provincial elections, while the race for Belgrade will be very uncertain. Estimates that the ruling party has lost Belgrade are premature. As such, the key question in Belgrade is whether it will be possible for opposition parties to collaborate after the elections, because it isn’t out of the question that securing a majority in the city will depend on one or two mandates. All things considered, achieving post-election cooperation among the opposition parties won’t be an easy process.

After these elections, the opposition won’t be able to continue with a campaign in which it wins votes more due to dissatisfaction with the government than thanks to its own good organisation, campaign, election promises and communication The EU and Western partners will cooperate with the winners of the elections, regardless of who they are. Ultimately, the turnout will be an important factor in the upcoming elections. Serbian citizens have weaned themselves off voting during winter, as they last voted in winter back in 2007. Given that the turnout was exceptionally high in 2022, particularly in Belgrade, and in the case that the weather is cold on this 17th December and a “dirty” campaign is led, a lower turnout than 2022 shouldn’t be ruled out.

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Cvijetin Milivojevic Political Scientist

Opposition Again Swallowing Vučić’s “Hooks” The opposition’s reactive campaign, the erroneous decision to seek elections at all levels, as well as clear support for the ruling party from the EU and other countries, all make the results of these elections predictable he most important issues in these elections will be those imposed by a man who, according to the Constitution and election laws, not only doesn’t have the right to even run for the position of an MP in the parliament or a local assembly councillor (because he’s already been elected president of the Republic), but who also, according to the Law on Preventing Corruption (chapter: conflict of interest), shouldn’t even “lend” his name to the ruling coalition’s electoral list, let alone whip up support for one party, from his position as president of all citizens. And he is doing all this from the position of President of the Republic, who should, in accordance with the Constitution, reflect state, civil and political unity, and not incite conflict. It seems at present that his main issues will be pre-election social benefits for various categories of the population – from pensioners to 1.2 million children whose parents are voters, which represents a huge section of the electorate. However, I wouldn’t be surprised if, apart from disqualifying the opposition and heaping praise on himself with the issues of the construction of infrastructure and economic growth, he at one moment turns to his favourite issues: vowing that he will never recognise the independence of Kosovo, whilst simultaneously vowing that he will propel us into the European Union faster than anyone else. The opposition is once again running a reactive campaign, devoid of initiative, swallowing Vučić’s “hooks” and trying to keep pace with his rhythm, and the duration of the campaign is unusually short. What’s more, the opposition scored an own goal with its demand that Vučić schedule extraordinary parliamentary elections and extraordinary Belgrade elections to occur on the same day, while he also added local elections in more than 60 cities and municipalities, as well as elections for the Assembly of Vojvodina. Vučić has now covered everything with his own name and likeness, while at all election levels there are no

names whatsoever from the ranks of the ruling coalition parties, rather it’s all dubbed “Aleksandar Vučić – Serbia mustn’t stop”. It seems as though Ursula von der Leyen already chose the new/old winner of the elections during her visit to Belgrade. The EU is again “betting” on Vučić in these elections, as if it is still suited more, despite all the objections, by his stabilitocracy, i.e., by the immutability of entrenched government, rather than the risk brought by possible change. This is also being done, either directly or indirectly, by Washington, but also by Beijing and Moscow. When it comes to the expected result of the Belgrade election, it should be noted that the opposition also won the previous elec-

Vučić has covered everything with his own name and likeness, while at all election levels there are no names whatsoever from the ranks of the ruling coalition parties, rather it’s all dubbed “Aleksandar Vučić – Serbia mustn’t stop” tion, but proved incapable of preserving that election victory with a margin of 70,000 votes or of converting that into the constituting of a city government in the capital. If the opposition had insisted on the fulfilling of the April 2022 promise of the leader of the strongest ruling party and the then strongest opposition party that extraordinary Belgrade elections would be called within six to nine months, the holding of those elections would certainly have resulted in a win for the opposition. As things stand, given that Serbia is the only country in the region (though there also isn’t such a case in the EU either!) where local elections, including Belgrade elections, are held on the same day as, or in the shadow of, major parliamentary elections, it wouldn’t be a surprise if Vučić’s party remains in power in some way.

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Raša Nedeljkov Programme Director at the Centre for Research, Transparency and Accountability (CRTA)

No Free Flow of Ideas in Elections There are no issues on which “elections are won or lost” here. If they existed, that would mean that our democracy is in a much healthier state than it actually is, and that the election race unfolds under fair conditions, on a free “market of ideas”

ccording to the findings of the latest public opinion survey conducted by CRTA, citizens are most concerned over economic problems – 40 per cent of respondents say that they have been impacted by inflation, i.e., by price hikes and falling living standards. More recent elections haven’t given us the opportunity to see serious, well-argued confrontations between contrasting economic and development policies. The government has tended to assuage voter “anxiety” with various ad hoc solutions and concessions during the pre-election period, which either border on, or even cross the line in, the practice of buying votes, and certainly occupy the zone of the misuse of public resources and the further erasing of the boundary between the state and the party. The opposition could benefit from the fact that citizens single out ubiquitous violence as the number two problem in society, followed by corruption and the conceitedness of the government. The coalition named “Serbia against violence”, which was actually created on the wave of major citizen protests, could probably build a good part of its campaign on the struggle against violence, corruption and autocracy. Unfortunately, I don’t think there are issues on which “elections are won or lost” here. If they existed, that would mean that our democracy is in a much healthier state than it actually is, and that the election race unfolds under fair conditions, on a free “market of ideas”. And we are a long way from that.

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Not only is there huge inequality in the representing of election participants in the media, which ensures a good part of the citizenry is unable to even find out what policies the opposition is actually advocating, but also too many voters are exposed to political pressure, or find themselves “enslaved” in the network of clientelism in which they trade votes in exchange for their basic existential needs. CRTA recently published the results of research on the ways relations of clientelism function in the system of social work centres. Approximately half a million Serbian citizens live in abject poverty and many of them are bribed into voting in accordance

Not only is there huge inequality in the representing of election participants in the media, which ensures a good part of the citizenry is unable to even find out what policies the opposition is actually advocating, but also too many voters are exposed to political pressure with directives if they want to exercise their right to the assistance that’s guaranteed to them by law. The question for the opposition is how they can motivate as many as possible of those who aren’t exposed to direct political pressure to vote, or rather to believe that change is possible and act accordingly.

Business Dialogue LEADERS’ MEETING POINT

HOW THE HYBRID MODEL CAN BOOST THE BOTTOM LINE Page 28

BREWING A BETTER WORLD TOGETHER

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How the Hybrid Model Can Boost the Bottom Line With a global network of around 4,000 locations spanning 1,100 towns and cities across more than 120 countries, Regus helps over eight million people work more productively and conveniently, regardless of where they are based

his is a company that’s thrilled to be expanding its footprint In Serbia, thanks to brand new Regus locations in Belgrade and Novi Sad that are set to open in the coming months and thus bring the total number of Regus locations in the country to nine.

ADDRESSING A GROWING NEED The need for high-quality, flexible workspaces is continuing to grow worldwide, with the hybrid work model becoming the new normal. Hybrid working has been in demand for many years, though its popularity skyrocketed with the outbreak of the Covid-19 pandemic and it’s now the preferred way of working for the vast majority of businesses worldwide.

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IWG, as the parent holding company of Regus, is the world’s leading provider of hybrid working solutions, offering a choice of professional, inspiring and collaborative workspaces and services. Operated by brands that include Regus, Spaces and HQ, its flexible

workplaces provide high-quality office space, meeting rooms and coworking areas, with additional products and services that include virtual offices, membership and workplace recovery plans. Customers are also provided with world-class IT and admin support,

including telephony set-up, printing services, on-site support staff and catering.

A HAPPY WORKFORCE IS A PRODUCTIVE WORKFORCE The Regus workspace model is proven to increase productivity while providing a considerable reduction in business costs. Regus works with companies of all sizes – from startups to large multinationals - and its customers include 83% of Fortune 500 firms. The hybrid model helps to create a happier and more productive workforce by enabling staff to split their working hours between a central HQ, a local workspace and home, eliminating long daily commutes. Hybrid also lowers overheads significantly by enabling businesses to cut down on expensive longterm leases for traditional office space. Independent research conducted by Global Workplace Analytics shows that, by work-

The hybrid model helps create a happier and more productive workforce by enabling workers to split their working hours between a central HQ, a local workspace and home ing in accordance with the hybrid model, businesses can save approximately 1.2 million dinars per person per year.

EXPANDING PRESENCE The first Regus location in Belgrade opened in 2011, while today the company has six locations in Belgrade and one in Novi Sad, with this total set to expand to seven in Belgrade and two in Novi Sad

during Q1 2024. This ambition company aims to provide a network of high-quality workspaces in every country, city, town and transport hub around the world, in order to meet the rapidly rising demand for hybrid working. These state-of-the-art workspaces will meet the strong demand of hybrid workers, offering them professional environments in which they can meet and collaborate with colleagues, as well as like-minded individuals. Vastly experienced, Regus has been engaged in this sector for more than 30 years, with the needs of clients and trends having changed massively over that time. With the trend towards hybrid working having become universal and demand for flexible solutions set to continue accelerating – with 30% of all commercial real estate expected to be flexible by 2030 – Regus’ business is growing at a rapid pace and the company anticipates this momentum continuing into 2024 and beyond.

Visit: regus.com

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Business Dialogue

“Trade between France and Serbia is now approaching two billion euros” Pierre Cochard

Ambassador of France to Serbia

LOCAL NEWS

Japan Gifts Medical Equipment to Negotin in Health Sector Boost

Toyo Tire Forges Sustainable Research Partnership with the University of Novi Sad Toyo Tire Holdings Europe GmbH, the European sales branch of Tojo Tires Corporation, has announced establishing an industrial-university partnership for the research and development of sustainable raw materials with the University of Novi Sad. The signing ceremony took place at the University of Novi Sad. Located in northern Serbia, Novi Sad is the country’s second-largest city after Belgrade’s capital. Since its inception, the University of Novi Sad has grown into a central higher education institution in Serbia and has become one of the largest universities in Central Europe. It boasts 14 faculties, nearly 50,000 students, and over 5,000 faculty members. With a production base in the country, Tojo Tires aims to foster technology development in both nations through this industry-university partnership, contributing to Serbia’s educational policy.

Labour Costs and Shortages: Major Challenges for Companies A study by consulting firm Horváth, involving top management from companies across 19 countries (mostly in Europe) and 13 different industries, reveals that labour shortages and high labour costs are key business challenges. The increase in labour costs is leading to the relocation of production in certain industries from Western and Southern Europe to regions with significantly lower labour costs. The survey, covering companies mostly with annual revenues of over one billion euros and employing more than 1,000 people, forecasts an average labour cost increase of 7.5 per cent. Companies are facing major changes driven by rapid digitalisation, achieving sustainability, and maintaining profitability. However, the surveyed managers agree that long-term success primarily depends on effective human resource management. They recognise the importance of investing in employer branding and corporate culture as critical factors for attracting new employees and retaining current staff. 30

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The Japanese government will donate medical equipment worth €59,024 to the Negotin Health Centre in a bid to support the enhancement of the healthcare system in the Republic of Serbia, announced the Japanese Embassy in Belgrade. The donation includes an ultrasound machine, ECG, incubator, and aspirator. Through the Grassroots Human Security Projects (GHS) in Serbia since 1999, Japan has contributed over €16 million, while the total sum of Japanese aid to Serbia during this period exceeds €511 million. The embassy highlights that the aim of the GHS is to foster social development through projects addressing basic human needs, with the Japanese Government providing the financial assistance necessary for implementing projects that contribute to the economic and social advancement of the country. To date, 251 such projects have been executed.

“Serbia’s growing economy possesses significant potential and capacities in the field of sustainable business and investments” Yakup Beris

UNDP Serbia Resident Representative

Coke Academy’s Fourth Edition Hosts Over 100 Hospitality Sector Clients The fourth edition of the Coke Academy, a specialised academy organised by Coca-Cola HBC Serbia for its clients, addressed the future trends and challenges in the hospitality sector. The event focused on topics such as finding and retaining employees and enhancing sales and profitability in the industry. The academy gathered over 100 clients, allowing them to gain knowledge and hear experiences from Coca-Cola HBC Serbia employees and prominent experts in Serbia’s HoReCa industry. “HoReCa is a crucial channel for our business. We aim to continue developing this sector with our clients. Initiatives like the Coke Academy are designed to discuss how we can improve our service and what we can collectively do better,” stated Mirko Gutić, Sales Director at Coca-Cola HBC Serbia.

France-Serbia Trade Flourishesg Ambassador of France to Serbia, H.E. Pierre Cochard, has highlighted the strength of the economic ties between France and Serbia, with trade nearing two billion euros. This statement was made at an event organised by the Serbian Chamber of Commerce (PKS) and “Coface” to mark the 10th anniversary of their collaboration and the “EXCELLENT SME” certificate in Serbia. “Our trade volume increased by 34.2 per cent in 2022 compared to the previous year, now approaching two billion euros,” said Cochard, pointing out that the relationship between the two nations was particularly reinforced by the financial support agreement of 2019, which aims to strengthen economic bonds. He underscored the significant footprint of French companies in Serbia, with exports increasing yearly. “There are currently 120 French companies operating in Serbia, providing jobs for 12,000 people. Vinci is a prime example of this positive collaboration,” Cochard concluded.

British Airways Resumes LondonBelgrade Route After 13-Year Hiatus British Airways, the UK’s leading airline, has reinstated its London-Belgrade flights after a 13-year absence. The service will operate thrice weekly – on Tuesdays, Fridays, and Sundays, employing Airbus A320 and A321 aircraft. Emil Delibašev, British Airways’ Regional Commercial Director, told journalists that this move marks a reinforced connection between London and Central Europe after a decade-long hiatus in Serbia. Rooted in a rich history spanning over half a century, British Airways has connected the UK with Serbia since the 1950s. Initial flights commenced on the Belgrade-Zurich-London route in 1957. A direct Belgrade-London service was then established in 1970, with twice-weekly flights to Heathrow Airport. The airline, headquartered at London’s Heathrow and Gatwick airports, ranks as Europe’s second-largest carrier.

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Brewing a Better World Together From barley to bar, more than 150 years, we are committed to making a positive impact on the world around us. We are aware that we can only progress if our people, the planet and the communities that surround us also progress

HEINEKEN pivara Zaječar

ur sustainability programme “Brewing a better world” was launched in 2009 and today forms integral part of our EverGreen business strategy, encompassing a set of ambitious plans and commitments made with the aim of achieving a positive environmental impact in the domain of social sustainability and the promotion of the responsible consumption of alcohol.

ON THE PATH TO NET-ZERO On our journey to net zero, we are oriented towards concrete actions aimed at reducing our carbon footprint, in close cooperation with customers, consumers and suppliers. We have committed ourselves to being completely carbon neutral in our production processes by 2030, and across our entire value chain by 2040, through the maximum use of renewables and increased energy efficiency. In the domain of the circular economy,

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HEINEKEN pivara Novi Sad

thanks to major infrastructure investments, we have achieved zero waste to landfill in both our breweries – in Zaječar and Novi Sad. We place an emphasis on the use of returnable packaging and are continuing to develop innovative packaging, thereby reducing the amount of plastic we use each year.

PROTECTING WATER RESOURCES With a contribution exceeding 95 per cent, water is the main raw material in the process of producing beer, which is why caring for this resource also means taking care to ensure the quality of the beverage that we produce. As a signatory of the UN Global Compact, we encourage all pf our partners and suppliers to use water responsibly, and our commitments and targets in the field of protecting water resources are additionally defined by our Towards Healthy Watersheds strategy, which we are also implementing

in Serbia. This programme is built on three principles: water efficinecy, water circularity and water stewardship. We’ve reduced the amount of water used in our production processes by 75 per cent over the past decade, and we are striving to maintain this trend. On the other hand, the water we use in the entire process of producing beer is ultimately released into nature, but this is done in a strictly controlled manner. Our breweries in Novi Sad and Zaječar have special plants that purify the water and render it safe for the environment before it is finally released into nature. We presented our new “Reservoir” national campaign in September 2023, which – apart from raising awareness of this important issue – will contribute to preserving and restoring Serbia’s natural water resources, improving their use and access to clean drinking water. In cooperation with NALED, as our longstanding partner, we will

work to renovate public fountains and artesian wells, with a focus on Novi Sad and Zaječar, wastewater treatment, education, volunteer activities etc. Working in cooperation with the City of Zaječar and the Association “ZA česme” [FOR drinking fountains], we restored four artesian drinking fountains, some of which date back more than a century, and we will also restore another three.

WE EMBRACE INCLUSION AND DIVERSITY As part of our EverGreen strategy, embracing equality is a very important aspect of our journey to being a fair and inclusive company. On Heineken’s journey towards gender equality, the company has made its first ever public commitment to empower women and increase the percentage of women holding leadership positions in senior management globally to 30% by 2025 and 40% by 2030. We’ve already achieved these aims at the level of the leadership team in Serbia, having reached 40% of women in management positions, while this ratio is an ideal 50% at the level of senior management! We have committed ourselves to ensuring equal pay for equal work for colleagues of both sexes and are strongly committed to the issues of safety, human rights and business conduct. Apart from workers employed directly by Heineken, we also ensure fair and equal pay and working standards for indirect employees as well as for our brand promoters.

With the aim of ensuring all 80,000+ employees worldwide feel a sense of acceptance by the company, Heineken has formed a team of over 100 inclusion and diversity ambassadors, who help curate action plans that address locally relevant challenges. At Heineken we are establishing social impact initiatives that support the UN Sustainable Development Goals (UN SDGs), which are in line with the mission of our company. We are actively engaged in the creation of an optimal business climate and environment through joint dialogue, where the implementing of initiatives on the issue of packaging waste management are of particular importance to us. More than 85% of the raw materials that we use for the production of beer at our breweries in Zaječar and Novi Sad are sourced in Serbia, while 100% of the suppliers we collaborate with have signed the Heineken Code of Business Conduct, thus confirming that they operate in accordance with the highest standards, and with respect for human rights and the environment.

WHEN YOU DRINK NEVER DRIVE With the aim of raising awareness of the importance of the responsible consumption of alcohol, we joined forces with the Auto-Moto Association of Serbia on a campaign entitled ‘Kad ide tura, ne ide gas’ [When you drink never drive]. This is the first partnership in Serbia between the beer industry leader and the national association of drivers, representing an innovative step on the issue of responsibility.

RESPONSIBILITY AND MODERATION On the road to responsible consumption and no harmful use of alcohol, at Heineken we always offer a choice. We are investing in innovation in our portfolio of non-alcoholic beverages, and through our Heineken 0.0 brand we ensure that all our consumers always have the possibility to choose. For us, the slogan “Brewing a better world” also means empowering consumers by providing choices, as well as communicating transparently and with zero tolerance for the harmful use of alcohol. Moderation, responsible consumption, is of fundamental importance to our entire industry and at Heineken we support and promote it in all our activities. As a producer of beer that’s present in most countries, it is our responsibility and ambition to brew a better world together, with partnerships, a positive contribution and limiting negative impacts. At the same time, we believe that we’re on the right track as a supporter and partner of the local communities where we operate, placing sustainability and responsibility at the heart of our business as we write our next growth chapter.

Through various channels of communication and exclusive video content, but also innovative activities at driving schools throughout Serbia and at the branches of AMSS and AMS Insurance, the messages of our campaign have so far reached more than two million drivers in Serbia. Trophy-winning racing driver Nikola Miljković, the youngest ever champion of the FIA International Hill Climb Championship, also joined the campaign with the aim of contributing to further strengthing and increasing the visibility of our messages with his example of responsible conduct, but also with his credibility as an experienced driver. Given that in business, just like in life, a reliable partner is essential, this campaign represents a step forward in educating drivers about the responsible consumption of alcohol and conscientious conduct in traffic, and is also a way of achieving our ambitious goal of reaching all of the more than three million drivers in Serbia.

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Business Dialogue

“Given our close proximity, it’s essential for our narrative to be unified, Croatian and Montenegrin” Julije Domac

Director of the Croatian Regional Agency for Energy and Climate

REGIONAL NEWS

EU’s New Growth Plan Allocates €6 Billion for Western Balkans The European Commission’s new Growth Plan for the Western Balkans proposes a €6 billion allocation for the region. This includes €2 billion in grants and €4 billion in favourable loans over the next three years. The funds will be disbursed to the countries based on the results achieved, stated Emanuele Giaufret, the Head of the EU Delegation in Serbia. The Growth Plan for the Western Balkans, developed by the European Commission, is a proposal to the member states and the European Parliament. It aims to integrate the Western Balkan region into the EU’s single market even before these candidate countries attain full EU membership, explained Giaufret.

Serbia Offers Montenegro E-Invoicing Platform Licence Free of Charge Serbia and Montenegro have inked a deal allowing Montenegro to use Serbia’s centralised e-invoicing platform licence for transmitting, receiving, managing, and storing electronic invoices of businesses and entrepreneurs, as announced by the Serbian Government. Under the agreement signed by Serbia’s Deputy Prime Minister and Finance Minister, Siniša Mali, and Montenegro’s Finance Minister, Aleksandar Damjanović, the Serbian government will offer Montenegro the software licence for this centralised e-invoicing platform free of charge for a duration of three years. “In April of this year, Montenegro’s Ministry of Finance approached us regarding adopting the e-invoicing system, having recognised the significant benefits and effects its implementation has brought to our country,” stated Mali.

Slovenia Outperforms Italy and Spain in Disposable Income Per Capita Regarding average net disposable income per capita adjusted for purchasing power standard (PPS), Slovenia has edged out Italy and Spain, as reported by Eurostat. The EU average in the previous year stood at 18,706 PPS, a nearly four per cent increase from 2021. Slovenia’s average reached 18,792 PPS, slightly above this EU norm. Luxembourg led the chart with a significant margin at 33,214 PPS, with the median figure representing an equal distribution above and below this value, considering the variance in income distribution and the household size and structure. Close contenders were the Netherlands, Austria, Belgium, Denmark, and Germany, showcasing stronger disposable incomes in the EU’s economic landscape. Slovenia’s performance, ranking just above the EU’s average, outstripped the likes of Cyprus and Ireland as well. Notably, traditional economic powerhouses Italy, with 18,472 PPS, and Spain, with 17,254 PPS, trailed behind Slovenia.

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“Countries of the region must economically integrate themselves following the existing standards in the EU” Emanuele Giaufret

Head of the EU Delegation in Serbia SOURCE

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Montenegro’s Tourism Surge Draws New UK Flights and Spotlight at WTM 2023 Montenegro has been heralded as one of Europe’s rising stars in tourism, particularly among British holidaymakers, as reported by the European Travel Commission. The nation recorded a substantial 30% increase in visitor numbers from the UK within the first seven months of the year, compared to last year, and a 23% rise compared to pre-pandemic 2019. This surge places Montenegro second in Europe for growth in UK tourist arrivals. The positive trend is expected to soar higher with new flight connections announced for the next tourist season. Jet2.com and Jet2holidays, major players in the UK travel industry, will extend their services to Montenegro, introducing flights from Birmingham and London to accompany the existing Manchester route.

Regional Networks Boost Market and User Satisfaction Darko Grgurović has highlighted the significant impact on market development and consumer satisfaction when networks such as One Crna Gora and MTEL in Montenegro, as well as IPKO Telecommunications, mts, and Telekomi i Kosovës in Kosovo, operate without harmful interference. e also recalled other regional initiatives and projects that have been vital for the inhabitants of the Western Balkans, with a special emphasis on agreements to reduce roaming charges in public mobile communication networks. The first of these agreements, a testament to the collaborative effort spearheaded by regulatory agencies, was signed in 2014 by ministries responsible for electronic communications from Bosnia and Herzegovina, Serbia, North Macedonia, and Montenegro. This regional approach not only enhances service affordability but also fosters a consumer-friendly environment across the Balkans.

EIB Global Boosts Green Transition and Connectivity in Western Balkans EIB Global is intensifying its support for the Western Balkans in the green transition, digitalization, and connectivity, aiding the region’s alignment with the EU. EIB Vice-President Czerwińska reaffirmed the Bank’s commitment to the Western Balkan region’s EU enlargement and economic convergence. In 2023, EIB Global pledged over €700 million for sustainable regional projects. t the Berlin Process Leaders’ Summit in Tirana, Czerwińska highlighted the Bank’s dedication to enhanced connectivity, green and digital transformation, and the strengthening of education and health sectors. Supporting the EU’s Economic and Investment Plan for the Western Balkans, EIB Global will amplify its role in the new Growth Plan for the region, especially under the Just Transition Initiative. cordmagazine.com

FEATURE

The Biggest Business Trends for 2024 It is time once again to look into the crystal ball and predict the direction that business and industry will take in the coming year ith the general global economic downturn predicted to get worse before it gets better, companies are likely to remain cautious when it comes to spending and investing in radical new ideas in 2024. However, there are a number of technological and societal trends that are simply too big to ignore or put off until better days. These are the areas where we can expect to see continued innovation and investment, and I’ll highlight the most prominent in this article. As has been the case for the past few years, there’s some overlap between these and anyother predictions, which focus primarily on technology. Simply put, this is because business trends today are largely driven by technology. However, as we develop a better understanding of a technology - artificial intelligence (AI) being the obvious example - we also understand what it isn’t. In 2024, this will lead to new perspectives on what makes us human.

GENERATIVE AI EVERYWHERE The Boston Consulting Group asserts that “to be an industry leader in five years, you need a clear and compelling generative AI strategy today.” AI and machine learning have been making waves for more than a decade, and are thoroughly integrated into many of the products and services we buy from major companies. Now, generative AI puts the power to create and intelligently automate the customer experience - as well as internal operations - in the hands of nearly every organization.

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SOFT SKILLS AND THE HUMAN TOUCH As it becomes increasingly feasible to automate technical aspects of work - coding, research, or data management, for example the ability to leverage soft skills for tasks that still require a human touch becomes critical. For this reason, in 2024, we will see organizations increasing their investment in developing and nurturing skills and attributes such as emotional intelligence, communication, interpersonal problem solving, high-level strategy, and thought leadership.

THE SKILLS SOLUTION We’ve been hearing about the skills shortage for several years now. Changes in hiring practices that emphasize selecting candidates with the specific experiences and skills needed for a role, rather than qualities such as educational attainment or age, are a part of the industry’s response and will continue to be a strong trend.

SUSTAINABLE BUSINESS One driver is clearly customer demand, as research continues to show that consumers increasingly prefer companies with a solid commitment to reducing their environmental footprint. On the other hand, as the green economy grows, we’re learning that green solutions often lead to bottom-line growth.

THE CUSTOMER EXPERIENCE REVOLUTION Imagine a line on a graph that rates your customers’ sentiment at every touchpoint where they interact with your company, goods, or services. This illustrates the con-

cept of customer experience. While traditionally a company might build a business model around supe rior quality or value, in 2024 the impetus is to ensure that every single interaction and experience makes the customer smile. This means personalized marketing that delivers what they need at the right time, on-time delivery, frictionless setup and installation, and efficient problem resolution.

REMOTE AND DISTRIBUTED WORK It’s no longer about companies surviving the pandemic, it’s about offering flexible arrangements, valuing employees’ time and harnessing the potential of a global workforce. Yes, workers returning to the office has been a theme of the past 12 months. But employers are also ensuring that they retain the ability to work with geographically dispersed teams and attract talent from anywhere in the world. For these reasons, we’ll see the number of job postings with “remote” or “hybrid” locations remain well above pre-Covid levels throughout 2024.

DIVERSITY AND INCLUSIVITY Talent comes in all ages, shapes, sizes and colors. Unconscious racist, sexist or ageist bias can easily seep into systems around hiring, training, performance management or development, resulting in talent being marginalized, mismanaged or overlooked. There has always been a business case for ensuring diverse and inclusive workforces, but in the age of AI, as we increasingly rely on machines to make decisions that impact humans, it’s more important than ever.

Leasing & Finance SPECIAL FEATURE

December 2023

GROWTH The growth of financial leasing demonstrates how companies are increasingly recognising the advantages of this financing model and its impact on reducing costs.

ECOLOGY

POSSIBILITIES

Financial leasing could play a role in financing the purchase of solar panels, energy-efficient systems and other eco-friendly innovations.

Companies that want to implement green technologies can take advantage of financial leasing as a means of investing without significantly burdening their liquidity.

BENEFITS Financial leasing often offers faster approvals and less demanding procedures compared to traditional bank loans, making this option particularly attractive to SMEs.

INTERVIEW

COMPANIES ARE TURNING INCREASINGLY TO FINANCIAL LEASING The growth of financial leasing demonstrates how companies are increasingly recognising the advantages of this financing model and its impact on reducing costs, improving liquidity and increasing flexibility in the management of resources. This is also reflected in companies’ growing confidence in this alternative financing option

DARKO STAMENKOVIĆ General Manager of the Bank Supervision Department at the National Bank of Serbia

he banking sector plays a dominant role in the financial sector and represents a key factor of stability for the financial system, while the importance of financial leasing is simultaneously also on the rise. According to the statistics of the National Bank of Serbia (NBS), the Serbian banking sector accounts for 90.7% of total assets of the country’s financial sector, while fi-

nancial leasing accounts for a 2.5% share of total gross receivables. Rising interest rates over the previous period, amid monetary policy tightening by leading central banks and the NBS aimed at curbing inflationary pressures, could represent a challenge for companies and individuals that use alternative financing options for their businesses and lead to falling demand for loans and financial leasing as a result of the increase in

the cost of borrowing, particularly for those accustomed to unusually low interest rates. According to Darko Stamenković, general manager of the Bank Supervision Department at the National Bank of Serbia, the central bank carefully monitors developments on the domestic and international markets and responds timely with the aim of preserving the stability of the financial system and protecting the users of financial services. “It is important to underscore that when interest rate rises follow economic growth, which is the case in Serbia, various financing options, including financial leasing, remain attractive sources of investment financing,” explains Stamenković. This claim is also illustrated by the fact that the banking sector’s investment loans continue to record year-on-year growth, despite challenges coming from the international environment, having amounted to 3.1% in June, while their share in total corporate loans reached 41%. Furthermore, financial leasing continues to record continuous growth as an alternative source of investment financing in Serbia, with the total balance sheet assets of all leasing providers reaching 158 billion dinars as of 30 September 2023.

“Compared to end-2019, or over a period of less than four years, the total balance sheet assets of financial leasing providers increased by 53.5%, while recording growth of 9% during the first nine months of this year alone, against the background of increased interest rates. The most important lessees are companies that do not belong to the financial sector, with an 84.1% share of the total placements of financial leasing providers,” says Stamenković. “Looking at the lease assets, the largest participation in placements continues to relate to the financing of passenger vehicles (42.7%), as well as the financing of haulage vehicles, minibuses and buses (34.8%).”

tributed to further strengthening the resilience and stability of the financial sector, increasing banking sector efficiency and improving the quality and availability of banks’ financial services. New investments in the financial sector, such as the early 2023 greenfield investment in the financial leasing sector by a banking group that has a long tradition of doing business in banking and the leasing industry, are yet another proof of investor confidence in the continued growth and development of the domestic financial market. Banks provide traditional services, such as loans and lines of credit, while financial leasing enables users to gain access to funding without the need for direct

ENSURING THE DIVERSITY OF OPTIONS AND PROVIDERS OF FINANCIAL SERVICES, WHICH THE NBS HAS BEEN WORKING ON INTENSIVELY DURING THE PREVIOUS PERIOD, ADVANCES COMPETITION ON THE DOMESTIC MARKET AND ENABLES CLIENTS TO CHOOSE THE BEST SOLUTIONS THAT MEET THEIR SPECIFIC NEEDS All of the aforementioned serves to confirm the continued positive contribution of the financial sector to the growth and development of the domestic economy, concludes our interlocutor. What kinds of trends can we expect in these two sectors in 2024? — The banking sector consolidation in the previous period, despite being driven primarily by the decisions of shareholders in response to events unfolding on the markets of their parent banks, actually confirms the attractiveness of Serbia’s domestic financial system, and that is thanks to the active role of the NBS, which has con-

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ownership. It is precisely for this reason that financial leasing often offers faster approval and less demanding procedures when compared to traditional bank loans, which makes this option particularly attractive to SMEs seeking faster access to capital. Regardless of this fact, the financial leasing sector traditionally has a low share of NPLs in its total portfolio, while financial leasing receivables past due for more than 90 days stood at just 1.03% of total gross receivables as of 30 September 2023, which points to the positive contribution of the financial leasing sector to the sustainable financing of households and businesses.

What kind of support to the economy can these two sectors provide in the year ahead? — The NBS expects all participants in the domestic financial market – respecting the needs of their clients – to adapt their strategies by offering innovative products, adjusting interest rates or offering additional benefits, under current conditions of higher interest rates, in order to remain competitive and maintain the financial sector’s positive contribution to total economic activity. The NBS works continuously on amendments to the regulatory framework that support the development of the financial leasing market in the country, thus contributing to increased legal certainty and transparency in doing business and creating healthy competition that will benefit end-users. The NBS’s latest amendments to the Decision on Management of Risks Arising from Introduction of New Products/ Services by Lessors enable financial lessors to provide - in addition to financial leasing services – the related financial services, such as operational leasing services, with which the quality of the lessors’ offer has been expanded and improved. These changes increase the attractiveness of the market to both domestic and foreign investors. Looking to the future, in the context of the growth prospects of Serbia’s domestic financial leasing market, the possible role of this financial instrument in supporting the financing of green technology and electric vehicles is worthy of special consideration. In line with trends in the international environment, financial leasing has a significant potential role in the provision of funds for companies and individuals seeking to invest in electric vehicles, as well as in providing financial support for other green technologies, such as financing the purchase of solar panels, energy-efficient systems and other eco-friendly innovations.

POSSIBILITIES Companies wanting to implement green technologies have the possibility to take advantage of financial leasing as a means of investing without significantly burdening their liquidity

ECOLOGY Financial leasing could play a role in financing the purchase of solar panels, energyefficient systems and other ecofriendly innovations

GROWTH The total balance sheet assets of financial leasing providers grew by 53.5% in less than four years, while recording growth of 9% during the first nine months of this year alone, against the background of increased interest rates

CORPORATE

20 YEARS OF INTESA LEASING Over the past two decades, a market environment that’s been marked by significant economic crises, a global pandemic and frequent geopolitical uncertainties, coupled with the unstoppable advancement of new technologies and artificial intelligence that has completely transformed all sectors of the economy, has forced the corporate sector to constantly change and adapt. Those companies that demonstrated a readiness and ability to transform and adjust to market conditions have succeeded in fortifying their positions and improving their business

Leadership through innovation and expertise

ince its 2003 establishment as part of Banca Intesa, and as one of the Serbian market’s first leasing companies, Intesa Leasing has grown to become a leader, proud of having achieved a series of business successes over

these 20 years. Thanks to a strategy of diversified growth, active digitalisation and the automation of operations, as well as sustainable financing and investment in the development of quality personnel, by the end of the first half of 2023 Intesa Leasing had achieved record

levels of capital, a record balance sheet total, portfolio and production level, with a client base exceeding 10,000, thus positioning itself as the leading company on the domestic leasing market. By focusing on digital transformation and creating a new business model, during the pandemic the company enabled clients to receive on-the-spot vehicle financing approvals through the unique

COMBINING INTERNATIONAL EXPERIENCE AND LOCAL KNOWLEDGE

Intesa Leasing portal. In line with market trends and the altered habits of clients, Intesa Leasing is also working intensively to develop a completely paperless business approach, which in practice involves online financing approvals and the fully digital signing of contracts and accompanying documentation, without the need to visit Intesa Leasing offices. As the first step in this direction, the company – working in collaboration with the Business Registers Agency, the Ministry of Internal Affairs and the Office for IT and eGovernment of the Republic of Serbia – provided clients with the opportunity to register vehicles digitally. Intesa Leasing demonstrates its commitment to environmental and CSR principles, as well as sustainable management, through the integration of ESG principles into its operations, as well as by continuously enhancing its offer to support the ESG projects of clients in collaboration with its parent group, Intesa Sanpaolo, and international financial institutions like the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), the German Develop-

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ment Bank (KfW), the International Finance Corporation (IFC) and other similar organisations. Among the recent examples of this form of support is a line of credit arranged with KfW Bank that’s intended for micro, small and medium-sized enterprises and aims to finance sustainable projects and initiatives that focus on improving competitiveness in rural areas. Along with more favourable financing for projects in rural areas, this credit line also provides funding for energy efficiency initiatives, while giving clients an option to secure grants equalling as much as 10 per cent of the total value of the investment.

As a leader of the domestic leasing market in terms of total assets, portfolio size and new production volume, Intesa Leasing, as part of Banca Intesa, provides clients with financing services for commercial and passenger vehicles, agricultural, construction and manufacturing machinery and other equipment, as well as real estate. Intesa Leasing combines modern international experience with local expertise and market understanding to offer clients suitable financial solutions that are aligned with their needs and expectations, thereby supporting the overall economic development of Serbia and the wellbeing of society at large.

It is often said that it is more challenging to preserve a leadership position than to attain one. Therefore, in the coming year, Intesa Leasing will remain focused on improving its offer, further implementing its digital agenda, expanding its portfolio and developing the talents and expertise of its employees, while supporting the goals of its clients and contributing to the country’s overall economic and social progress.

BY THE END OF THE FIRST HALF OF 2023 INTESA LEASING HAD ACHIEVED RECORD LEVELS OF CAPITAL, A RECORD BALANCE SHEET TOTAL, PORTFOLIO AND PRODUCTION LEVEL, WITH A CLIENT BASE EXCEEDING 10,000, THUS POSITIONING ITSELF AS THE LEADING COMPANY ON THE DOMESTIC LEASING MARKET 41

BORIS STEVIĆ Executive Board Chairman NLB Lease&Go Leasing d.o.o. Beograd

CORPORATE

CHAMPION OF SPEED AND SIMPLICITY Company NLB Lease&Go Leasing launched its operations in Serbia in December 2022, with the acquisition of Zastava Istrabenz Lizing, a company that had just six employees and a market share of less than 0.5%. Today, just a year later, the company has 32 employees and is in a good position, which is why its executive board chairman sees Serbia as a very important market with great growth potential

ata shows that in most developed countries of the EU, more than 40% of SMEs use leasing services, but Serbia is still far away from achieving those figures, – says Boris Stević, explaining that this is why we have to continue with educating the business sector and citizens about the advantages of financing through leasing and in general increase financial literacy.

NLB Lease&Go entered the Serbian market just a year ago. Are you satisfied with the way things are progressing?

DEVELOPMENT — We are extremely satisfied with the operational results achieved in the first year. We succeeded in reaching a market share of 11% in new financing by the end of the third quarter, thereby joining the ranks of companies that have been operating here for many years. These positive outcomes are primarily a result of the work of a team of experienced individuals who managed – with their knowledge, dedication and motivation - to secure a good position for us in just the first year of operations. We set out in the first year with financial leasing and received a license for representation in insurance, while next year we plan to enrich the offer with operational leasing. The Association of Leasing Companies of Serbia (ALCS) announced recently that leasing has enabled investments of eight billion euros in Serbia over the past 20 years. How do these numbers seem to

As we are part of NLB Group, we can share with you, that for instance Slovenian leasing market is twice as large as the same market in Serbia. The participation of private individuals is less than 10% here, while in Slovenia it stands at almost 50%. Plenty of room exists for the further development of leasing, and one of the things that must be resolved is the eliminating of VAT on interest, because that represents an additional cost for the client when it comes to buying a passenger vehicle. We would thus make leasing a more competitive product and enable a greater number of citizens to replace their outdated vehicle fleet. Do ESG policies and digitalisation fit into your business? — Of course... ESG policy is very important for us, because leasing can - as a financial institution - support the green agenda in multiple ways: through the financing of projects for generating electricity from renewables and financing vehicles that emit lower levels of pollution.

OUR MISSION IS TO BE FOCUSED ON OUR CLIENTS AND TO BECOME A CHAMPION OF SIMPLICITY AND SPEED you? Do you view the future of your industry with a sense of optimism? — When we divide that total by 20 years, we arrive at a sum of approximately 400 million euros annually, which points to great growth potential. The leasing market is still very young and has a great potential in Serbia, especially when we compare it, for example, to Austria or Germany, where leasing has been present for more than half a century.

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We adopted a policy of sustainably managing the vehicle fleet, so it is now mandatory for all companies operating within the NLB Group to use electric or hybrid vehicles. Apart from passenger vehicles, we’ve also financed the procurement of electric buses for city transport in Belgrade and thus reduced the level of pollution in the capital. Just as we are committed to the green agenda, so we devote a lot of attention to digitalisation.Our par-

Plenty of room exists for the further development of leasing, and one of the things that must be resolved is the elimination of VAT on interest, because that represents an additional cost for the client when it comes to buying a passenger vehicle

ent company in Slovenia is very advanced when it comes to the development of digital services, so we have ambition to transfer those innovations also to our market as well. We aim to implement most of those services in Serbia, some already during next year. Looking to the long term, we want to develop the best possible position for ourselves on the Serbian market, to be recognised for the quality of our services and to occupy one of the leading positions. Our mission is to be focused on our clients and to become a champion of simplicity and speed and by that together with NLB Komercijalna banka offer wide portfolio of financial services and products What was the biggest challenge of entering the Serbian market? — From my personal perspective, as someone who has long been present in the leasing industry, the challenges were related to the organising of the new company, the creation of a team and a strategy. From the perspective of NLB Group, the Serbian market has a strategic importance for the Group and therfore Serbia truly is in the main focus of the entire Group. Huge potential exists to further develop the leasing market in Serbia.

We entered this new business with a market share of less than

0.5% 11% and reached

in just the first year

FEATURE

LEASING IS THE INDUSTRY OF THE FUTURE Two full decades have passed since leasing made its appearance in Serbia. In this time more than eight billion euros have been invested in the economy through this form of finance. In the last 10 years, the sector has recorded a stable growth of 13 % per annum despite the challenging macroeconomic environment

n the years to come, the leasing industry will focus on digitalization and the green transition. Besides financing the purchase of electric vehicles, leasing will support it by financing the construction of production facilities for renewable energy sources, primarily solar power plants Two full decades have passed since the appearance of leasing in Serbia, during which more than eight billion euros have been invested in the economy through this form of financing. In these 20 years, about 250,000 contracts were signed, mostly for financing passenger vehicles. According to data from the Association of Leasing Companies of Serbia, every third new vehicle sold in 2022 will be financed in

this way. Although leasing in our country mainly concerns the financing of passenger vehicles which in the third quarter of 2023 still dominate the portfolio with 47%, about 35% of the total production is made up of commercial vehicles such as various delivery vehicles and trucks, as well as city and tourist buses. Besides this, leasing in Serbia has in many cases financed the purchase of machinery and equipment, from construction and agricultural machinery to various kinds of manufacturing equipment, so that with the growing popularity of the green agenda and green energy, leasing companies have begun to work on financing solar energy in which Serbia is following global and European trends.

FINANCIAL LEASING IS BOOMING The global financial leasing market is expected to continue its years of strong growth as it provides companies with an alternative means of acquiring key equipment and resources without large initial capital expenditure. Among the factors driving the growth of the financial leasing market is the growing need for companies to remain competitive by constantly improving their assets. In fact, the ability to access state-of-the-art equipment without the burden of ownership costs is a significant driver, as are the tax benefits associated with leasing arrangements. This market is gaining momentum due to the advantages it offers, such as flexibility, tax benefits and capital preservation. The latter is especially important in conditions of global crisis, whether caused by a pandemic like three years ago or by war. As in the past, it is expected that North America, especially the United States and Canada, will continue to dominate financial leasing in future, but Europe is no less an important player in this market. Countries such as the UK, Germany, France and the Netherlands have well-developed leasing industries and serve as major hubs for leasing activity. The Asia-Pacific region is experiencing significant growth in the financial leasing market, with China, Japan, South Korea and India increasingly embracing leasing as businesses look for cost-effective financing options, primarily

GROWTH REACHES 19% PER YEAR Most leasing companies operating in Serbia have been founded by entities based in the European Union, so EU policies need to be applied here as well. They have committed to having a green portion in their portfolios, so we may expect leasing companies to set aside 20 million euros for financing electric cars, buses and light commercial vehicles by the end of this year, while next year that amount could be higher.

in the booming manufacturing and construction sectors.

TIME TO ‘REFRESH’ THE LAW

Just as in Serbia, the largest global development in leasing will be related to the car leasing market, which will be influenced by many factors, such as technological progress, consumer expectations and changes in economic conditions. With increasing concern for the environment and an increasing emphasis on sustainable transport, the demand for electric vehicles is expected to grow, and so will the need for leasing to purchase them. At the same time we should remember that Serbia, with around 30,000 unsold vehicles, is below the European average and that the number is expected to be much higher. And that there are grounds for optimism is shown by the fact that the leasing industry has recorded a stable annual growth of 13% over the last 10 years, despite the challenging macroeconomic environment. The Serbian Association of Leasing Companies says that it would be good and useful to ‘refresh’ the Financial Leasing Act. It was adopted long ago in 2011, and needs to be aligned with client’s expectations and technological developments, especially in terms of digitalization. Although the leasing industry has introduced many innovations in the digital aspect of sales since the pandemic, which clients can feel in their communicordmagazine.com

cation with leasing companies in the collection of documentation and the approval process, this is not yet at a satisfactory level since the industry is facing many obstacles that complicate the process. Apart from the problems of a low limit for concluding remote contracts and the endless challenges for digital vehicle registration, there is also a small percentage of digitally signed contracts. Fortunately, projections suggest that in the next two to three years two-thirds of leasing companies will have digitally signed contracts, and that in the coming years, clients will have a much larger portfolio of digital services at their disposal. In the next three years, the value of financing electric vehicles through leasing in Serbia could reach several tens of millions of euros, while it is expected that a third of the total number of contracts will be concluded partially or entirely digitally.

GROWTH REACHES 19% PER YEAR

Most leasing companies operating in Serbia have been founded by entities based in the European Union, so EU policies need to be applied here as well. They have committed to having a green portion in their portfolios, so we may expect leasing companies to set aside 20 million euros for financing electric cars, buses and light commercial vehicles by the end of this year, while next year that amount could be higher.

The Serbian Association of Leasing Companies says that in the coming years, the amounts allocated for indirect financing of environmental protection and reduction of greenhouse gas emissions will increase. And the fact that leasing has a huge potential in financing solar power plants, especially for consumers, has been shown by the number of contracts already concluded with those who will use solar power plants for their own consumption and for returning energy to the grid. Financial leasing this year will amount to around 800 million euros, an annual growth of 19%. If the trend continues, it could reach 1 billion euros in new production next year.

Business Dialogue

“Synthetic meat is not meat, and synthetic milk is not milk” Janusz Wojciechowski

European Commissioner for Agriculture

WORLD NEWS

Finland Discovers Two New Rare Minerals The Geological Survey of Finland has identified two novel minerals, kukarenkoite and kordillite, as the Finnish Minerals Group announced on their website. The statement indicates that these two new rare earth minerals (REE) from the Sokli deposit could bolster Europe’s supply of critical minerals vital for its energy transition. “Our research suggests that Sokli could cater to at least 10% of Europe’s annual REE requirement for producing permanent magnets. We seldom encounter samples as fascinating and challenging or comprehensively study the distribution of these economically significant metals in various REE-containing minerals,” expressed Esa Pohjolainen, Senior Specialist at the Geological Survey of Finland. Mineralogical characterisation and ore processing examinations are set to continue through 2024, according to the Finnish Minerals Group.

Bletchley Declaration Signed by 28 Nations Artificial Intelligence (AI) poses a potentially catastrophic threat to humanity, according to the Bletchley Declaration signed by 28 countries, including the United States, EU, China, and the UK at the outset of a two-day technology conference. The UK convened governments, the academic community, and AI-focused companies to discuss ways to mitigate the technology’s risks and whether it’s feasible to do so. The meeting was orchestrated by Prime Minister Rishi Sunak, aiming for the UK to mediate between the economic blocs of the United States, China, and the European Union. Among the 100 conference attendees were global leaders, tech titans like Elon Musk, ChatGPT’s chief Sam Altman, and numerous academics. “There exists potential for severe, even catastrophic harm, whether intentional or unintentional, arising from the profound capabilities of AI models,” the Bletchley Declaration states, released on the inaugural day of the AI summit at Bletchley Park in central England.

Strong Recovery in EU Tourist Travel Residents of the European Union recorded 1.08 billion tourist trips with at least one overnight stay in 2022, marking a 23% increase (202 million trips) compared to 2021, as reported by Eurostat, the EU’s statistical agency. This percentage increase was also observed between 2020 and 2021. Of the total trips in 2022, the majority (976 million, or 91%) were for personal reasons, with the remaining 100 million being business trips. Both sectors grew over the previous year, with business travel up by 43% (an increase of 30 million trips) and personal travel rising by 21% (an additional 171 million trips). In terms of spending, EU residents spent an average of 87 euros per day on trips with at least one overnight stay in 2022. This represents a 30% increase from 2021 when the average daily expenditure was 67 euros. Luxembourg’s tourists were the highest spenders, averaging 175 euros per day, followed by Austrian (154 euros) and Estonian tourists (128 euros). On the lower end, tourists from Poland, the Czech Republic, and Greece spent less than 50 euros per night, averaging 44, 46, and 45 euros, respectively. 46

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“Companies must not provide material support to Russia’s defence industrial sector” Janet Yellen,

U.S. Treasury Secretary

Global Wine Production Drops to Lowest Level Since 1961 This year, global wine production has fallen to its lowest level since 1961, as vineyards were hit by extreme weather conditions, according to the International Organisation of Vine and Wine (OIV). The production plummeted to 244.1 million hectolitres, a decrease of 7% compared to last year, as reported by the organisation in its initial assessment of this year’s yield. “Extreme climatic conditions such as early frost, heavy rainfall, and drought have significantly impacted wine production,” stated the OIV, which provides data to grape and wine-producing and consuming countries. Statistics highlight that some of the major producers in the southern hemisphere experienced a significant decline in output. Countries like Australia, Argentina, Chile, South Africa, and Brazil saw production fall by up to 30% compared to last year. Italy lost its title as the world’s top wine producer, with a 12% drop in production, allowing France to regain the top spot. Meanwhile, Spain retained its third position despite a 14% decline in production, which is 19% below its five-year average.

Italy Prepares to Ban Synthetic Food Italy is set to ban synthetic food, announced Italian Minister of Agriculture Francesco Lollobrigida at a conference organised by European conservatives and reformists. Should the parliament pass this law, Italy will become the first country in the world to take such a step. “Italy will be the first nation without synthetic food. We aim to set an example for others in regulating this industry,” stated Lollobrigida, a member of the Brothers of Italy party, during a video call at the conference held in Ireland titled “Traditions and Innovations: A Conservative Future for European Farmers.” Lollobrigida emphasised that high-quality food should not be reserved only for the wealthy. This sentiment was echoed by European Commissioner for Agriculture Janusz Wojciechowski, who advocated for traditional agriculture.

Novo Nordisk Invests $6 Billion to Ramp Up Production Novo Nordisk, the manufacturer of the successful anti-obesity drug Wegovy, has announced plans to invest $6 billion to increase production capacities in Denmark. Despite this expansion, the company’s CEO has cautioned that the industry is still far from meeting the soaring global demand for weight-loss medications. The company has been facing challenges in supply, leading to limitations on patient availability for Wegovy. This significant investment aims to alleviate the current shortages and expand accessibility to Wegovy, which has seen unprecedented demand since its introduction. The scarcity of the drug has highlighted the growing need for effective obesity treatments worldwide. Novo Nordisk’s expansion is a strategic move to strengthen its market position and address the health needs of a rapidly increasing patient base seeking solutions for obesity. cordmagazine.com

ENTREPRENEUR

A Trailblazer in the Sharing Economy Brian Chesky CEO of Airbnb

n the landscape of modern entrepreneurship, few stories are as compelling as that of Brian Chesky, co-founder and CEO of Airbnb. Chesky’s journey from a struggling designer to the head of a company that transformed the travel industry epitomises innovation, persistence, and the power of a simple idea executed well. Chesky, along with co-founders Joe Gebbia and Nathan Blecharczyk, launched Airbnb in 2008, a time when the concept of sharing one’s home with strangers was far from mainstream. The trio’s vision was both simple and revolutionary: a platform where individuals could list their spare rooms for travellers. What

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started as a way to earn extra money to pay rent in San Francisco has burgeoned into a global phenomenon, redefining the way people experience the world. The path to success was not straightforward. Early scepticism and regulatory hurdles threatened to curb Airbnb’s growth. Yet, Chesky’s leadership steered the company through these challenges. He fostered a culture of innovation and adaptability that allowed Airbnb to evolve rapidly, meeting the needs of both hosts and travellers and often setting the trend for the sharing economy.

Chesky’s approach to entrepreneurship is holistic. He emphasises the importance of a strong corporate culture, one that prizes creativity, collaboration, and a custom-

Brian Chesky’s philosophy of ‘living anywhere’ has catalysed a shift in how we perceive travel and accommodation er-centric ethos. Under his guidance, Airbnb has not only offered an alternative to traditional hotels but has also spurred a broader discus-

sion on trust and community in the digital age. The influence of design on Chesky’s business philosophy is palpable. He approaches problems with a designer’s eye, constantly iterating and refining Airbnb’s service. This design thinking has enabled Airbnb to remain at the forefront of the industry, despite increased competition and market saturation. Beyond business, Chesky advocates for a more inclusive and sustainable form of tourism. He recognises the potential impact of travel on local communities and works towards ensuring that Airbnb con-

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tributes positively to the areas it operates in. His vision extends to influencing the future of work, encouraging freedom, flexibility, and a sense of belonging, irrespective of where one’s ‘office’ might be.

Chesky’s leadership during the pandemic exemplifies the resilience and adaptability that are quintessential traits of a successful entrepreneur in the face of global adversity In conversations, Chesky often reflects on the lessons he’s learnt as an entrepreneur. He underscores the significance of resilience, the value of customer feedback, and the necessity of taking calculated risks. His advice is sought after by upcom-

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Barack Obama and Brian Chesky

ing entrepreneurs who see in him a mentor and a beacon of innovative thought. Brian Chesky’s story is far from over. As he continues to push the boundaries of the sharing economy, his experiences offer rich in-

sights into the dynamics of modern business and the evolving nature of work and leisure. His journey serves as an inspiration to many, proving that with vision and tenacity, even the simplest of ideas can change the world.

PROFILE

The Conductor Doesn’t Exist Without an Ensemble

Fotostudio Nikolašević

I’d always known that music would be my professional life’s journey. I built my own world and musical path surrounded by the roaring, warming jazz harmonies emanating from the room where my father, the composer Mirko Šouc, created, while I gazed into the sounds of his piano, which stirred my imagination through the colours of classical music.

Vesna Šouc conductor n my youthful desires, group work took precedence over individual work, and back then I had no clue that I would choose conducting. Music is like art, closest to all others. That wonderful, universal language arouses emotions, wins

over the soul and in the moment diverts our attention away from time, objectivity and the world outside. As a conductor, I always find my guest performances abroad particularly interesting, standing in front of an ensemble that’s completely unknown to me, raising my hands, and starting to create together in a language that we’re all very well acquainted with – the language of music. We’re meeting for the first time, yet we get to know the essence of one another so quickly, thanks to music. I accept to do those works that I feel and know as being intimate to my soul, to my artistic being. I do everything I do with enthusiasm and love for the music and my colleagues. That’s because a conductor doesn’t exist without an ensemble. Every segment of work on a show is important: studying the scores, collaborating with the director and choreographer, accompanists at solo rehearsals, work with the orchestra, choir and, finally, merging all the ensembles on stage. One of the first stages in the work is on the lyrical cover version, i.e., on translation from the original language into Serbian and its adaptation to the existing music. This vital work implies reaching full agreement and respecting all the rules of the musical and spoken text. The conductor’s task is to participate in the work on the cover version, with the aim being for the listener to follow the logic of the recited words easily and without exertion. Every performance brings new challenges, and the conductor must quickly solve problems that arise imperceptibly, with a “cool head” and, above all, with good conducting technique. The audience doesn’t even feel those kinds of details. The ensemble must trust the conductor completely (because you are only followed by someone who trusts you), and the conductor must be familiar with every instant of the show, both collective and individual, leading the whole ensemble at every junc-

ture, but must also be ready to react quickly if unforeseen situations occur. Of course, good health, excellent physical form (shows or concerts last around two hours, not counting the preparation time prior to the start), maximum concentration and the ability to swiftly react are all a given. As a full professor at the Faculty of Music in Belgrade, I’m in a position to educate young people, but also to give them direction in their careers and help them advance. Helping a young artist is true happiness. Emotions are transferred without fail to the ensemble, to the soloists, and then also to the audience. My experience tells me that you can never trick the audience. Our audience is brilliant. We witness theatre auditoriums and concert halls that are full.

My greatest role models are my father and professor Darinka Matić Marović. I clearly recall the moment I first heard at a rehearsal “Maestro, may I ask you...” I thought...this had to be earned To be successful doesn’t mean having a few good concerts or a successful season, but rather years of continuous progress, being courageous, and sometimes taking risks. But when you love your job, you really don’t find anything difficult. One thing is clear, at least to us artists: everything that we do well is rewarded with applause...the only thing is that the road to such a beautiful reward is long and thorny. However, real happiness only comes when a balance is struck between private and professional life. The greatest joy in my life is my daughter Katarina.

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ART

Nadežda Petrović: Nadežda Petrović was a revered Serbian expressionist painter. A champion of women’s rights and a key figure in Serbia’s cultural sphere, her work poignantly depicted the Balkan region’s strife. Her legacy lives on through her emotive and vivid paintings, despite her early death from typhus

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Serbia’s Artistic Vanguard

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adežda Petrović, born in 1873 in the quaint town of Čačak, stands as a towering figure in the annals of Serbian art history. Often dubbed Serbia’s most eminent female painter, her contribution to the realm of Impressionism and Fauvism has firmly placed her in the echelons of European art.

ARLY LIFE E AND EDUCATION Hailing from an intellectually inclined family, Petrović’s flair for art was evident from a tender age. Encouraged by her surroundings, she embarked on formal art education at the School of the National Museum in Belgrade. Her thirst for mas-

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tery led her to Munich, where she refined her skills under the tutelage of the eminent Anton Ažbe.

teel features of urban elite, Petrović captured the soul of her subjects with an astute sensitivity.

ARTISTIC EVOLUTION Petrović’s oeuvre is marked by a distinct evolution. Initially imbibing the nuances of academic realism, her palette and brushwork began to reflect the shifts in the European art scene. Her exposure in Munich introduced her to the Impressionist ethos, which she adapted with a touch of Fauvist vivacity. The Serbian landscapes, rendered in ebullient hues, became a recurrent theme in her works. Her portraits, too, are a testament to her prowess. Whether it’s the visage of a Serbian peasant or the gen-

AR AND ART W INTERTWINED

A field of flowers in the mountains

The Balkan Wars and subsequently, the First World War, profoundly impacted Petrović, both personally and artistically. Her paintings from this period are not mere chronicles but emotive expressions of the ravages of conflict. Driven by a deep-rooted sense of patriotism and empathy, she served as a nurse during these wars, a role that brought her face-to-face with the realities of human suffering. Her wartime canvases, such as the haunting “Warrior’s Grave” and the

Tree in the Forest

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poignant “Kosovo Heroes”, bear witness to the agony of war, yet they also immortalise the indomitable Serbian spirit.

LEGACY AND DEMISE Petrović’s life, tragically cut short in 1915 by typhus contracted while she was on duty as a nurse, is emblematic of an artist’s commitment to her nation and craft. Her early demise at 42 did not deter the momentum of her legacy. The eponymous ‘Nadežda Petrović Memorial’, an art exhibition established in her honour, ensures her memory remains vibrant in Serbia’s

cultural landscape. Furthermore, her works are pivotal exhibits in Serbia’s national galleries, continuing to inspire generations of artists and art aficionados.

IN RETROSPECT Nadežda Petrović’s life and work is a potent blend of passion, innovation, and commitment. Her canvases are more than mere paintings; they are chronicles of a nation in flux, reflections of an artist’s soul, and embodiments of an era’s ethos. In the rich tapestry of Serbian art, Petrović’s thread shines with a luminance that time has failed to dim.

Riders in the Forest of Boulogne

Turkish Bridge

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MY LIFE

Power Book is in Advancing the Mind!

The of the

It was precisely 33 years ago that he founded CLIO, which is today among the oldest private publishing houses in Serbia. Apart from receiving numerous domestic and regional awards, CLIO has been declared Publisher of the Year at the International Belgrade Book Fair three times. It publishes books of distinctive quality that serve as a source of inspiration in many parts of the academic community. Hamović is also president of the Association of Professional Publishers of Serbia, as well as serving as chairman of the Political Council of the Movement of Free Citizens of Serbia Zoran Hamović founder of the publishing house CLIO By Radmila Stanković

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ublic attention is currently focused on a particularly interesting and highly attractive book entitled Sa Cvejom [With Cveja], which represents an unprecedented undertaking in the field of biographical literature in Serbian practises. Delving into the life and work of actor and highly successful director of the Yugoslav Drama Theatre, Branko Cvejić (1946 - 2022), the book is co-published by CLIO and My Balkan. Unusually for the esteemed publishing house’s founder and chief editor, Zoran easily and persuasively explains: “It is extremely important that fragile arts like acting gain lasting insight in the public eye and a longer life. This book is conceived as a testimony. It was written by those who worked with Branko Cvejić, primarily on the stage. However, Cveja, with the diversity of his public activities, ‘called out’ other collaborators to write about him. For me, he is a cultural creator in the fullest sense of the word; a symbol of what we aspire to and what a serious society must have.” This book came to fruition thanks to Beka Vučo, who did a tremendous job – from initial idea to full realisation. “There are few who can give so much for an artist like her and her organisation, My Balkan. I am very pleased with the excellent collaboration we’ve had,” explains our interlocutor. Zoran (66) was born in Belgrade’s Filmski Grad neighbourhood and spent his early days there. His father, Nikola, a military man originally from Herzegovina, had been waiting to receive an apartment, so they lived with relatives in a hangar in Filmski Grad. It was there that his mother, Dušanka, raised her newborn baby Zoran, who didn’t have a crib and slept on two stools. “I was an only child and I constantly asked my mother to give me a brother or sister, but my wish was never fulfilled.” They moved to a new apartment in Voždovac in 1960, when Zoran was just three years old. Something seem-

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Our task was to address those who think for themselves and move forward, and we have never stopped doing that

With Eric-Emmanuel Schmitt

ingly contained in the dust of Filmski Grad inevitably stuck with him. As a child, he worked as an extra in several domestic films shot in Košutnjak and Pionirski Grad, though he can’t recall exactly which films they were. He only remembers that it was a lot of fun for him as a child. He started

school at the Bora Stanković Primary School and was an excellent pupil, but failure to grant his request to be in the class that was learning English prompted his parents to transfer him to the Karađorđe Primary School. Interestingly, these two primary schools are located on the same street - Jove Ilića. One street, two schools, but also two civilisations! He still recalls a situation that illustrates the time in which they lived vividly. He resided in a building that housed a large community of military personnel from across Yugoslavia. Back then, neighbours would congratulate one another on 1st May and 29th November, which was Republic Day. He had a neighbour, an officer, for whom it was essential to prove his loyalty to the new government because he had also been an officer of the royal army in the Kingdom of Yugoslavia. “He was a simple and loyal man who wanted to wish Jovanka Broz, the wife of President Josip Broz Tito, well on 8th March [International Women’s Day]. He wrote everything as he thought best, but instead of signing himself, he signed me, a pioneer, a first-year school pupil, and sent the letter. After some time, a long white

Bangkok, 1987

Over these thirty years, we have been publishing the kind of literature that is motivating in formal and informal learning conditions envelope arrived at the school, written in beautiful handwriting with the signature of Jovanka Broz. The letter said: Dear Zoran, thank you for your congratulations, and I wish you all the best in school. It’s clear that this letter first arrived at the school director’s office, and he asked the teacher to gather all the students in the hall-

Promotion of editions ”Signs By The Roadside”, Vršac 1989

way to read the letter that our comrade Jovanka Broz had sent to me. So, I undeservedly became a hero that day. I received congratulations for no reason. During school events, when I recited or played the violin, that was an additional factor of ‘fame’.” He completed the 12th Belgrade Gymnasium high school in Voždovac, and everyone knew that he was a talented painter. Half of the school was adorned with his paintings, and it was expected that he would enrol in the Academy of Fine Arts. Apart from playing the violin, he also played the bassoon, making it clear that he had an artistically inclined soul. “I was also an extra in the theatre, jumped into the choir, always wanted to do more because being ‘just’ a high school pupil didn’t fulfil me. The art teacher praised my work and instilled in me the feeling that I was meant to be a painter. That boosted my pride, not my work and talent, for which she wasn’t responsible! I never even considered enrolling in art studies.” The fact that he was born in Filmski Grad still seemed to define him. He applied to the Faculty of Dramatic Arts, majoring in acting. He didn’t pass the

second round of the entrance exam because he hadn’t properly memorised something that was mandatory. Many years later, Professor Ognjenka Milićević told him, “I liked you, but you didn’t complete the tasks”. “I had the idea to simultaneously study acting and literature! I enrolled in Yugoslav literature and spent four dynamic and creative years at the Faculty of Philology. I directed my attention towards writing for ‘Student’, which was my first significant creative challenge. We revived the literary magazine ‘Znak’ [Sign] at the college and its main editor later became Vesna Bjelogrlić, now known as Goldsworthy. During my postgraduate studies, I started collaborating with the magazine ‘Književna kritika’ [Literary Critiques], where I became a member of the editorial board and learned what it was like to work at a publishing house.” Prior to devoting himself entirely to publishing, Hamović spent four years as a professor at the Institute for Foreign Languages. He taught Serbian to foreigners, an experience that meant a lot to him. Through ‘Književna kritika,’ he then ventured into publishing house Rad, which was then becoming attractive to young people. Its ‘Reč i misao’ [Word and Meaning] series was popular throughout Yugoslavia, because the then country had a large book market. In his four years at Rad, Hamović managed to master all the publishing processes. And so it was that in his 20s he introduced the concept of marketing to Rad. Of course, back then marketing was a newly discovered and foreign word that was often used inappropriately. The formal job title was ‘Head of Propaganda Department’ and something else, which he can’t remember today. “We wanted to create a modern-conceived publishing house; we had great ambitions and created several fantastic series - ‘Svedočanstva,’ ‘Dijalog,’ ‘Pečat,’ ‘Zmaj’... We also launched a series for young writers called ‘Znakovi pored puta’ [a reference to Ivo Andrić’s famous book Signs by the Road-

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side], and at the beginning of their careers, authors like Dragan Velikić, Radoslav Vava Petković, David Albahari, Novica Tadić and others were published there. In the end, we modernised Rad, strengthened its identity, changed its image and improved communication throughout Yugoslavia. But the social crisis was getting stronger, the country was approaching the year 1991, when the war essentially began, and the communication systems with Slovenia and Croatia were breaking down. Rad had branches and bookshops throughout Yugoslavia. We had branches in Zagreb and Sarajevo, bookshops in Slavonski Brod, Pula and other cities, not to mention other republics and provinces. We realised that the time had come to sell all the bookshops located outside of Serbia and Montenegro, to salvage what we could. The editorial board and management consisted of fewer than twenty people, but there were over three hundred employees. At some point, I had to become the commercial director! Almost overnight, Rad, which had been a very successful company until then, sank into confusion. Disagreements, strikes, resignations... It was a time of general upheaval, a period in which shrewd people launched and successfully implemented the transformation of state capital into private capital. Rad was attractive because of its real estate ownership. It rented most of its space, but also owned a significant part of it. The looting of state institutions began and people were displaying their worst side.” One fateful day, he abandoned Rad to venture into a risky and uncertain entrepreneurial future. He registered his company in December 1990 under the name CLIO, named after the muse who is the patroness of history and writing. That was his idea, a guiding light for what he wanted to do. The journey to official recognition was neither fast nor easy. The first boost came from Intel, a company for which he did some promotional work. In return, he received his

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International Belgrade Book Fair, with Dobrica Erić and Ljiljana Simić, 1988 first computer, a 386, as the first asset of his future company. CLIO is today probably the oldest private publishing house that continuously publishes books and actively operates on the Serbian publishing scene. With a great reputation and respectable publications, it guarantees quality. “The first book I published was called ‘Yutlantida,’ a collection of texts by Dragan Velikić published in weekly news magazine Vreme. It was sort of my ID card at the time. Another thing I started and that proved valuable to me as an experience was cooperation

I am interested in the improvement and modernisation of the Book Fair, and its return to the global map of festivals and book fairs with the University of Arts. We needed to reprint Odelo i oružje by Pavle Vasić (1907-1993), a renowned painter, art historian and art critic. And there CLIO was co-signed with the University of Arts. My first dream – to work on books that attracted me and from which I wanted to learn – thus came true.”

The CLIO Publishing House, which occupies a beautiful location at the corner of Gospodar Jovanova and Kneginje Ljubice streets, has eight employees and around a hundred regular collaborators. All of this is in the service of hundreds of published books, which mostly reflect Hamović’s refined taste and good knowledge of the market. “For me, the most important question over these thirty-plus years has been: what is the purpose of all this work and all these books? Precisely to gain power, but over knowledge! What are books for if they don’t make us better? I set and, together with my colleagues, fulfilled that task before us, and did so ahead of others. Over these thirty years, we have been publishing the kind of literature that is motivating in formal and informal learning conditions. From world literature, via history, psychology, sociology, media and culture studies, to art history and theory, marketing and management... Our task was to address – as our motto goes – those who think for themselves and move forward, and we have never stopped thinking and working in this way. CLIO also created a non-governmental organisation called ‘Biblioteka Plus’, which dealt with transfers of knowl-

edge through seminars, conferences and lectures, activities that encouraged informal learning. ‘Biblioteka Plus’ fostered communication not only with the public, but primarily with school libraries, enhancing media literacy among pupils and teachers through a project called ‘Internest’. I would say that the most important task of our house is not just publishing books, but also exchanging ideas. And if we’ve put something on the market, we’ve tried to make it new ideas.” Through its translations, CLIO Publishing has also contributed to expanding the list of required reading literature and refreshing the curricula in academic communities and universities, including the Faculty of Political Sciences, the Faculty of Philosophy, partly the Faculty of Philology, the University of Arts and many other higher education institutions. Hamović didn’t shy away from his responsibilities or professional challenges that extended beyond the tasks and duties of CLIO Publishing. He served as the Artistic Director of the Belgrade Book Fair for four years

The most terrible and enduring consequences for our society are the collapse of the education system and the disdain for education and advised two ministers of culture, Branislav Lečić and Nebojša Bradić. He was well aware of the implications of such an engagement. “I knew all the consequences of such an engagement, even more, I anticipated them, but I was determined to make the greatest possible contribution to our profession. One achievement that was undoubtedly significant was Serbia’s participation as a guest of honour at the Leipzig Book Fair in 2011, as well as numerous other fairs from Frankfurt, Paris and Vienna, where we didn’t only present Serbian authors, culture and literature, but also established important individual and institutional connections. Books are important when they

With Nadica Momirov, Nebojša Bradić, Tijana Palkovljević and Goran Marković, Beijing, 2010

bring people together, provide them with creative impetus and a more inspiring life, make them free. If they only serve cheap entertainment, then they are not books, but tabloids in hardcovers...” He is President of the Association of Professional Publishers of Serbia and has been unwavering in his opposition to the planned relocation of the Book Fair from its current location. “I will never agree to the Book Fair being moved. I am interested in its improvement and modernisation, its return to the world map of festivals and book fairs, and in that sense relieving it of content that does not contribute to that. I have nothing against various exhibitors participating in the planned EXPO 2027 exhibition in Surčin, but the publishers I know and respect will not go there. We will advocate for the tradition not to be interrupted and for professional publishers to gather in the place where they belong.” He is also Chairman of the Political Council of the Movement of Free Citizens of Serbia and briefly summarises the current positions of the government and the opposition. “We have learned from history that there is a ‘civilisational manuscript,’ and there is someone who is politically stronger, socially more active and materially superior at any given moment. The opposition is mostly made up of experts, educated people who are trying to prevent the damage caused by irresponsible moves and the abuse of people in power; people who have found themselves in responsible positions without the required knowledge and experience. Therefore, let’s conclude with something related to books and education. The most terrible and enduring consequences for our society are the collapse of the education system and the disdain for education, nurturing the impression among younger generations that diplomas and people can be bought, and books are thrown away; that corruption and prostitution are the only ways to ‘progress’.”

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Chill Out Jokić Surpasses LeBron James in Career Triple-Doubles In a stellar performance that lit up the courts, Serbian centre Nikola Jokić has eclipsed LeBron James and Jason Kidd in the annals of NBA history by securing his 108th career triple-double. Jokić’s extraordinary feat came as his team, the Denver Nuggets, triumphed over the New Orleans Pelicans with a convincing 134-116 victory. Jokić, widely regarded as one of the globe’s premier basketball talents, amassed an impressive tally of 35 points, complemented by 14 rebounds and 12 assists. This latest achievement propels him to the fourth spot on the all-time triple-doubles list, trailing behind luminaries such as Magic Johnson with 138, Oscar Robertson at 181, and the record holder Russell Westbrook with 198.

The Beatles Unveil Final Track “Now And Then” Using AI The Beatles released their Final Song, “Now And Then” “ with the Aid of Artificial Intelligence. One of the most iconic rock and pop bands of all time, The Beatles, has unveiled their latest track, “Now And Then”, crafted from an old demo recording and enhanced using artificial intelligence to feature the vocals of the late John Lennon. “It’s John’s voice, crystal clear. It’s quite emotional. We’re all playing here; it’s a genuine Beatles recording. I think it’s thrilling to produce Beatles music and release a new song the public hasn’t heard in 2023,” remarked Sir Paul McCartney. The Beatles’ YouTube channel premiered a short film titled “Now And Then – The Last Beatles Song” ahead of the song’s release. Directed by Oliver Murray, the 12-minute clip offers exclusive footage and remarks from band members, Lennon’s son Sean Ono Lennon, and film director Peter Jackson, who helmed the documentary series “The Beatles: Get Back”.

“AI” Named Word of the Year The term “AI” (Artificial Intelligence) has been crowned the Word of the Year after its usage quadrupled in 2023, according to a report by the BBC, citing the authors of the Collins Dictionary. “This year, we’ve seen AI not only come into sharp focus but rapidly become as omnipresent and embedded in our lives as technologies like email, streaming, or any once-futuristic-now-daily tech,” stated Alex Bickroft, the director of Collins Dictionary. The selection of “AI” as the Word of the Year coincides with UK Prime Minister Rishi Sunak hosting an artificial intelligence summit, gathering representatives from over a hundred countries worldwide. The summit sees participation from global leaders, tech company executives, and AI researchers. The core agenda revolves around leveraging the vast potential of this powerful technology while minimising its associated risks.

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Largest Blue Diamond Ever to Go Under the Hammer in Geneva The largest blue diamond ever known, set to be auctioned in Geneva on November 7th, could fetch up to $50 million, announced the auction house “Christie’s”. Named “Bleu Royal”, the blue diamond set in a ring is among the rarest discovered. “What makes Bleu Royal so rare and unique is its size. At 17.6 carats, it’s the largest of its kind,” said Rahul Kadakia from “Christie’s”. The auction organizers hope that Bleu Royal might surpass the 14.6-carat Oppenheimer Blue, which “Christie’s” sold for just over $57 million in 2016. Additionally, “Christie’s” will offer a pearl necklace worn by film star and fashion icon Audrey Hepburn in the final scene of the 1953 movie “Roman Holiday”, as well as a Rolex watch worn by Marlon Brando in the 1979 film “Apocalypse Now”. The actor had engraved his signature on the back of the watch to prevent misplacement during filming. The watch was auctioned off two years ago for $2.2 million.

Antarctic Ozone Hole Expands to Historic Size The ozone layer above Antarctica has expanded to become one of the largest ever recorded, now spanning an area three times the size of Brazil, according to satellite observations. Alarmingly, there’s potential for further expansion beyond its current extent of 10.3 million square miles (approximately 26 million square kilometres), as recorded on the 16th of September. Typically, the peak of ozone depletion occurs around mid-October. The reason behind this year’s significant enlargement of the ozone hole remains unclear. However, some experts suggest a possible connection to the underwater volcanic eruption near Tonga in January 2022. This eruption, with a force equivalent to the most potent nuclear test conducted by the United States, stands as the most substantial natural explosion in over a hundred years. It is noteworthy that the size of the ozone hole regularly varies.

Mural Depicting Novak Djokovic, Nikola Jokic, and Ivana Vuleta Unveiled in Chicago A striking mural, measuring eight metres in height and four and a half metres in width, has been painted on the facade of the Belgrade Café, located on Irving Park Street in Chicago. This artwork, which Serbian Television USA covered, showcases the likenesses of sporting legends Novak Djokovic, Nikola Jokic, and Ivana Vuleta. Chicago’s own Ludvig Tanchez crafted the mural. The owner of Belgrade Café, a hub for sporting enthusiasts and especially fervent when these three world champions compete, elected to have the mural adorn the wall of his establishment. “In painting this mural, our aim is to send a warm greeting from Chicago, signalling our immense pride in their achievements. They embody resilience, success, and above all, serve as an inspiration to all of us,” commented the management of Belgrade Café.

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FASHION

The Freestyle The Freestyle, Samsung Full HD Smart TV Projector that lets you watch your favourite content from wherever you want

Half Dome Decanter This handsome vessel is a handblown whiskey decanter made from premium lead-free glass

FESTIVE GIFT

INSPIRATIONS As the festive season approaches, finding the perfect Christmas and New Year gifts can be a delightful challenge. This year, consider gifts that not only bring joy but also create lasting memories.

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De’Longhi La Specialista Arte Evo Be a barista at home & grind, tamp and brew your favourite coffee recipes from flat white to cappuccino

Vekkia Lightweight Neck Reading Light Understanding the importance of convenience, this book lamp is lightweight and compact, making it easy to carry

Apple Watch Ultra 2 Rugged, capable, and built to meet the demands of endurance athletes, outdoor adventurers, and water sport enthusiasts

Oura Ring Provides highly accurate heart-rate monitoring and solid information on your sleep cycles

Cabin The unmistakable RIMOWA Original aluminium suitcase with its distinctive grooves is regarded as one of the most iconic luggage designs ever

Ooni Volt 12 Electric Pizza Oven Convenient and easy to use indoors or outdoors. Plug in, switch on, make pizza

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CULTURE CALENDAR

CINEMA CITY FESTIVAL

JAZZ LEGENDS UNITE FOR DUŠKO GOJKOVIĆ

3-5 December, Dorcol Platz

28 December, Kolarac

The International Film Festival, Cinema City, is set to present a dazzling array of 10 films from around the globe to audiences in Belgrade from December 3rd to 5th at Dorćol Platz. This year marks a first for the festival, as it extends its reach to the audience in Belgrade, courtesy of a strategic partnership between the Cinema City Association and Dorćol Platz. Cinema City Festival, renowned for its unique festival spirit and high-quality international film offerings, brings together filmmakers, industry professionals, and cinema enthusiasts. This year’s lineup includes an eclectic mix of movies, promising a rich cinematic experience. The Cinema City Festival is a much-anticipated event for film enthusiasts, offering a window into diverse cultures and storytelling from across the globe.

This New Year, the RTS Big Band invites you to a unique concert event, ‘Soul Connection’, dedicated to our very own Duško Gojković. Join us on December 28th at the Grand Hall of Kolarac Endowment in Belgrade, starting at 8 pm, for an evening of exceptional jazz music. The concert, under the direction of Stjepko Gut, chief conductor and trumpeter of the RTS Big Band, will feature a stellar line-up of international guests. These include the legendary American drummer Alvin Queen, extraordinary soloists like trumpeters Nemanja Jovanović and Klaus Reichstaller, saxophonist Fulvio Albano, pianists Uroš Perić and Klaus Raible, and double bassist Martin Đakonovski. ‘Soul Connection’ aims to bring together Duško Gojković’s collaborators and friends alongside the RTS Big Band to pay tribute to this great artist by performing his most significant compositions and big band arrangements.

SIMON TRPČEVSKI CONCERT 23 December, Kolarac

Get Ready for a Gala Music Evening! Experience the Power of Rachmaninoff’s “Second Piano Concerto” with Leading Pianist Simon Trpčeski. Join us for a gala music evening at Kolarac Endowment on December 23rd at 8 pm, featuring the stunning “Second Piano Concerto” by Rachmaninoff, performed by one of today’s leading pianists, Simon Trpčeski. The RTS Symphony Orchestra, conducted by maestro Bojan Suđić, will also take you on a musical journey through one of the most famous musical galleries with a new interpreta-

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tion of Modest Mussorgsky’s “Pictures at an Exhibition.” Tickets are available at the Kolarac Endowment box office. Let’s step

into the Christmas and New Year holidays together with this unforgettable musical experience!

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HOW TO WIN FRIENDS AND INFLUENCE PEOPLE

Tom Ang

Dale Carnegie Discover the history behind photography and learn the skills to get the best from your photographs. A comprehensive all-in-one guide, Photography introduces you to the art, history, and culture of photography and shows you how to take your own fantastic professional-standard photographs. An indepth guide to all things photographic, Photography opens with a gallery of more than 30 key figures in photography, from 19thcentury pioneers to the top photographers working today. The gallery provides fascinating contrasts between diverse genres, such as art photography, reportage, portrait, and wildlife photography.

Dale Carnegie says You can make someone want to do what you want them to do by seeing the situation from the other person’s point of view and “arousing in the other person an eager want.” You learn how to make people like you, win people over your way of thinking, and change people without causing offence or arousing resentment. For instance, “let the other person feel that the idea is his or hers,” and “talk about your own mistakes before criticising the other person.” This book is all about building relationships. With good relationships, personal and business success is easy.

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APPLIED EMPATHY

MAKING THINGS HAPPEN

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Scott Berkun

Michael Ventura, entrepreneur and CEO of award-winning strategy and design practice Sub Rosa, shares how empathy - the ability to see the world through someone else’s eyes - could be what your business needs to innovate, connect, and grow. Having built his career working with iconic brands and institutions such as Google and Nike, as well as The United Nations and the Obama Administration, Michael Ventura offers entrepreneurs and executives a radical new business book and way forward. Empathy is not about being nice. It’s not about pity or sympathy, either. It’s about understanding - your consumers, your colleagues, and yourself - and it’s a direct path to powerful leadership.

In the updated edition of this critically acclaimed and bestselling book, Microsoft project veteran Scott Berkun offers a collection of essays on field-tested philosophies and strategies for defining, leading, and managing projects. Each essay distils complex concepts and challenges into practical nuggets of useful advice, and the new edition now adds more value for leaders and managers of projects everywhere. Based on his nine years of experience as a program manager for Internet Explorer and lead program manager for Windows and MSN, Berkun explains to technical and non-technical readers alike what it takes to get through a large software or web development project.

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THE DEAL: INSIDE THE WORLD OF A SUPER-AGENT Jon Smith ‘Excellent . . . an in-depth excavation of the murky and mysterious world of football business. Smith’s candid and often shocking book reveals the true workings of the football business that take into account things few of us even could even imagine. . The Deal answers some of those questions and leaves you wanting more. It is an educational tool that most fans could use when researching Joe Short, Express.

DEEP WORK Cal Newport Many modern knowledge workers now spend most of their brain power battling distraction and interruption, whether because of the incessant pinging of devices, noisy openplan offices or the difficulty of deciding what deserves your attention the most. When Cal Newport coined the term &#39;deep work&#39; on his popular blog, Study Hacks, in 2012, he found the concept quickly hit a nerve. Most of us, after all, are excruciatingly familiar with shallow work instead.

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Faces & Places

Republic Day of Turkey Marked 1/11/2023 In Belgrade, the Embassy of Turkey commemorated the Republic Day of Turkey with a distinguished event at the Hyatt Hotel. This day marks a pivotal moment in Turkish history, celebrating the establishment of the Turkish Republic. Ambassador Hami Aksoy presided over the occasion, delivering a poignant speech that highlighted the significance of this day in Turkish national identity and the enduring bonds between Turkey and Serbia. The event was graced by numerous dignitaries, reflecting the deep-rooted diplomatic relations and mutual respect between the two nations. Ambassador Aksoy’s speech also touched upon the shared values and aspirations, reinforcing the commitment to fostering stronger ties in various sectors, including cultural, economic, and political arenas.

Speed Business Meeting 1/11/2023 A premier Speed Business Meeting was recently hosted at the Mona Plaza Hotel, drawing members from six influential bilateral business associations. These included the CANSEE Canadian-Serbian Business Association, the Slovenian Business Club SPK, the Italian-Serbian Chamber of Commerce CCIS, AmCham, the British-Serbian Chamber of Commerce BSCC, and the Swiss-Serbian Trade Chamber. The event saw participation from over 70 corporate representatives spanning diverse sectors, all aiming to forge meaningful connections between international and local entrepreneurs. Taking the lead on behalf of all associations, Mirjana Dončić-Beaton, the Executive Director of CANSEE, welcomed attendees and expressed hope for another triumphant Speed Business Meeting. 70

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Italian Armed Forces Day Marked 7/11/2023 On the occasion of Armed Forces Day, a re-presentation of Mila Mihajlovic’s book “For the Serbian Army: A Forgotten Story” occurred at the Italian Cultural Institute in Belgrade. Published in 2014 by the General Staff of the Italian Army, the book recounts through numerous contemporary photographs an extraordinary operation by the Italian navy. From the end of 1915 to the beginning of 1916, they managed to evacuate about 260,000 Serbian soldiers and refugees who had fled to Albania after strong at-

tacks by Austro-Hungarian, Bulgarian, and German forces. Among those saved were King Peter I, Crown Prince Alexander, and the Prime Minister of Serbia, Pašić. The event was organised by the Community of Italians in Serbia, under the auspices of the Italian Embassy in Belgrade, as part of a collaboration agreement with the People’s University of Trieste (UPT) and the Union of Istrian.

Azerbaijan National Flag Day Commemorated 8/11/2023 At the Hyatt Hotel in Belgrade, the Embassy of Azerbaijan commemorated National Flag Day, a day imbued with deep national significance and pride for Azerbaijan. Ambassador Kamil Khasiyev led the event, underscoring the importance of this day, which celebrates the adoption of the Azerbaijani flag and its symbolism of independence, heritage, and sovereignty. Ambassador Khasiyev delivered a stirring speech, reflecting on Azerbaijan’s journey and the emblematic significance of the national flag. He eloquently touched upon the historical and cultural dimensions of the flag, portraying it as a symbol of the nation’s resilience and aspirations. The celebration was graced by numerous dignitaries, illustrating the robust diplomatic connections Azerbaijan enjoys and its respected position in the international community.

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Faces & Places

IWC Belgrade Monthly Gathering 10/11/2023 The topic of the meeting was the largest IWC yearly fundraising event, the upcoming IWC Charity Bazaar, to be held on 3rd December 2023, in the Hyatt Regency Hotel in Belgrade, from 10:30 – 17:30. The preparations for the IWC Charity Bazaar are in full swing, having the confirmed participation of 28 embassies at the moment. The embassies will be selling the typical products of their respective countries, such as food, beverages, clothing, crafts, art and souvenirs, and all the proceeds from the sale will be donated to the IWC Charity Fund. The focus of this year’s charity assistance is the empowerment of women in Serbia.

Wine Vision of Open Balkans Held in Belgrade 16/11/2023 Belgrade has proudly inaugurated the second edition of the “Wine Vision of the Open Balkans” expo, a prestigious event in wine, food, and tourism, under the auspices of the governments of Serbia, North Macedonia, and Albania. This expo is a part of the “Open Balkan” initiative. The expo, which run from 16th to 19th November, featured over 600 exhibitors from nearly 30 countries. Notably, half of the exhibitors are from Open Balkan member countries, with 260 from Serbia, 74 from North Macedonia, and 21 from Albania. Serbian President Aleksandar Vučić thanked officials from North Macedonia and Albania for their support, highlighting the “Open Balkan” initiative as a platform that has created of 20 million consumers. 72

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French Week Held in Belgrade 16/11/2023 This year’s French Week began with the Beaujolais Nouveau Evening, attended by 400 members and partners of the French-Serbian Chamber of Commerce. Throughout the week, guests enjoyed the rich French culture through two captivating workshops, an excellent film screening, and an insightful business conference on the theme ‘The Future of Work’. The aroma of fine French wines pervaded Delice’s wine bar during the wine workshop, where guests savoured every sip, discovering the stories behind each bottle and unravelling the secrets of the winemaking process. Thanks to the collaboration with MPC Properties, CCIFS hosted a special screening of “Guardians of the Formula” at Ušće Cineplexx, offering an evening of entertainment and cinematic magic through a story of French-Serbian solidarity. To conclude this remarkable week, the conference held at the French Embassy on “The Future of Work” answered many questions and sparked numerous reflections.

FIC Presented the White Book 2023 21/11/2023 The Council of Foreign Investors (FIC) has released the “White Book 2023,” which contains 397 recommendations for improving Serbia’s business and investment climate. The document emphasises the need for timely public discussions on all new regulations and regular dialogue with the business community. The White Book also proposes an investment of 6 billion euros for closer ties with the single market of the European Union, harmonisation of reforms for economic resilience, and an opportunity for accelerated integration in the EU. These topics were highlighted during the presentation of this year’s edition of the White Book.

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Faces & Places

Milan Radulović Awarded French Order of Arts and Letters 27/11/2023 Milan Radulović, the director of the Music Youth of Novi Sad and the Novi Sad Music Festivities, has been honoured with the French Order of Arts and Letters at the rank of Knight. The award ceremony took place at the French Embassy in Belgrade. H.E. Pierre Cochard, the French Ambassador to Belgrade, lauded Radulović’s tireless efforts in building cultural bridges between France and Serbia. “You have been a relentless builder of cultural bridges between our two countries, and we are profoundly grateful for your faithful collaboration with the French Embassy and the French Institute in Serbia, as well as with numerous artists, orchestras, and institutions of our country,” Cochard stated during the award presentation.

52nd National Day of the United Arab Emirates 27/11/2023 The United Arab Emirates Embassy in Belgrade marked the 52nd National Day of the United Arab Emirates (UAE) with a grand celebration. The commemorative event was hosted at the Hyatt Hotel, attracting a significant gathering of dignitaries and guests. Ambassador Mubarak Al Daheri delivered a keynote address, reflecting on the historical significance of the UAE’s National Day and the enduring ties between the UAE and Serbia. Discussions on strengthening bilateral relations, enhancing economic cooperation, and exploring new avenues for partnership between the two countries. The attendance of prominent Serbian officials and representatives from various sectors underscored the robust diplomatic relations and mutual respect shared by the UAE and Serbia. 74

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DIGITAL DIVIDE SPECIAL EDITION 2023, VOL. V

Contents 04 C OMMENT

Harnessing Technology for Comprehensive Development

06 Mihailo

Jovanović

Serbian Minister of Information and Telecommunications

We’re Ready for the Future

10 Predrag Nikolić

Managing Director of the CCIS Centre for Digital Transformation

Supporting SME Digitalisation

14 Luboš Berkovec Mobi Banka Chief Operations Officer

Dedicated to Modern Banking

08 M ilan Latinović

Acting Director of the Office for IT and eGovernment of the Republic of Serbia

We Care About Security

EDITOR IN CHIEF Neda Lukić n.lukic@aim.rs DESIGN Slađan Radosavljević Zoran Perović design@aim.rs PHOTOS Zoran Petrović COPY EDITOR Mark Pullen

PROJECT MANAGERS Biljana Dević b.devic@aim.rs Mihailo Čučković m.cuckovic@aim.rs Nataša Novković n.novkovic@aim.rs OFFICE MANAGER Svetlana Petrović s.petrovic@aim.rs FINANCE Dragana Skrobonja finance@aim.rs

EXECUTIVE DIRECTOR Maja Vidaković m.vidakovic@aim.rs DIRECTOR Ana Novčić a.novcic@cordmagazine.com PUBLISHER Ivan Novčić i.novcic@aim.rs

PRINTING Rotografika d.o.o. Segedinski put 72, Subotica DIGITAL DIVIDE 2023 Published by: alliance international media Prote Mateje 52, 11111 Belgrade 17, PAK 125806, Serbia Phone: +(381 11) 2450 508

E-mail: office@aim.rs; office@cordmagazine.com www.aim.rs; www.cordmagazine.com ISSN: 2560-4465 All rights reserved alliance international media 2023 The views expressed in this publication are those of the presenter; they do not necessary reflect the view of publications published by alliance international media THIS PUBLICATION IS FREE OF CHARGE

DIGITAL DIVIDE 2023

Digital Divide 2023 18 Gorana Rašić

Chief Financial Officer (CFO), Chief Operations Officer (COO) and Executive Board member at Generali Osiguranje Srbija

Leaders of Innovation

24 Aleksandar Cvetković Head of OneCloud in Eviden Srbija

Focused on the Future

26 D anilo Savić

CEO, Data Cloud Technology

Keeping Pace With the Best

20 EUROBANK

Clients’ Digital Security is Vital

22 Bogdan Stešević

Head of the Group for Quality of Services and the Development of Artificial Intelligence; Manager of the Serbian National Platform for Artificial Intelligence

Supporting the Digital Transformation of Business

28 B y Miodrag

Ranisavljević

DATALAB Automation, Artificial Intelligence and the Future of Accounting

Let’s simplify the complex and automate the simple!

30 D un & Bradstreet

Dun & Bradstreet secures the quality of your data

16 Miloš Lončar

Client Solutions Lead for SEE, Dell Technologies

Valued Partner to the Public Sector

17 Vladimir Spasić Dell Account Executive

E-services Ease Our Lives

32 E DGE

Mechanism Driving Digital Transformation

34 O pinion

Big Tech Cannot Be Regulated

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COMMENT

erbia’s continuing efforts to transform itself into a knowledge-based economy are multifaceted. They include investments in high-speed internet, advancements in fostering the digital economy and innovation, the evolution of e-government structures, support to advancing digital literacy and accelerating the adoption of technological advancements among businesses. Serbia’s commitment to robust digital infrastructure is exemplified by investments in high-speed internet access and expansion of the broadband network. A significant capital investment project that was initiated in December 2022 and valued at €500 million ($545 million) aims to enhance broadband communication infrastructure, focusing specifically on rural areas. This in-

HARNESSING TECHNOLOGY FOR COMPREHENSIVE DEVELOPMENT Serbia’s digitalisation journey has been marked by notable strides across multiple fronts, reflecting a commitment to harness technology for comprehensive societal and economic advancement

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itiative aligns with Serbia’s broader vision of bridging the digital divide, ensuring that even remote regions benefit from robust internet services. Projections suggest that over 99% of Serbian households will have access to high-speed fixed internet by 2025. Simultaneously, Serbia has taken significant strides in supporting the digital economy and innovation, along with the development of e-government. The EDGE project, embedded within the scope of Serbia’s Artificial Intelligence Development Strategy, is an important initiative that’s driving innovation, digital transformation and the evolution of e-government services. Among other things, the project encompasses a December 2021 500-million-euro investment in a supercomputer and the development of the National Platform for Artificial Intelligence. cordmagazine.com

THE DIGITALISATION OF BUSINESS PROCESSES REMAINS A KEY DRIVER OF SERBIA’S ECONOMIC GROWTH AND COMPETITIVENESS This endeavour aligns with Serbia’s commitment to advance e-government services and support academic and innovative pursuits in artificial intelligence. Collaborations with academic institutions, science and technology parks and the Innovation Fund have resulted in public calls for start-up companies. A total of 33 start-ups leverage the supercomputer, fostering a vibrant ecosystem and gaining international recognition. Look-

ing to the future, the project aims to enhance its supercomputer with more advanced graphics processors, thereby sustaining its impactful role in driving Serbia’s digital evolution. Recognising the importance of digital skills, Serbia has been working on initiatives to enhance education in the digital domain. Integrating digital literacy programmes into formal education and vocational training ensures that individuals are prepared for the evolving digital landscape, contributing to a digitally competent workforce. These efforts are aligned with the growing interest of Serbian businesses in leveraging digital tools to enhance productivity, improve customer experiences and remain competitive in a global economy.

INTERVIEW

WE’RE READY FOR THE FUTURE Continuous investment in the ICT sector and advancing digital transformation have proven to be extremely successful and represent the foundations of Serbia’s further transition to a knowledge-based economy that relies on a network of infrastructure, investments in science and technology parks and education as the cornerstones of future economic growth

MIHAILO JOVANOVIĆ Serbian Minister of Information and Telecommunications

The ICT sector has become both Serbia’s fastest growing and largest export sector, despite a noticeable trend of falling employment at the global level. ICT exports for the first nine months of this year are up 32% compared to the same period of 2022 and have a total value of 2.5 billion euros. “We can state with pride that our country has proved resistant to global turmoil in this sector, and we estimate that exports will total around 3.8 billion euros by the end of this year,” says Serbian Information and Telecommunications Minister Mihailo Jovanović. “When it comes to

Serbia’s ICT sector currently employs over

107,000

workers, and that number is growing

employee numbers, they are also increasing despite the trend and currently stand at over 107,000 employees across the ICT sector as a whole.” The Interior Ministry recently issued permits to test drive two autonomous vehicles in Serbia, with the idea of Serbia engaging in the process of developing driverless vehicles that are based on artificial intelligence. What are the required steps for that? — We showed our readiness to keep pace with the future development and application of artificial intelligence as early as 2019, when we

adopted our Strategy for the Development of Artificial Intelligence, then soon afterwards established the Institute for Artificial Intelligence Research and Development and launched the National Platform for Artificial Intelligence. It is worth noting that the autonomous vehicle market and the development of these vehicles is worth in excess of 100 billion euros, while data suggests that it will be worth 20 times as much over the next 10 years. Today’s auto industry is increasingly heading in the direction of developing software and information systems, whether they are for vehicle mobility or checking for faults in vehicles, while it is linked ever less to the existence of factories that produce physical components or assemble actual vehicles. Providing for the testing of autonomous vehicles will secure the environment required for further development, the advancement of technology and additional investments in our country, and I believe that, provided we continue in this way, we will have the first autonomous vehicles at Expo 2027.

Investing in infrastructure is among the top priorities of the Government of Serbia. How effectively are innovative companies utilising these resources, and how do you envisage their further development? — Thanks to capital investments of the Government of the Republic of Serbia, the Government Data

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Centre in Kragujevac began operating in 2019, in accordance with the highest international, technical and security standards. The Government Data Centre this year also received international EN50600 Certification confirming the highest levels of reliability and security, which helped us position ourselves as the first country in Eastern and Southeast Europe to have attained this standard. The Government Data Centre is also the location of the National Platform for AI, i.e., the country’s supercomputer that’s used by universities, scientists and various start-ups. We will soon see the expansion of the Government Data Centre to become the Innovation District, which has been conceived as a creative/in-

on these three and what are you doing to ensure this development is regionally balanced? — We have recognised the needs of the scientific and IT communities and are continuing to invest in the construction of science and technology parks. We didn’t have a single science and technology park until five years ago, while today we have four of them in Serbia – in Belgrade, Novi Sad, Niš and Čačak. The plan is to expand the existing science and technology parks in Niš, Čačak and Belgrade, construct a Kruševac Science and Technology Park and develop a 5th STP within the framework of the Innovation District in Kragujevac. With the building and improving of required infrastructure, these cities are becoming recog-

WE CAN STATE WITH PRIDE THAT OUR COUNTRY HAS PROVED RESISTANT TO GLOBAL TURMOIL IN THIS SECTOR, AND WE ESTIMATE THAT EXPORTS WILL TOTAL AROUND 3.8 BILLION EUROS BY THE END OF THIS YEAR novative digital centre where employees will be able to work and socialise, and which will also be open to citizens and visitors. We also launched the renovation of the old railway ‘Ložionica’ [fuelling station] in Belgrade, which will become a hub and meeting point for innovators, talented individuals, creative workers and IT professionals. We are also continuing to invest in required infrastructure through digitalisation, in order to provide Serbian citizens with the best possible working and living conditions, but also to entice additional investments.

Belgrade, Novi Sad and Niš are recognised as hubs of education and innovation, where domestic and international IT companies are concentrated. How much have other cities closed the gap cordmagazine.com

nised as good centres of innovation where domestic and international IT companies will be concentrated, thereby also providing the potential for the further advancement of our national economy.

Which results in the implementation of the Action Plan for the Digital Skills Development Strategy for the 2023 to 2024 period would you single out as being the most important? — We advocate in continuity and invest resources that are essential for developing awareness and continuously educating citizens with regard to digital skills. We have continued with the Digital Expedition, representing a caravan of digital skills, literacy and security, with the intention of touring all cities and municipalities in Serbia. Moreover, in addition to staging

workshops for citizens, children and their parents, the expedition also offers workshops for our elderly citizens, which encompass basic skills for using computers and mobile devices. We also donate a ‘digital nook’ to the Association of Pensioners in each local government, where they can continue developing their knowhow, while they continue helping and educating our oldest citizens with the assistance of the Youth Office. We also aim to support employees in city or municipal administrations with workshops on the use of eGovernment.

The Connected Schools project culminated this year and a new project is now underway to construct communications infrastructure in rural areas of Serbia. How is the work progressing? — Under the auspices of the Connected Schools project, we have enabled an equal education for all students in Serbia over the past five years, as well as introducing highspeed, reliable and secure internet access for more than 3,800 primary and secondary schools. When the Government of the Republic of Serbia prioritised digitalisation and education six years ago – based on the initiative of Prime Minister Ana Brnabić – one of our objectives was for Serbian children to start using their digital skills on a daily basis and for that to become a resource for their learning, advancement, research and entertainment, as well as for the digital society in Serbia to simultaneously be a secure digital environment. With the project that we launched late last year in our country’s rural areas, the Information and Telecommunications Ministry has to date provided the possibility of high-speed internet connections to about 50,000 citizens nationwide. Our plan is to introduce high-speed internet, with a bandwidth exceeding 100 Mbps, to more than 700 villages by year’s end 2025, connecting more than 120,000 households to the internet.

DEVELOPMENT Providing for the testing of autonomous vehicles will secure the environment required for further development, the advancement of technology and additional investments in our country

CENTRE We this year launched the renovation of the old railway ‘Ložionica’ in Belgrade, which will become a hub and meeting point for innovators, talented individuals, creative workers and IT professionals

SKILLS One of our objectives was for Serbian children to start using their digital skills on a daily basis and for that to become a resource for their learning, advancement, research and entertainment

INTERVIEW

WE CARE ABOUT SECURITY The Government Data Centre in Kragujevac holds a certificate based on European standard EN 50600 for data centres, confirming that it satisfies the highest levels of reliability, security and efficiency in the protection and storage of equipment and data, while it is also the first such centre in Eastern and Southeast Europe to gain EN 50600 Class 4 Certification

MILAN LATINOVIĆ Acting Director of the Office for IT and eGovernment of the Republic of Serbia

he eGovernment Portal of the Republic of Serbia has become the central hub for citizens and businesses to communicate with the public administration, and it today has more than two million users. Milan Latinović, acting director of the Office for IT and eGovernment of the Republic of Serbia, emphasises that launching the eGovernment Portal has enabled the digitalising of many services intended for citizens and businesses.

What kind of user structure does the eGovernment Portal have; and what does that tell you about digital literacy levels among Serbian companies and citizens? — We are proud of the fact that the services of the eGovernment Portal are used by an impressive two million citizens. These eCitizens, registered users of the eGovernment Portal, are no longer “couriers” moving between counters, rather they have the possibility to obtain personal documents as and when need-

ed, quickly and easily, via a computer or mobile phone, 24 hours a day, from any location in the world. More than four million documents have to date been sent to citizens’ ‘e- sanduče’ [e-post boxes], which represent an integral part of the eGovernment Portal. Moreover, hundreds of different electronic services enable the public administration to work much more efficiently, transparently and economically, and increase the level of satisfaction among citizens. The eGov-

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ernment Portal has a diverse user structure, as we offer services that are needed by citizens, but also by the business sector. We currently also have more than 696,000 active users who sign-in to the Portals application via the ConsentID mobile app, while more than 180,000 of them actively use a cloud-based signature. These facts all indicate to us that we are doing a good job, which is why we will continue realising our goal of switching fully to online communication between public administration and the citizenry. It is worth recalling that the World Bank’s analysis for 2022 highlighted the fact that Serbia occupied a high 4th place in Europe and 11th worldwide on the Digital Transformation Index, while our country is ranked in the top ten

— It has been made possible for citizens to use the eGovernment Portal in such a way that prescribes a high level of identity protection and personal data security, via the ConsentID mobile app or with a qualified electronic certificate. Moreover, the main advantage of using the ConsentID mobile app to sign-in is that it only requires a mobile phone to be activated and grant access to all connected portals – eGovernment Portal, LPA [local tax admin], eZdravlje [healthcare], APR [business registers agency], Moj esDnevnik [school journal], eFaktura [invoicing], eAgrar [agriculture], eSud [courts] and Moja prva plata [My first salary], CROSO [central registry of compulsory social insurance], and soon also the Portal of the Tax Administration. It also

THE MAIN ADVANTAGE OF USING THE CONSENTID MOBILE APP TO SIGN-IN IS THAT IT ONLY REQUIRES A MOBILE PHONE TO ACCESS ALL CONNECTED PORTALS countries for speed of electronic administration development [eGovernment Development Index (EGDI)], according to a United Nations report. Thanks to electronic administration, citizens have to date been spared from having to visit counters more than 180 million times, with civil servants having done so on their behalf in electronic form, which serves to make electronic administration even more what it actually is: visiting as few counters as possible. The issue of security and personal data protection is among the crucial issues whenever talk turns to digitalisation and online services. How does the eGovernment Portal’s data protection system function and what are its main features? cordmagazine.com

provides the possibility of signing documents with a cloud-based signature, without the need to install additional software or carry a reader for qualified electronic certificates. Data has become the most valuable commodity in today’s world. How does the Government of Serbia approach data protection and internet security? — We like to say that data represent the “oil of the 21 st centu-

More than

million documents have to date been sent to citizens’ e-post boxes

ry” and that is indeed the case. Thanks to the construction of infrastructure, the Government of the Republic of Serbia, through the Office for IT and eGovernment, stores and protects data in accordance with the highest security standards. The Government Data Centre in Kragujevac holds a certificate based on standard EN 50600 for data centres, confirming that it satisfies the highest levels of reliability, security and efficiency in the protection and storage of equipment and data – Class 4 Certification. This certificate represents a great acknowledgement for both the Government Data Centre in Kragujevac and for the Republic of Serbia as a whole, because it is yet more confirmation that Serbia is a leader in the field of digitalisation and the construction of technological infrastructure in this part of Europe. EN 50600 is a European standard that relates to the planning, construction and operation of data centres and similar digital infrastructure facilities. Only eight data centres in Western European countries have previously received this certificate for class 4, so the Government Data Centre in Kragujevac is the first in Eastern and Southeast Europe. Which of the services are most commonly used by businesspeople and where is the need to further improve communication between the business sector and the public administration most pronounced? — The services most commonly used by the business sector are: issuing/renewing a retail license (Tobacco Administration), issuing a confirmation of the conducting of criminal proceedings – KU (issued by a court, Ministry of Justice), issuing a confirmation from the Criminal Records of Legal Entities - KEPL (Ministry of justice) and filing a need for employment (National Employment Service).

EFFICIENCY The digitalisation of numerous services has enabled citizens and businesses to spend less time moving between counters, as these tasks can be performed via eGovernment

USERS We currently have more than 696,000 active users who sign-in to the Portals application via the ConsentID mobile app and actively use a cloud-based signature

SERVICES The business sector most commonly uses the Portal’s service for issuing or renewing a retail license

INTERVIEW

SUPPORTING SME DIGITALISATION With CDT assistance, it is quicker and easier for small and medium-sized enterprises to traverse the digitalisation process and apply artificial intelligence to their business processes tion chain and optimises processes. Logistics benefits from better tracking and management of inventories, while the financial sector uses automation to make transactions and data analysis faster and more precise. These technologies improve efficiency, reduce costs and boost competitive advantages.

PREDRAG NIKOLIĆ Managing Director of the CCIS Centre for Digital Transformation

he Chamber of Commerce & Industry of Serbia’s Centre for Digital Transformation (CDT) has created the SME Digital Transformation Support Programme, which has been devised as a strategic consulting support services for companies from the MSME sector through an elaborate and advanced process that encompasses all elements: from the initial diagnosis of problem to the determining of solutions, with co-financing of up to 6,000 euros for solutions and tracking their implementation, monitoring the effects of implementation after one year. “Over the course of the five years of the operations of the Centre for Digital Transformation to date, applications for inclusion in CDT programmes have been submitted by 3,500 companies from all branches of industry that vary in size and in terms of geographical distribution

(92 towns and cities in Serbia). A large segment of these companies have, together with our 68 certified digital transformation consultants, traversed the entire pathway from defining the required steps to digital transformation to the implementation of those solutions,” explains Predrag Nikolić, managing director of the Chamber of Commerce & Industry of Serbia’s Centre for Digital Transformation. In which sectors are digitalisation and process automation most prevalent today and why? — Digitalisation and process automation are particularly topical today in the sectors of IT, production, logistics and finance. In the IT sector, they enable more efficient data management, software development and the implementation of new technologies. In production processes, digitalisation improves the management of the produc-

Which processes do companies most often digitalise and automate? What are the most important motives of these companies and how deeply do these processes really penetrate their core business? — Companies often digitalise and automate key business processes in order to increase efficiency, reduce costs and improve their overall productivity. The processes that are most commonly digitalised and automated include administrative processes, production processes and customer relationship management (CRM). The motives behind digitalisation and automation include a desire to speed up responses to market changes, increase existing competitive advantages, reduce errors, improve the user experience and optimise operating costs. These processes often penetrate deeply into companies’ core business as they enable better decision-making, more efficient resource management and the creation of more agile business environment. Digital transformation is becoming an integral part of business strategies, and companies that implement these changes successfully gain an advantage in a dynamic business environment.

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Do you have a sufficient number of certified consultants, given the demand among companies? — One of the first steps in the establishment of a digital transformation support model, especially for SMEs, was the forming of a network of certified digital transformation consultants with knowhow and experience in processes related to the digitalisation of an entire business. Over a period of five years, the CDT trained and certified (ISO 17024 standard) 68 consultants from the fields of business models and processes, e-commerce and social media, IT security and GDPR, as well as an artificial intelligence (AI) module. Moreover, the CDT has six trained and certified CDT trainers for future generations of certified consultants. Our plan is for us to have approx-

imately 100 certified consultants over the next two years, in order for us to get to 1,500 companies that will go through the CDT consulting process by year’s end 2025, via the MSME Digital Transformation Support Programme. We are bearing witness to the dramatic development of machine learning and artificial intelligence. How prevalent are these processes in our country and how is the CDT preparing to assist companies in switching to these complex technologies? — The CDT introduced an artificial intelligence model to its operations a year ago, or rather it trained and certified consultants in this field at the initiative of the Government of the Republic of Serbia. The CDT launched its SME sector Support Programme in this

MORE THAN 900 DIGITAL SOLUTIONS HAVE BEEN IMPLEMENTED THROUGH THE PROGRAMMES OF THE CENTRE FOR DIGITAL TRANSFORMATION, WITH A TOTAL OF 312,692,730.93 DINARS, OR 2,667,403.49 EUROS, HAVING BEEN SPENT TO DATE ON THEIR IMPLEMENTATION IN PROGRAMMES FOR 2021 AND 2022.

cordmagazine.com

area during last year, because AIbased solutions are being utilised increasingly to automate and optimise business processes, regardless of the branch of industry in which companies operate. One of the most significant benefits of AI is the system for automating marketing that can implement machine learning in order to improve the targeting of users, conceive more precise communications and construct conclusions on the basis of their behaviour. Moreover, AI integrated with CRM is able to perform real-time analysis and provide recommendations and predictions on the basis of a company’s business processes and customer data – it can assess the sentiments of customers as expressed in social media posts, recorded conversions, customer reviews and emails. The launch of operations of the Business Innovation HUB has been announced. Why is this important for the Serbian economy? — The CDT HUB is a platform that prioritises the encouraging of collaboration between IT companies, start-ups, investors, experts, representatives of public institutions and traditional firms. Its main mission is to ease the joint creation of innovative solutions that enhance the competitiveness and productivity of all parties involved. The basic value of the operations of the CDT HUB is its commitment to bridging the gap between IT companies and traditional businesses. By providing a common space for engagement, this platform enables IT firms to gain valuable insights from conventional businesses, improving their products and services in order to satisfy evolving market demands. At the same time, traditional firms gain access to the latest technologies, which helps them modernise and encourages efficiency and competitiveness on a developing market.

PLANS Our plan is for us to have approximately 100 certified consultants over the next two years, in order for us to get to 1,500 companies that will go through the CDT consulting process by year’s end 2025.

AI Over the course of last year, the CDT supported 30 companies from the SME sector that implemented AI solutions after working with us, through a subsidy of up to 12,000 euros per company.

DEVELOPMENT The CDT HUB brings together IT companies and traditional businesses… This platform enables IT firms to gain valuable insights from their operations, to improve their products and services and offer them on the market.

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SAY HI TO AI Digital transformation is never going to be done. As technologies continue to evolve and emerge, companies need to keep up and continue with their own transformations. Much like automation, the proliferation of analytics and artificial intelligence will continue to make its way into every part of our business and life.

cordmagazine.com

LUBOŠ BERKOVEC Mobi Banka Chief Operations Officer

CORPORATE

DEDICATED TO MODERN BANKING Mobi Banka has been dedicated to digital banking from the very beginning, in 2014. Stability and reliability forms the foundations of its business, as this company does everything it can to be a partner that customers can count on in the digital future

s it is set to mark its 10th anniversary in 2024, Mobi Banka is preparing to make significant changes that will redefine the boundaries of digital banking. These plans require a special focus on the further development of the bank’s IT team and many more inovations.

The willingness of banks and the regulator to modernise Serbia’s financial market and align it with European trends has led to digitalisation. How do you assess this process, which only intensified during the pandemic? — Digitalisation has certainly become inevitable since 2020, but we were there years before, from

the very beginning, in 2014. We have remained dedicated to digital banking since then, taking the stance that online, simple and modern banking is the only right choice. We believe strongly that our customers shouldn’t wait in endless queues in front of branches: they deserve to be able to access all our services from the comfort of their home. Easy access to all banking services tailored to customers’ needs wouldn’t be possible without the determination of the National Bank of Serbia, led by Governor Tabaković, to act diligently in this field. Now that digitalisation has entered every corner of our society, it is time to raise the bar even higher by introducing new digital products and concepts and placing them primarily in the service of the client. As we mark our 10th anniversary in 2024, we are preparing for significant changes that will redefine the boundaries of digital banking. These plans require a special focus on the further development of our IT team, as we plan

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to double the number of our IT colleagues by the first quarter of 2024. Can market success be achieved without listening to the needs, desires and expectations of clients? — The short answer would be ‘absolutely not’. Before joining Mobi Banka, I was a member of the Air Bank team, the fastest-growing bank in the Czech Republic, with over 980,000 clients. In recent years, its client experience has been ranked first and second among 200 regularly assessed brands on the Czech market, which comes from constant communication with clients, while carefully listening to what they have to say. Mobi Banka looks to emulate the success of its “older sister” within the PPF Group and we are following a common path, on which

use Mobi Banka Mastercard payment cards, Android and Apple devices. What are the greatest benefits of cashless payments for clients? — I am very passionate about motorbikes and particularly enjoy my rides from Belgrade to Prague. When you decide to engage in such an activity, you must be prepared to react swiftly and calmly while remaining vigilent regarding potential developments. Like road safety, ensuring the safety of clients during transactions is a priority and that’s why we have introduced Google and Apple Pay. Transactions are now even simpler, faster and safer. The entire process is fully protected and there is no exchange of card data at any point during the transaction. This innovation reflects our commitment

DEDICATED TO EDUCATING CLIENTS Given that you are an expert in the security field, how do you perceive the challenges brought by digitalisation in this domain? — The downsides of digitalisation are strongly outweighed by its benefits. However, that doesn’t mean that we don’t address them. That’s why we work diligently to educate our clients on how to protect their personal data and stay safe in the digital financial environment. Additionally, we are constantly working on our systems in order to stay at the top of the game: over the past few weeks, we have rapidly and efficiently implemented system upgrades, paying special attention to security.

YETTEL AND MOBI BANKA ARE SISTER COMPANIES THAT STRIVE TO CREATE INNOVATIVE, SUSTAINABLE AND DIGITALLY ADVANCED and digitally advanced solutions SOLUTIONS FOR CUSTOMERS for our customers by building and client satisfaction is paramount. That’s why we have conducted our own research and created our 5+ offer, which includes some of the most desirable banking benefits, according to customers, for everyone who transfers at least 35,000 RSD of their salary to Mobi Banka. I’m confident that there isn’t a person who would say no to free account maintenance, free cash withdrawals from any ATM in Serbia, and free domestic and international payments, along with a few more perks. And this is just the beginning. We will soon introduce new products and numerous functionalities created with special consideration for our clients’ feedback. You recently introduced digital wallets for your clients who cordmagazine.com

to positive global trends, allowing clients to make transactions anywhere and at any time, simply by tapping their phone to the POS terminal. Forgotten wallets will no longer be a problem because everything you need is on your phone. Within the PPF Group, one of the largest investment groups in Europe, you work closely with Yettel, constantly innovating to stay ahead of your customers’ needs. Can you tell us about some joint projects that you have planned for the future? — We like to say that Yettel and Mobi Banka are sister companies within the PPF Group, as our philosophies dovetail: we both strive to create innovative, sustainable

successfully bridging the divide between telecommunications and banking. We launched a new project a few days ago that we have been preparing for a long time: paperless documentation for the purchase of new mobile devices through our interest-free loans. This means that our customers can sign the necessary documentation on a tablet, providing just three signatures instead of the 16 that were previously required. In this way we are able to significantly reduce the use of paper, not to mention how much time we save for our customers. In the near future, we plan to digitalise the process of opening a current account at our bank on the basis of the same principle, which means that a 100 per cent of the joint activities of Mobi Banka and Yettel will be paperless and sustainable.

Our customers can sign the necessary documentation on a tablet, providing just three signatures instead of the

that were previously required

Your company maintains a presence in all sectors, but major investments in the reform and digitalisation of the public sector are particularly evident. How did you enter into this endeavour? Was it accelerated by the Covid-19 pandemic? — Dell Technologies creates integrated solutions, end-to-end product offerings, and holds number one positions in critical Client and Infrastructure solutions. From the PC to the core data centre, to the cloud and to the edge, creat-

MILOŠ LONČAR Client Solutions Lead for SEE, Dell Technologies

Dell Technologies creates integrated solutions, end-to-end product offerings, and holds number

ONE

positions in critical Client and Infrastructure solutions

CORPORATE

VALUED PARTNER TO THE PUBLIC SECTOR Dell distinguishes itself as a pioneer in various domains of technology, including hybrid cloud solutions, cybersecurity, edge and high-performance computing, but also innovative social impact and sustainability initiatives This company want to help clients modernise their IT infrastructure, manage and operate in a multi-cloud world, address workforce transformation and provide critical solutions that keep people connected.

Dell is among the IT industry’s leaders, but it is also among the leaders of digital transformation. Digital technology solutions, products and services that improve business processes represent the core of your offer and business.

— Dell Technologies is a global leader in technology, reshaping the digital landscape. The company’s philosophy revolves around making advanced technology accessible to everyone worldwide. Dell stands out as a pioneer in various technological realms, including hybrid cloud solutions, cybersecurity, edge and high-performance computing, as well as innovative social impact and sustainability initiatives. We emphasise the role of technology in addressing complex societal challenges in sectors like healthcare, education and the digital economy.

FROM THE PC TO THE CORE DATA CENTRE, TO THE CLOUD AND TO THE EDGE, CREATING DEEP CUSTOMER INSIGHTS AND DRIVING INNOVATION IS AT THE CORE OF EVERYTHING DELL TECHNOLOGIES DOES ing deep customer insights and driving innovation is at the core of everything Dell Technologies does. We want to help our customers modernise their IT infrastructure, manage and operate in a multi-cloud world, address workforce transformation and provide critical solutions that keep people connected. Dell Technologies is also perfectly positioned to help our clients with their evolving needs and their broader digital transformation objectives, as they strive to embrace today’s hybrid environment. The public sector has recognised this and considers us a valued partner on their digital journey. We focus on client outcomes and are constantly trailblazing new solutions to meet our clients’ complex IT needs.

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CORPORATE

E-SERVICES EASE OUR LIVES As one of the leaders of the IT sector, and thanks to its wealth of experience and extensive network of partners, Dell is able to help users traverse the digital transformation process and accompanying challenges as effectively as possible

espite Serbia having already surpassed many EU member states when it comes to the number and quality of the electronic services that it provides to citizens, there is still a lot of work being done to improve eGovernment and digital transformation, because that’s the only way for the country to remain a regional leader in this area.

of citizens, such as the electronic scheduling of vaccination appointments, e-applications for state assistance, e-applications for in vitro fertilisation and others. Serbia has today even surpassed some EU member states when it comes to the number and quality of electronic services that it provides to citizens, though it is still working to advance its e-government and to further digital transformation.

Are we under the mistaken impression that Serbia has today even surpassed some EU member states when it comes to the number of E-services that it provides to citizens; that there are no queues for issuing new passports or identity cards, or for obtaining other documents, confirmations etc.?

The Serbian Academy of Sciences and Arts has launched a project to digitise valuable documents dating back to the 14th century. Your company has been engaged in this work thanks to your experience in digitising cultural heritage documents around the world?

— You are not mistaken. Serbia has really progressed on the development of e-government and in the providing of electronic services to citizens. According to the E-Government Development Index for 2020, Serbia achieved the greatest progress among all European countries and became a regional leader in this field. You can find more than 1,000 services on the eGovernment Portal that are intended for citizens, businesses and the state and that can be accessed electronically, without having to queue and without unnecessary red tape. Some of the most popular services include issuing birth certificates, citizenship confirmation certificates, registering children, enrolling in nursery school and checking data on the unified electoral roll, among others. Serbia also demonstrated a high level of adaptability and innovation under the conditions of the Covid-19 pandemic, when it introduced new electronic services to protect the health and businesses cordmagazine.com

— The Serbian Academy of Sciences and Arts is digitising its collections, which include precious materials that testify to Serbian history and culture from medieval times to the present day, as well as a large number of books and documents that are of exceptional historical importance. Similar projects have also been implemented worldwide, initiated by academies of sciences, university colleges, national libraries and museums. We are proudest of our reference from a famous world library, which contains some of the oldest texts in the world, representing the priceless heritage of history and culture. It is very important for these documents to be protected, while simultaneously being made available to scholars around the world, preserving the treasure trove of rare and unique written documents in a format that will not be subjected to the ravages of time. Over 80,000 manuscripts and 8,900 rare incunabula have to date been digitally preserved for future generations.

VLADIMIR SPASIĆ Dell Account Executive

The eGovernment Portal has more than

1,000

services for citizens, businesses and the state, which can be accessed electronically, without having to queue and without unnecessary red tape

It was almost 10 years ago that we introduced a system for measuring client satisfaction with regard to all of our processes – NPS (Net Promoter Score), which enables us to hear what clients expect, what irks them and what they feel grateful for. With these kinds of recommendations from clients, our team has developed an awareness and willingness to think innovatively and, with the support of management, the only possible result is for us to be leaders of innovation.

GORANA RAŠIĆ Chief Financial Officer (CFO), Chief Operations Officer (COO) and Executive Board member at Generali Osiguranje Srbija

CORPORATE

LEADERS OF INNOVATION Generali is renowned for innovation and the introducing of new trends in all areas of insurance, advancing its products and services, while it is also known as a leader of digital transformation that always has two goals: improving its business results and improving its relations with clients

his company was the first to launch a mobile app for insurance sales and the first to introduce many tools, as well as the Salesforce platform. The Generali team is very proud of the path they’ve traversed in the company’s transformation to date, but they are aware that they are still awaited by constant transformation that’s even faster and more comprehensive.

Leaders are those who always make the needs and expectations of their users the top priority? — We have been striving for many years to listen and respond to what our clients really need, and then

our team comes together quickly and devises a way to satisfy those needs in the fastest and best possible way. Whether it relates to products or sales methods, or communication with the client, our ambition is to create and lead trends on the domestic insurance market by monitoring global principles and technological advances in other industries, in which the Generali Group represents an excellent guide for us, but also provides us with support in implementation.

Are you satisfied with the results of your transformation to date? — We have been in a process of constant transformation since Generali first arrived in Serbia. However, the intensity of those changes has been more drastic in recent years, because we have been monitoring world trends continuously and have implemented changes on the domestic market even before they were needed at the local level. An excellent example of this is the possibility of working from home, which we already introduced at the start of 2019. We were the first company to provide users with a fast and reliable digital experience available 24 hours a day, and that was back in 2016, when we were the first to launch a mobile application for insurance sales, and since then we have been adding new tools and functions, both on the app and our portal for clients. We have also transformed our organisation in parallel with these changes, introducing and replacing many tools and services that are used by our employees, but our clients and our people have always remained at the top of our list of priorities.

OUR AMBITION IS TO CREATE AND LEAD TRENDS ON THE DOMESTIC INSURANCE MARKET BY MONITORING GLOBAL PRINCIPLES AND TECHNOLOGICAL ADVANCES IN OTHER INDUSTRIES DIGITAL DIVIDE 2023

Generali Osiguranje Srbija became the first financial institution to use the Salesforce platform on the Serbian insurance market. What has that brought for your clients and employees? — Salesforce is yet another in the series of confirmations of who has the “decisive say” in decision-making at Generali Osiguranje – and that is the Generali client, who demands the best solutions and a swift response to address growing needs. This is one of the most significant projects that we’ve completed successfully over the past two years. And the Generali Group is currently in the process of introducing Salesforce to many countries, and in that process we are recognised as one of the best examples of fast, agile implementation, but also – and most importantly – the adaptation of our employees to ensure that that both they and the clients can enjoy the possibilities that are now available. Modern technology has brought us process automation, shortened procedures, the digital contracting of policies, the digital identification of clients etc. Can you envisage what the future and the increased applying of AI will bring us? — Without going back too far into the past, looking only at the last few years, we have digitalised the compiling of a good part of the policies, wherever that has been possible, and enabled not only the digital reporting of claims, but also self-assessments and the complete comfort of our clients, while the next step is enabling remote client identification, which will enable us to largely overcome the current legal challenges to the full application of digitalisation. We are also happy to have been among the first to introduce electronic invoices successfully, while we take extensive advantage of the electronic exchanging of documents and electronic signatures, and we are ready for eArchiving that will arcordmagazine.com

rive on the market in 2024. As such, our administration is already in the “future”, which is often a priority for our corporate clients when choosing an insurer. Applying artificial intelligence is already a present reality for us, and its increased use over the coming years is precisely what will confirm how smart and “intelligent” the moves and decisions we’ve made over previous years were – not only in terms of the modernisation of the technological aspects of our system, but also in terms of our people’s awareness, openness to change and hunger for innovation, because all the improvements that we introduce, and especially AI solutions, will relieve our colleagues of the need to do repetitive and tedious work and give them time and space to devise, create and construct new and better systemic solutions for our company’s further modernisation. I believe that natural and artificial intelligence aren’t “competitors” to one another, but rather that they form the ideal alliance that leads us further into the future and once again places people and their needs at the centre of everything, whether we’re talking about our clients, employees or ourselves. Did you establish cooperation with Comtrade System Integration in response to the growing risk of attacks by hackers? — Cybersecurity is certainly the area in which we’ve made the most progress in recent years, both in terms of investments in the tools that we use and in raising awareness of the importance of prevention and the intelligent use of all these tools that we apply, develop and make available to our clients and partners. From the modest role of just one or two security experts, we’ve created an entire sector that today includes eight experts and the support of 1,600 “IT security associates”, or employees who understand and stick to the recommendations, and thus protect the sys-

tem on a daily basis. Our cooperation with Comtrade is an additional advancement, one that relates specifically to the offer of insurance against cyber risks for our clients, in which we want them to leave it up to professionals to handle the concerns and risks to which they are exposed. It was precisely this client-centric focus and the constant need for progress that proved decisive in Comtrade becoming our partner, and we are extremely satisfied with this cooperation to date.

WE HAVE DIGITALISED THE COMPILING OF A GOOD PART OF THE POLICIES AND ENABLED NOT ONLY THE DIGITAL REPORTING OF CLAIMS, BUT ALSO SELF-ASSESSMENTS AND THE COMPLETE COMFORT OF OUR CLIENTS And to conclude this interview, we would like to congratulate you on receiving the 2023 “Oscars Quality” award. Generali Osiguranje Srbija has been declared the 2023 Champion of Excellence, while your CEO, Dragan Filipović, has been named the 2023 Leader of Business Excellence. — Thank you for congratulating us on these accolades that we received recently and that are important for both our company and our CEO, as a leader of business excellence. Accolades and awards weren’t our primary motivation when it came to the establishing of all processes, but they certainly represent a great responsibility and even greater motivation for us to be even better with each subsequent step, because in today’s world both clients and the public gauge and evaluate quality harsher and more frequently, and our strategy of establishing lifelong partnerships with clients is enough of a promise that we won’t let you down.

It was almost

years ago that we introduced the NPS (Net Promoter Score) system for measuring client satisfaction with all of our processes

CORPORATE

CLIENTS’ DIGITAL SECURITY IS VITAL In today’s digital world, when ever more people are using electronic services for their financial transactions, data security is becoming an indispensable part of banks’ daily operations urobank Direktna is committed to protecting the digital environment and recognises the importance of cybersecurity. With this need in mind, the role of corporate security is key to identifying, tracking and preventing cyber threats. All data used in doing business, including details of financial transactions and clients’ personal data, must be adequately protected and safeguarded against unauthorised access and abuse. In order

bank regularly updates information and utilises various channels of communication to inform its users about new forms of threats emerging on the digital market, together with guidelines for the secure use of banking services via the internet and mobile applications. As part of its strategy, the bank has developed special educational programmes for its employees, which are conducted periodically and focus on the recognising of different types of digital threats and preventative measures that should

to ensure the complete protection of data, Eurobank Direktna uses up-to-date and reliable encryption technologies, special measures for managing access and secure exchanges of information. With the aim of preventing cybercrime, Eurobank Direktna works continuously to raise awareness of this important topic. That’s why the

be applied. Cooperation with regulators is also an important element of the fight against cybercrime, and accordingly the bank regularly exchanges information and cooperates with relevant institutions in an effort to work together to create a safe digital environment. “In order to maximally protect clients when they are accessing dig-

ital services, Eurobank Direktna uses modern technological solutions. Registration for M-banking application, for example, is protected by two-factor authentication. The Bank also utilises hardware and software protection factors when using electronic banking, such as smart cards, tokens and single use security verification codes sent via text message. The secure and simple use of payment services via electronic services remains in our long-term focus. Eurobank Direktna takes all necessary measures to ensure unhindered operations and the protection of personal data, with continuous improvements and harmonisation with the latest technology standards and legal regulations,” says Dimitar Komlenović, Eurobank Direktna Executive Board member and head of the Digital Banking Division. One of the ways to protect against cyberattacks is to apply advanced, artificial intelligence-based solutions that enable the bank to identify unusual client activities on digital channels in real time and implement proactive measures that reduce the risk of abuse. Cybersecurity in banks demands continuous attention and investment to protect against constantly growing threats and new ones (such as Quishing, Phishing, Pharming, Ransomware, Virus, Browser hijacking etc.). That’s why Eurobank Direktna is committed to constantly developing and improving its digital services in order to enable simplicity, accessibility and certitude in the provision of financial services.

DIGITAL DIVIDE 2023

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“The Office for IT and eGovernment is an institution that has great experience in working with new and advanced technologies, infrastructure and project leadership, so it comes as no surprise that we were specifically chosen to be the competent institution for procuring, installing and managing a supercomputer, as the main computing resource in country,” explains Bogdan Stešević, head of the Group for Quality of Services and the Development of Artificial Intelligence, and manager of the Serbian National Platform for Artificial Intelligence (Office for IT and eGovernment).

How does the state data centre function?

BOGDAN STEŠEVIĆ Head of the Group for Quality of Services and the Development of Artificial Intelligence; Manager of the Serbian National Platform for Artificial Intelligence

INTERVIEW

SUPPORTING THE DIGITAL TRANSFORMATION OF BUSINESS All indicators show that, of all new technologies, artificial intelligence has the greatest impact on the economic development of society, and we perceive a need to work constantly to improve our supercomputer t was back in 2019 that the government adopted its Strategy for the Development of Artificial Intelligence from 2020 to 2025. In the part that refers to infrastructure requirements, the procurement of a supercomputer is also defined as being necessary

to creating a favourable environment for the work of all stakeholders in Serbia’s AI ecosystem. It would be offered for use completely free of charge to researchers and scientists from the academic community, but also to domestic startup enterprises that deal with AIbased innovations and solutions.

— The State Data Centre in Kragujevac (DDC) opened in 2020 and represents a special facility with the highest standards of reliability, which is confirmed by the certificate received from TÜVIT, as well as the decisions of the world’s largest IT companies to keep their equipment and data at the Data Centre. As an example, company Oracle offers its services to 28 countries from its base at the DDC. That’s why it was the only logical solution for us to locate our supercomputer in Kragujevac, where all the conditions required for that exist, and where our people can take care of this specific equipment throughout the entire year. After completing the installation and all the testing, we formally commemorated the launch of the work of the National Platform for Artificial Intelligence on 6th December, 2021, with officials in attendance including the President, the Prime Minister, the Mayor of Kragujevac and the U.S. Ambassador, as well as directors and deans of numerous institutions and colleges with which we signed agreements on the use of the AI platform.

With whom does the Office for IT and eGovernment cooperate the most?

DIGITAL DIVIDE 2023

How are the resources of the platform used?

on the development of software for data processing. Among the most notable projects is certainly the work of professors Mihailo Škorić and Ranka Stanković, from the University of Belgrade Faculty of Mining and Geology, on the largest composite language model for the Serbian language (with more than 700 million parameters), which has been created on the National AI Platform. We want to continue supporting teams that are dealing with work on large language models for the Serbian language, given that the existence of such opensource models provides numerous opportunities to create various new services and products. A large number of projects have resulted in numerous publications and scientific papers. I would emphasise in particular the fact that the National Platform

— The number of initiated training sessions and experiments in the last six months alone totalled 4,860. The number of projects developed on the platform exceeds 40, and among them are ones that are very significant at the global level, such as the LSST project. This relates to the world’s largest astronomical project, into which national foundations of the U.S. have to date invested 48 million dollars. A team of Serbian scientists (SER-SAG-1 team) is working

for AI project has also been recognised by the intergovernmental organisation OECD, which analysed 1,048 innovative projects from 94 countries and ranked our project among the world’s top 10. I had the honour of presenting our journey from idea to implementation, as well as the results we’ve achieved, at an OECD event, in front of more than 300 colleagues. All indicators show that, of all new technologies (IoT, Big Data, Blockchains, 5G etc.), artificial

— The Office has to this point signed agreements on the free use of the National Platform for Artificial Intelligence with 32 institutions, primarily university colleges and institutes. Apart from users hailing from the academic community, we also have an agreement with all four Science and Technology Parks in Serbia (Novi Sad, Belgrade, Čačak and Niš), as well as with the Innovation Fund of the Republic of Serbia. Those agreements enabled us to launch public calls for start-up companies (two to date) and we thus reached a total of 33 start-ups that have gained opportunities to work on the supercomputer and develop their ideas and products. We plan to make one or two new public calls for domestic start-ups over the course of the next year.

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DEMYSTIFYING THE SYSTEM The system itself consists of very powerful DGX A100 servers and contains 32 GPUs made by company nVIDIA. Apart from this, our users have at their disposal 1024 CPUs and 176 TB of fast DDN storage. For communication within computing nodes and fast storage, we use high-speed InfiniBand network technology, which is the type that’s also used by the world’s most powerful supercomputers. In addition to hardware, the Platform also includes software. The most interesting software for users is the Fast ML engine, which provides a user-friendly interface that simplifies the uploading of data sets, the creating of experiments and training, as well as tracking the entire course of training. Our users naturally also have access to the supercomputer via a terminal (with the help of an SSH client). We’ve endeavoured to render this Platform such that it is able to satisfy the requirements of all users.

intelligence has the greatest impact on the economic development of society, so when we consider this and take an overview of the needs of our own researchers and innovators, and trends around the world, we perceive a need to work constantly to improve our supercomputer. I hope that we will be able to offer even more advanced graphics processors over the next year and I’m certain that we’ll continue this very successful story.

To date,

start-ups have gained opportunities to work on the supercomputer and develop their ideas and products

CORPORATE

FOCUSED ON THE FUTURE The mission of Eviden Serbia is for OneCloud to transform its own operations, but to do so by relying on a longstanding and open approach and by fostering relationships, thus enabling clients to also transform their own business

ALEKSANDAR CVETKOVIĆ Head of OneCloud in Eviden Srbija

Eviden is an Atos Group company that has an annual revenue exceeding

billion euros

ith the development of its current resources and solutions, this company is preparing resolutely to apply technologies that will only become current in this region in the years ahead, with a focus on the possibilities provided by artificial intelligence and machine learning.

In the middle of 2023, following the division of French IT giant Atos, Eviden continues to operate on the Serbian market? What new elements have been brought by this split? — One of the largest carve-out processes in the IT industry resulted in the emergence of a new company called Eviden, which is the name we operate under on the Serbian market today. Eviden is an Atos Group company that has an annu-

al revenue exceeding five billion euros. With the new name, our focus has also changed. Tech Foundations, as an important sector of Eviden Srbija that’s recognised for providing traditional services in the field of IT infrastructure, has undergone a transformation and now, under the name OneCloud, is able to offer a wider portfolio of digital services.

ecosystems. Our team works constantly to improve the agility of the digital transformation process and continuously advance the composite IT architecture. We work diligently to improve our ability to continuously provide clients with constant optimisation, swift innovation and growth.

In which ways does the OneCloud sector respond to IT trends that are changing at an accelerated rate?

— Eviden OneCloud is looking to the future. With the development of our current resources and solutions, we are preparing resolutely to apply technologies that will only become current in this region in the years ahead. Alongside Cloud solutions, we are also focusing on the possibilities provided by artificial intelligence (AI) and machine learning (ML) that can improve the user experience, optimise operations and generate deeper insights into business data, thus having a major impact on the operational processes of every company. We are proud of the fact that we’ve already taken the first major strides in these areas. Standard IT services certainly remain part of our portfolio, and we will develop them by monitoring global trends and the demands of our clients and markets. Doing business in the IT industry is becoming increasingly challenging and dynamic from year to year, particularly in this region. This really motivates us to prepare ourselves in the right way, in order to be able to respond to the demands and challenges of the market and our clients.

— Current IT trends are led by a need to deliver value to customers faster, more efficiently and more securely. And, of course, one of the key factors in this process is Cloud Computing, which enables users to access scalable, flexible and cost-effective resources on demand. Cloud Computing enables automation, or the use of software tools and processes to perform tasks that would ordinarily require human intervention, while improving quality, reliability and productivity, but also reducing errors and risks. Clients are using Cloud solutions to transform their service delivery models, switching from traditional approaches based on lengthy projects to agile and DevOps methodology practices. We are assisted significantly in this by our collaboration with our global and local partners, particularly given that the OneCloud set of services implies public, private and hybrid models on the AWS, GCP, Azure, VMware and Oracle

What are your plans for the period ahead?

DIGITAL DIVIDE 2023

THE DIGITALISATION OF HEALTHCARE

DENMARK’S E-HEALTH JOURNEY Denmark has for years been an international front-runner in the area of digitalisation of the public administration, as well as healthcare he Embassy of Denmark to Serbia and the Government of the Republic of Serbia jointly organised a specialised invitation-only conference entitled “Digitalisation of Healthcare – Inspired by Denmark’s E-Health Journey”, which took place at Belgrade’s Palace of Serbia in late November. Denmark has for years been an international front-runner in the area of digitalisation of the public administration, as well as healthcare. E-health’s great expansion in Denmark is based on public-private cooperation between the government, regions, municipalities and industry stakeholders. This collaboration drives innovation and implementation, resulting in citizens receiving more efficient healthcare. The Embassy of Denmark and the Government of the Republic of Serbia recognise the strong potential

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for increased bilateral cooperation in the area of E-Health. With the aim of exchanging knowledge and experience in this area, the conference brought together top experts of institutions and private companies from both countries. The opening ceremony saw guests addressed by Danish Ambassador to Serbia H.E. Susanne Shine and State Secretary at the Serbian Ministry of Health, Professor Ferenc Vicko. Participants had an opportunity to hear the experiences of Danish public-private partnership “Healthcare Denmark” in Serbia for the first time, but also market leaders OpenTeleHealth, NETS, Falck and Novo Nordisk, which are among the Danish companies spearheading the digitalisation of healthcare. Conference attendees also heard from Serbian experts in the

field, including Đuro Radović, Assistant Minister of Health responsible for the Sector for Digitalisation, and Dejana Ranković, member of the Serbian Government’s Expert Team for Healthcare Digitalisation.

THE EMBASSY OF DENMARK AND THE GOVERNMENT OF THE REPUBLIC OF SERBIA RECOGNISE THE STRONG POTENTIAL FOR INCREASED BILATERAL COOPERATION IN THE AREA OF E-HEALTH 25

CORPORATE

KEEPING PACE WITH THE BEST The Government Data Centre in Kragujevac satisfies the highest levels of reliability, security and efficiency in the protection of equipment and data, as evidenced by the prestigious EN50600 class 4 certificate that is issued by German company TÜVIT. This is both great recognition and the best recommendation

DANILO SAVIĆ CEO, Data Cloud Technology

he Republic of Serbia has spent the past few years investing significant funds in digitalisation, ICT sector development and the construction of science and technology parks, while the construction of an innovation district in Kragujevac will begin next year and will create optimal conditions for the development of new business ideas and start-ups.

Serbia has positioned itself among the top 10 countries worldwide and the top five in Europe when it comes to achieving the most progress on the digitalisation of public administration. What proved decisive in achieving this progress? Does your Centre also deserve some of the credit? — The commitment and dedicated work of a large team, mostly comprising young engineers, has been decisive in achieving progress. It is also important to emphasise that the importance, advantages and benefits of digital-

isation were recognised on time in Serbia, which you will admit is not usual for us. We realised that data is among the most important resources in these times in which we live and we thus handle this resource in an appropriate way. We are keeping pace with the best, and we were on time in entering that race. The credit that the Government Data Centre deserves for the results achieved are primarily reflected in the infrastructure aspect of support for digitalisation. We guarantee the highest level of security, as well as easy and swift access to data.

DIGITAL DIVIDE 2023

Ever more digital services are easing the lives of citizens, because they are no longer required to visit the counters of institutions and thus waste their own time. Is their data safe and protected? — Before answering this question, I would like to note that the effect of digital services is reflected in the fact that the number of visits by citizens to counters over the last couple of years has reduced by several million less than would have been the case without these services. The data is safe and protected, a guarantee of which is provided by certification of the highest recognised security standards of the Government Data Centre. There is no improvisation and checks are rigorous. The certification process is long and complex, and when you comply with all requirements of the standards and prove that you operate in accordance with them, it is clear that you provide the strongest possible guarantees that the data is safe and protected. The capacities of the Government Data Centre are much h igh e r t h a n o t h e r ce n t re s around the region, and the technologies applied are the most modern in this part of Europe. What does that actually mean? — Apart from the fact that it applies the most modern technologies, all segments of the Centre are rendered redundant sectors. In practical terms, this means that all Data Centre systems can ensure the smooth operation of ICT equipment in the case of unforeseen circumstances. The maximum downtime on an annual basis practically cannot and must not exceed 18 minutes, i.e., the level of safety is 99.995%. Monitoring of all these systems is carried out 24x7x365, with the Operations Centre working continuously, tracking all applied technologies and reacting as and when required. cordmagazine.com

You were recently certified by German company TÜVIT, which confirmed that you satisfy the highest level of reliability, security and efficiency in the protection of equipment and data. Is this the biggest and best possible recommendation? — The Government Data Centre in Kragujevac is one of only eight centres in Europe that hold the EN50600 class 4 certificate (the highest class of data centre). Moreover, according to this criterion, we are the only such centre in Southeast Europe. It is perhaps illustrative to compare this data with sporting results in any discipline, where some of our competitors or teams are ranked in the top eight on the continent. The fact that Germany’s TÜVIT awarded us a certificate following complex analyses and verification seems to have given our success added weight in the eyes of the public. The essential fact is that the Data Centre truly operates in accordance with the requirements of this standard, and it therefore doesn’t matter who conducts the verification and certification. I don’t know what could be a better recommendation than being among the top eight in Europe. Late October saw you announce the construction of an innovation district that will form part of the complex of the Data Centre in Kragujevac. Will the foundations of that new building also represent the foundations of the further development of digitalisation in Serbia? — The Republic of Serbia has spent the past few years investing significant funds in the development of infrastructure capacities with the building of science and technology parks. The launch of the construction of the Innovation District in Kragujevac is planned for the first months of next year and, when completed, it will consist of a science and technology park and accompanying

infrastructure units. This will create optimal conditions for the development of new business ideas and start-ups. Digitalisation is an inevitable requirement of the times in which we live, and solid foundations to develop it have already been laid in Serbia. The Innovation District represents the next step, the implementation of new visions and our aspirations to be part of the developed world in this area, and for the ICT sector to thus contribute further to Serbia’s development.

THE GOVERNMENT DATA CENTRE IN KRAGUJEVAC IS ONE OF ONLY EIGHT CENTRES IN EUROPE THAT HOLD THE EN50600 CLASS 4 CERTIFICATE, SIGNIFYING THE HIGHEST CLASS OF DATA CENTRE A lot has been invested over many years in advancing digitalisation, developing the ICT sector and introducing the most modern technologies, including AI... Do we have enough experts for all that? There seem to be ever fewer of them opting to leave the country... — What I can say with certainty is that the development of the ICT sector creates major new prospects, that there are other cities in Serbia (apart from Belgrade and Novi Sad) where there are ever more good companies and young experts in this field who can make a decent living from their work, and that gladdens me. The education system is also being transformed in this direction, particularly at the level of universities. Time will tell whether this transformation is fast enough and of a sufficiently high quality. The market has a need for experts and we have talented and diligent children. All we need is an intelligent strategy for the education system and there won’t be any problem.

The maximum downtime in the work of the Government Data Centre on an annual basis practically cannot and must not exceed

minutes, i.e., the level of safety is

99.995% 27

BY MIODRAG RANISAVLJEVIĆ, DATALAB Automation, Artificial Intelligence and the Future of Accounting

CORPORATE

LET’S SIMPLIFY THE COMPLEX AND AUTOMATE THE SIMPLE! In the fast-changing business environment of today’s world, digitalisation has become a key factor of success for companies in all industries. And this trend also applies to accounting. The digitalisation of accounting processes brings with it many advantages and improvements that can have a significant impact on a company’s efficiency, credibility and performance. Let’s imagine the future working day of an accountant...

LET’S ENVISAGE THE FUTURE … In the light of a shimmering screen, the accountant sits in front of the crystal-clear glass surface of their holographic monitor, beginning their daily mission in the digital environment. The journey begins by pressing the keys of a virtual keyboard, thus launching a series of algorithmic routines that permeate through the ecosystem.

In this AI world, algorithms organise data into useful information like the most beautiful symphony. The accountant doesn’t start with mere routine bookkeeping, but rather dives into an ocean of information, shaping data with the help of artificial intelligence that’s been taught by machine. The accountant manipulates limitless digital records, turning the pages of virtual financial reports as though they are the manuscripts of some ancient library. Hands fly across the virtual keyboard, grabbing digital financial indicators that splash across the

holographic screen like an analytical whirlpool of numbers. With the help of artificial intelligence, pictures of the balance sheet and successes are observed, delving into the world of mathematical models with refined algorithms that reveal trends and expose potential risks. The ability to communicate with digital entities renders the accountant an intermediary between the human world and the domain of artificial intelligence. Through this digital symphony, they identify the harmony between complex algorithms and the needs of

DIGITAL DIVIDE 2023

business operations, transforming numerical data into the visions of business strategies. As the day comes to an end and the lights of virtual reality are slowly extinguished, the accountant returns to the real world, leaving behind the digital matrix moulded over the course of the day. They conclude their daily mission by closing the virtual books, preparing for a new day of adventures in this intangible world of accounting in the era of AI.

THE DOMAIN OF REALITY How can we arrive at the scene described above? How can we avoid errors in data entry, typos and other mistakes attributed to the human factor? How can we raise the levels of efficiency and productivity of an individual accountant and entire accounting agencies? How much time can be saved to work on analysis and the identifying of trends and risks? These are the questions that we ponder when considering the development of Pantheon for accountants. The future of accounting is bringing a revolution that will be reflected in automation, progressive electronic operations and the integrating of artificial intelligence. These technologies will change the way we do accounting and will markedly improve the analytical abilities of accountants.

AUTOMATION

For starters, all data should be in one place as digital (eInvoices) or digitised (document management system, DMS). All data and documents should be managed electronically, via simplified and defined business processes (eProcess). Only in that order can we switch to automation. Automation will take over monotonous and routine tasks like the accounting of transactions and digitising of documents, thereby reducing the risk of human error and freeing up resources for the cordmagazine.com

analysing and predicting of business trends. Doing business electronically won’t only enable faster exchanges of data between businesses, but also more transparent exchanges. Shifting to electronic operations will provide improved mechanisms for tracking and recording financial transactions, thereby improving the efficacy and accuracy of the accounting process as a whole. Predefined electronic processes that can be easily controlled through Pantheon enable users to leave it up to computers to complete their monotonous and routine operations. Process automation in accounting represents a crucial factor of evolution that’s transforming the way tasks are performed in this field. In accordance with ever-advancing technological progress, accounting functions are being oriented towards automation in order to increase the efficiency, precision and optimisation of resources. One of the key aspects of the automation of accounting is the implementation of software tools for process automation. These tools enable the automation of routine tasks like invoicing transactions, processing invoices, generating reports and monitoring financial flows. Through the use of AI- and machine learning-based software solutions, accounting processes will be faster, more precise and less exposed to possible human error. One of the key advantages of automation is freeing employees of the time required to perform routine tasks. This enables accountants to focus on analysing data, making strategic decisions and offering value through a deeper understanding of financial information. Instead of wasting time performing manual tasks, employees can utilise their skills and expertise to provide the company with added value. Moreover, process automation in accounting leads to increased accuracy and a reduced risk of error. Programs that use technolo-

gies like optical character recognition (OCR) enable the swift analysis and recognising of documents, thus reducing the possibility of human error during data entry work. It is nonetheless also important to note that process automation demands careful planning and implementation. Companies need to be cautious when it comes to selecting software, adapting systems and training employees, in order to ensure the automation process is efficacious and optimal.

ALL FOR ONE AND ONE FOR ALL – ACCOUNTING CONSOLE The advantages of the aforementioned processes are obvious to every individual company, but how can they be duplicated onto other companies? How can it be made possible for accountants to manage numerous client databases from one place? The scene described in this article’s introduction could soon become a reality with the use of the Accounting Console, which is an integral part of Pantheon accounting software. The Accounting Console enables the automating of accounting procedures, checking error alerts and reviewing work undertaken. It is intended to render accounting work more efficient. Some of its basic functions include: overviewing work conducted in multiple databases and transferring data to periodical invoicing. There is also access to control printouts of general ledgers for multiple databases of a company in one place, the daily submission of control printouts via email, accessing documents and printouts in other databases via shortcuts, the automatic accounting of issued and received invoices, limiting access to, or insight into, individual parts of the program on the basis of granted authorisations, data export, converting codebooks and reports into pdf or excel for further processing, creating customised reports and analysis of finalised standard reports. www.datalab.rs

THE AIM OF THE ACCOUNTING OF THE FUTURE IS TO REDUCE THE PERCENTAGE OF DATA ENTRY ERRORS DRASTICALLY AND ELIMINATE TYPOS, I.E., TO MINIMISE ALL ERRORS RESULTING FROM THE HUMAN FACTOR

CORPORATE

DUN & BRADSTREET SECURES THE QUALITY OF YOUR DATA For almost 200 years, Dun & Bradstreet has been helping clients and partners grow and thrive thanks to data, analytics and solutions

ur more than 6,000 employees around the world are dedicated to this unique purpose, and we are guided by important values that make us the established leader in the field of analytical insights and business decision-making data.

WONDROUS DATA CLOUD The data in our solutions encompasses the entire world and provides our clients with access to one of the world’s largest commercial databases, with records of more than 500 million companies in 220 countries worldwide. These are just a few of the fantastic figures proving that Dun & Bradstreet is a global leader in B2B data.

Our Data Cloud contains

90% 500 1.3 of all Fortune

companies, with two billion updates annually,

OUR SOLUTIONS CAN ACCELERATE YOUR GROWTH

billion match points…

Our data and insights are invaluable at all phases of a business lifecycle, regardless of the economic environment and the difficult political circumstances in any country. With the support of our experienced experts, our clients can increase their revenue, reduce their costs and

risks, and transform their companies. Safeguard the quality of your data, improve your relations with clients and automate important decisions. With just a few clicks, you can check out and get acquainted with potential clients before sealing any deal.

“Financial metrics are among the most important data for our clients, as they help them assess the risk and potential of their business partners. Apart from the core data, with legal proceedings, insights into ownership and payment behaviour, D&B presents a precise and time-specific picture of how companies emerge, grow, mature and, in the end, collapse,” said Frank Wenz, Dun & Bradstreet Area Data Director for Central Europe.

INTERNATIONALLY RECOGNISED CERTIFICATE FOR THE BEST COMPANIES As a consequence of the tumultuous events of recent years, it is especially tough to find reliable and stable business partners. The best com-

panies distinguish themselves with their outstanding payment discipline and good business relations, while simultaneously achieving excellent business results and taking care to ensure the satisfaction of everyone involved in business processes. This is why D&B represents a role model for other companies and enjoys an excellent reputation on the market. With the help of precise methodology, Dun & Bradstreet calculates the creditworthiness of individual companies and marks them with a rating letter from A to E. This means that the success of a company is determined by it having reliable documentation, and that is calculated by an independent global credit rating agency. Only the best companies have a credit rating of excellent. The D&B Certificate of Credit Rating Excellence proves that a company ranks among the best in Serbia and the region – signifying that it operates successfully and responsibly, with high quality. Such a reputable business partner is the collaboration wish of every company. D&B certificates confirm, both on the domestic and international markets, that the recipient company is reliable, stable and secure for doing business. It contributes to gaining new customers and suppliers, thus helping you to write a new success story. For many companies, it represents a reward for effort exerted, while at the same time providing them and their employees with motivation to continue developing, improving and advancing. Contact us and check out how we can help your company: www.dnb.com/sr-rs/ info.rs@dnb.com +381 60 3788 868

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DIGITALISATION

MECHANISM DRIVING DIGITAL TRANSFORMATION The EDGE project represents a catalyst for the digital transformation of Serbia’s public administration and has enabled numerous domestic companies to engage in this process and to participate – together with the World Bank and the Office for IT and eGovernment – in building Serbia’s digital society

E N A B L I N G

D I G I TA L

G O V E R N A N C E

ith World Bank support, the “Enabling Digital Governance” (EDGE) project was launched in 2019 with the task of fully digitalising the public administration and offering more efficient services to citizens and businesses through the construction of a more transparent and modern system adapted to the requirements of the digital age. The EDGE project aims to improve access to, and the quality and efficiency of, selected public services. The project encompasses all steps in the digitalisation process, through three key components: laying the foundations for the delivery of digital services; tailoring digital services to citizens; developing digital skills.

LAYING THE FOUNDATIONS FOR THE DELIVERY OF DIGITAL SERVICES The basis for the successful digitalisation of public administration services is represented by developed and adaptable digital infrastructure. That’s why a platform for interoperability is being developed and financed in the scope of the project, as an integrated tool for securely exchanging data between state bodies. With the development of this platform, state bodies will be able to exchange required data and electronic documentation when providing services to citizens and businesses. EDGE has a key role to play in consolidating key public registries and creating a unique meta-registry that improves effi-

ciency and simplifies access to data. This process not only lessens the burden placed on the administration, but rather also enables the harmonisation of data from various registers. Through the consolidation of key registries, such as registers that are under the jurisdiction of various institutions and ministries, including taxes, customs, the population register, cadastral register and the like, an all-encompassing platform will be created that eases access to information in an integrated way. This process is expected to result in a Meta-Registry harmonised with the central IoP, thereby achieving the synchronisation of key registries in accordance with the highest standards. The establishing of this meta-registry will achieve better co-

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WE WILL SEE THE DIGITALISATION OF MORE THAN 30 NEW SERVICES FOR CITIZENS IN THE PERIOD AHEAD ordination and data sharing between different sectors and state bodies. One of the key roles in the digitalisation process is also played by data management and data protection, which is why the project also encompasses support for the work of the State Data Centre in Kragujevac, which includes the procurement of hardware and software and connectivity systems. This serves to improve the general state of readiness of the Republic of Serbia to respond at the national level to risks in the digital environment. cordmagazine.com

Securing the privacy of data in the digital environment is an aspect that implies the responsible and ethical handling of personal information. It is essential in this process for state bodies to protect the rights of individuals and enable the realising of the benefits of this technology without compromising on data privacy. With this need in mind, the project also envisages the financing of activities related to the drafting of by-laws on eGovernment and regulations governing cybersecurity. This project has already provided for the setting up of a new network of state bodies, which ensures the high availability of data and the optimal utilisation of network resources; a network operations centre (NOC) that provides the possibility to orchestrate network resources; a security operations centre (SOC), with functions that manage high-risk online transactions; and a computer emergency response team (CERT) with procedures and tools for handling online emergencies. In a very short period, through these activities, conditions have been secured to provide for the sustainability of network functions that are essential to the daily work of state bodies. The project’s support to advance critical infrastructure is continuing through the establishment of a cybersecurity laboratory and a training centre, with further investments in systemic solutions for maintaining information security and cloud environments.

DIGITAL SERVICES TAILORED TO CITIZENS The project’s second component relates to the advancing of background processes to reduce administrative burdens and increase the efficiency of service delivery, which is conducted through the reengineering, digitalisation and piloting of selected eServices. The project provided for the compiling of a comprehensive catalogue of administrative services intended for citizens. In the process of drafting the catalogue, over 2,000 administrative processes were identified on the basis of citizens’ requests and methodology was established for the classification and qualification of administrative processes for reengineering and digitalisation. In the phase of reengineering administrative processes, over 150 services were

identified and prioritised for further automation and the elimination of superfluous procedures. The project envisages the digitalisation of the largest number of these services, as well as the improvement of the most frequent services that are already in use. We will see the digitalisation of more than 30 new services for citizens in the period ahead.

DEVELOPING DIGITAL SKILLS

Through constant advanced training and support for the development of the digital skills of employees, the public sector becomes more agile and adaptable, and better able to respond to changes in the digital environment, thereby further improving the efficiency and quality of the provision of services to citizens. Within the framework of the EDGE project, training courses are conducted at the National Academy of Public Administration. More than 8,000 civil servants have to date undergone mandatory training in electronic office operations, while further training programmes are currently in the process of being accredited for 2024. The project is striving for all future training to be conducted 100% online, with the aim of maximising the response of participants and eliminating the logistical costs of attending training centres. A key role in the further development of eGovernment and the services it provides is played by feedback received from citizens and businesses. One of the project’s primary goals is to establish an active mechanism to engage citizens in assessing their experience of services provided. The views of citizens and business sector representatives will also be examined during the project, via specially created surveys of the public or focus groups, in order for the findings to be used to achieve the best possible project results. The project also implies intensive external communication and a promotional campaign to be implemented during the first half of 2024. The project is being implemented in cooperation with numerous domestic companies, which have for the first time received an opportunity to participate – together with the World Bank and the Office for IT and eGovernment – in building Serbia’s digital society.

OPINION

BIG TECH CANNOT BE REGULATED Big Tech is so profoundly different from other industries that it cannot be regulated like the trusts, cartels, or conglomerates of the past. After all, if regulators tried to break up Facebook or TikTok, they would be confronted by enraged users for whom the universal nature of these platforms is the reason they use them By Yanis Varoufakis

odern societies have had to deal with exorbitant market power for more than a century. But is Big Tech’s power over us novel? Is Google, Amazon, or Meta inherently different from Standard Oil in the 1920s, IBM in the 1970s, or Walmart more recently? If not, then perhaps we can regulate Big Tech by means of legislation harking back to the United States’ 1890 Sherman Antitrust Act. Lina Khan, the chairperson of the US Federal Trade

Commission, is valiantly trying to do just that. Sadly, it won’t work. Big Tech is so profoundly different that it cannot be regulated like any of the trusts, cartels, or conglomerates we have hitherto encountered. Adam Smith’s portrait of capitalism as a market town where family-run butcheries, bakeries, and breweries promote the public interest through open-ended, morally grounded competition bears no resemblance to modern economies. Virtually every industry –

from railways, energy, and telecommunications to soap powder, cars, and pharmaceuticals – is a cartel of gargantuan conglomerates whose stranglehold is only occasionally loosened when politicians muster the will to enact and enforce antitrust legislation, even at times using it to break them up. Why can’t the same be done to Big Tech? What makes it unique? Antitrust regulation was originally designed to prevent price gouging by megafirms that restricted supply until the price hit

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a level maximising their monopoly profit, at the expense of consumers and workers (whose employment falls alongside output). Obviously, this is irrelevant in the case of Big Tech’s services, which are free of charge and free of supply constraints. When US President Theodore Roosevelt led the charge to break up Standard Oil, it was technically simple, even if politically courageous. But how does one break up Amazon, Facebook, Paypal, or, indeed, Airbnb, Tesla, or Starlink? If the government tried, it would be confronted by enraged users for whom the universal nature of these platforms is the reason they use them. Free services mean that users are not the customers; that role is reserved for the businesses that need to use Big Tech’s algorithms to reach the services’ users. When Amazon or Facebook charges sellers an arm and a leg for the privilege (thus extracting from them a form of cloud rent), regulators face an impossible political conundrum: they must sail against the winds of public opinion (the millions of users whom Big Tech enlists to its cause) to protect capitalists from these techno-feudal lords, or cloudalists, as I call them in my recent book Technofeudalism: What Killed Capitalism. That’s a huge ask. Moreover, it is not even the main reason behind Big Tech’s exceptional power. Big Tech must not be confused with High Tech. Industrial robot manufacturers such as ABB, Kuka, Kawasaki, and Yaskawa produce splendid technological miracles but do not have Big Tech’s power over us. In the 1960s and 1970s, IBM’s computers had a stranglehold over government and the private sector, supplying them cutting-edge (for the time) machines. AT&T too had a virtual monopoly over telephone services, until it was broken up in 1984. But neither IBM nor AT&T had anything like Big Tech’s control over us. cordmagazine.com

O n e re a s o n i s t h a t i n te rnet-based platforms like WhatsApp and TikTok benefit from massive network effects: with every new user they attract, the services they offer become more valuable to existing users. AT&T’s network effects depended on charging more for calls to other telecom companies’ customers – an advantage that the regulator easily eliminated by banning carriers from charging more for calls to other companies’ customers. But how can regulators cancel X’s or Facebook’s network effects? Interoperability would mean enabling you to take all your posts, photos, videos, friends, and followers from X and Facebook seamlessly to another platform (say, Mastodon) – a virtually impossible technical feat, unlike the simple task of letting AT&T customers call Verizon customers at no extra charge. Even the difficulty of imposing interoperability is not Big Tech’s greatest source of power. In the early 1970s, IBM monopolized the means of computation in a manner that differed little from Standard Oil’s energy dominance or Detroit’s near-monopoly of private transportation. What made Big Tech different from IBM was a stupendous singularity. No, its machines did not become sentient, Terminator-style. They did something more interesting: they transformed themselves, with the help of snazzy algorithms, from produced means of computation to produced means of behavioral modification. In our capacity as consumers, Big Tech’s cloud capital (such as Alexa, Siri, Google Assistant) trains us to train it to offer us good recommendations of what to buy. Once cloud capital has our trust, it sells the stuff it selects for us directly to us, bypassing all markets. Cloud capital’s owners, the cloudalists, charge these vassal producers cloud rents while we, the users, work for free – with

every scroll, like, share, or review – to replenish their cloud capital. As for the proletarians in the factories and warehouses, they, too, are hooked into the same cloud capital, with hand-held or wrist-mounted devices that drive them, like robots, to work faster under the algorithm’s watchful eye. Under techno-feudalism, regulators can do little for us, because we have forfeited full ownership of our minds. Every proletarian is turning into a cloud-prole during working hours and into a cloudserf the rest of the time. Every

UNDER TECHNO-FEUDALISM, REGULATORS CAN DO LITTLE FOR US, BECAUSE WE HAVE FORFEITED FULL OWNERSHIP OF OUR MINDS. EVERY PROLETARIAN IS TURNING INTO A CLOUD-PROLE DURING WORKING HOURS AND INTO A CLOUD-SERF THE REST OF THE TIME self-employed struggler mutates into a cloud-vassal and a cloudserf. While private capital strips all physical assets around us, cloud capital goes about the business of stripping our mental assets. So, what must we do? To own our minds individually, we must own cloud capital collectively. It’s the only way we can turn cloud capital from a produced means of behavior modification into a produced means of human collaboration and emancipation. It may sound pie-in-the-sky. But it is less utopian than putting our hopes in government regulation of Big Tech.