Hellenic Business Association 2009 by CorD Magazine

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hellenic business association www.hba.rs

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CORRIDOR OF COOPERATION

Corridor of cooperation

hellenic business association

EDITOR Petar Zorić ASSISTENT EDITOR Mark R. Pullen ART DIRECTOR Tamara Ivljanin t.ivljanin@cma.rs EDITORIAL MANAGER Tamara Čanković SPECIAL THANKS TO: Petros Tsarouchis, Nela Kalođera , Nataša Milinković & SIEPA EDITORIAL CONTRIBUTORS Nenad Radojević, Ana Stojanović, Vladan Alimpijević PHOTO Đorđe Stanić, Petar Lazović SALES Vesna Vukajlović, v.vukajlovic@cma. rs; Tanja Milićević, t.milicevic@aim.rs; Maja Vidović, m.vidovic@aim.rs GENERAL MANAGER Ivan Novčić i.novcic@cma.rs FINANCIAL DIRECTOR Ana Besedić a.besedic@cma.rs OFFICE MANAGER Tanja Banković, t.bankovic@cma.rs PRINTING Rotografika d.o.o. Segedinski put 72, Subotica HELLENIC BUSINESS ASSOCIATION - CORRIDOR OF COOPERATION 2009 published by: alliance international media Knjeginje Zorke 11b, 11000 Belgrade, Serbia Phone: +(381 11) 308 99 77, 308 99 88 Fascimile: +(381 11) 244 81 27 E-mail: office@ allianceinternationalmedia.com www.allianceinternationalmedia.com ISSN no: 1451-7833 All rights reserved alliance international media 2009

4 Hellenic Business Association / 2009

CONTENTS

22. 24. 8

. INTERVIEW Stylianos Liagis, Minister Plenipotentiary for Economic & Commercial Affairs at the Embassy of Greece to Serbia Brotherly approach INTERVIEW Vasilios Ntertillis, HBA President of Management Board

LEADERS Positive opinions Top Greek Investors

36. 40.

COMMENT Dr. Milan Parivodić partner Wolf Theiss - Greeks are very welcome!

42.

TOURISM Top destination FEATURE Bound together by history

28.

CULTURE Ancient & Modern

32.

INTERVIEW HRH Princess Katherine Karađorđević

Supporting society

46.

SPORTING TIES – Call a Serb for

Success

18.

ECONOMY Greece: A New Era

34.

INTERVIEW Michail Kefalopoulos

49.

DIRECTORY

IMPROVING BUSINESS OPPORTUNITIES The Hellenic Business Association of Serbia is a private, non-governmental, non-profit organisation established on 3rd December 2003. Its members are 48 local legal entities with a minimum of 50% Greek capital, currently employing more than 20,000 people in Serbia. Greek-owned companies in Serbia are involved in various business segments (banking, food & beverages, telecommunications, retail, tourism, construction, heavy industry, various services, etc.), thus managing to elevate Greece to the top of the list of foreign investors in the country, with total invested capital exceeding the amount of â&#x201A;Ź2.5 billion and constantly increasing.

OUR GOALS To broaden and encourage potential Greek investors to come and invest in Serbia, which is one of the Balkansâ&#x20AC;&#x2122; most strategic markets. To promote Greek best business practices, know-how and partnerships between Greece and Serbia, resulting in the further development of the economic environment of the country, through investments in all market segments. To provide a platform for networking, business promotion and information sharing among our members, as well as potential Greek investors. To foster a dialogue between key business

and government entities and, if needed, make concrete reform proposals and suggestions, in order to broaden, enlarge, accelerate and further improve economic relations between the two countries. To promote communication between existing and potential Greek investors and the Serbian authorities. To assist and support the Greek business community in Serbia, in all kinds of issues that would improve and increase the business volume between the two countries.

BY H.E. DIMOSTHENIS STOIDIS,

Ambassador of the Hellenic Republic to Serbia

Spirit of Partnership

he longstanding friendship and durable relationship binding Greece with Serbia have been tested during many years. I sense, therefore, that this special edition of CorD magazine offers a unique occasion to acknowledge the wide spectrum of the current economic, commercial and cultural engagement of Greece in Serbia. Finance, business, tourism, culture, sport, environment and humanitarian aid are particularly highlighted in the range of activities marking the manifold Greek presence in a country deserving a clear European future. Greek investment over recent years, which has resulted in positioning Greece among the most important investors in Serbia, is significant proof of confidence, manifested by the Greek business community in Serbiaâ&#x20AC;&#x2122;s economic potential. Greek entrepreneurs value the positive business environment which is shaping in conjunction with the continuing reform process. The current global economic downturn must be seen as a market prospect, which can further strengthen bilateral trade and business relations between our peoples. Humanitarian and development assistance provided by Greece is another field where Greece, through well targeted initiatives and encouragement of direct Greek investments, has proven its readiness to boost the growth of the Serbian economy to the benefit of the Serb society. Furthermore, the current special edition of CorD does render the reader more familiar with the Greece of today, the contemporary profile of a leading player in the region; a nation consistently committed to enhancing its efficiency and competitiveness, being a true advocate of Serbiaâ&#x20AC;&#x2122;s admission to the EU along with other countries of Southeast Europe, in the spirit of the Thessaloniki Agenda. In a constantly changing world, we need to accelerate the pace of our efforts in order to stand up to the challenges and demands we are faced with. Last but not least, I am happy and honoured to announce the official visit of H. E the President of the Hellenic Republic to Serbia, symbolising the special relationship between our two nations.

Sincerely yours, Dimosthenis Stoidis Ambassador

INTERVIEW

Stylianos Liagis, Minister Plenipotentiary for Economic & Commercial Affairs at the Embassy of Greece to Serbia

BROTHERLY APPROACH “I would like to personally invite Serbian businessmen to establish contact with our Office. We can provide them with complete information on possible joint ventures, particularly in the energy and tourism sectors”

How would you sum up Greek investment trends in Serbia since 2000? Why do you say ‘since 2000’? There is a discrepancy, if not a Greek complaint, because Greek businessmen came to Serbia before 2000 to do business with the people and not with anz political regime. Greek companies have been here for a long time doing business with the Serbian people, independently of the political establishment, as a friendly, neighbouring country. Having already developed connections with Serbia, Greek businesses nowadays want to maintain and enhance that multidimensional co-operation.

By Mark R. PULLEN Photo: Časlav VUKOJIČIĆ

Greek-Serbian co-operation to date could be just the tip of the iceberg.

reek businesses are continuing to arrive in Serbia, despite the global downturn. As we spoke to Minister Liagis, his office was hosting a delegation of 26 Greek businesspeople, while staff were preparing for the arrival of another business delegation – and that in the context of the upcoming visdit of the Greek President of the Republic. With a long-established business and social presence in Serbia, multi-sector delegations visiting regularly and ambitious plans to explore third markets jointly, it seems that the substantial

How is this latest trade delegation finding Belgrade? This delegation of 26 businesspeople from all over Greece is in Belgrade under the auspices of the Hellenic Foreign Trade Board. It has had very successful meetings – successful in the sense that they met very interesting counterparts who understand what Greek businesses want and understand the broader vision of co-operation. They were also delighted by the way the Serbian Chamber of Commerce organised various events during their visit.

8 Hellenic Business Association / 2009

Well, we all use the year 2000 as a benchmark because that’s when the regime change saw the Serbian market open up, the privatisation process restart and foreign investors arrive. Wasn’t it only after 2000 that major Greek companies started to arrive? Well, Coca-Cola HBC and Delta (frozen foods) and the Greek telecommunications organisation were here even before 2000. Let me stress that we’ve been here much longer, doing business with Serbian companies and not political parties. Up to 2000, Greek investments here amounted to €400 million and so we should not forget that Greece was Serbia’s top business partner in the ‘90s. Since 2000, we have realised investments in Serbia worth €2.1 billion. We always claim that Greece is Serbia’s first investment partner, simply because we look at the total time-

line and not just the political one. The fact of the matter is that Serbia existed before 2000 and wasn’t born with the collapse of the Milošević regime. Which sectors are Greek businesses covering in Serbia? Primarily banking, telecommunications and energy, then cement production and industry in general; chemicals, pharmaceuticals, foods & beverages (Super Vero supermarkets, Coca-Cola HBC, sugar refinery), etc. Where do you see untapped opportunities for Greek investors in Serbia? In everything. For our part, we are very closely analysing developments in the energy sector, because Greece would be interested in developing cooperation with Serbia in this sector. Are Greek companies involved in the development of hydro-electric plants or renewable energies? The Greek side is waiting for the Serbian law covering industry, and more specifically energy, to become clearer; for rules and regulations governing the sector to be defined, so that Greece can form a strategy and establish contact with the appropriate Serbian authorities. We are also interested in renewable energy sources – particularly solar energy and wind farms. Does the presence of Greek banks offer any tangible benefits to Greek investors, or is their presence merely

psychologically encouraging? There are four Greek banks successfully operating in Serbia – Alpha Bank, EFG Eurobank, the National Bank of Greece (Vojvođanska) and Piraeus Bank, while the Agricultural Bank of Greece owns 20 per cent of Aik Bank. Their presence brings benefits to everybody, both Greeks and Serbians, businesses and private citizens, because they participate in Serbian governmental measures (aimed at strengthening the Serbian economy in light of the global crisis) by providing so-called ‘soft loans’ to both businesses and the general population. They do offer benefits for Greek businesses, but only so far as they offer benefits for Serbian businesses. They came here to establish themselves on the Ser-

can expect from Serbia. I advise them to come into contact with our Office. We will do a preliminary investigation on their behalf and then together we can sit down and, on the basis of that investigation, formulate ideas and set up a strategy. If they just turn up unannounced and start talking to the first person they meet, then surely they’re mathematically doomed to failure. I say this only because that was what many Greek businesses did in the first days of their arrival here. Instead of approaching in a cautious and structured way, they would simply appear at random. Those days are gone. This was a negative attitude and a mistaken approach which was proved wrong and many small Greek companies – though companies of

The Serbian Government has taken many positive steps aimed at clarifying the legal framework bian market and not merely to support Greek business developments here. The fact that Greek banks operate here is a plus and can be an encouraging factor for Greek businesses that are considering an investment in Serbia, but it is by no means the main reason or decisive factor swaying their decision. What advice would you give to a Greek investor considering Serbia? First of all, to know its own capacities exactly; to know its limitations and what it wants to achieve and what it

good faith – simply disappeared. Now we have well-structured companies that come here knowing who they are and what they want. Apart from a lack of preparedness, what pitfalls or business risks would you single out for them to beware of? This depends on general market, economic and financial circumstances, both generally in Serbia and internationally. Let’s not forget that nowadays we are bound to the international economic climate. As such, there

INTERVIEW tries, local chambers of commerce, etc.? I would firstly characterise the people here as wholesome and sincere. We approach each other on a more-orless personal basis. They are always friendly and always eager to try, with their whole heart and all means, to be helpful. If they fail, this tends not to be their individual fault but rather the fault of the general system. I must say that all ministries and governmental agencies here, as well as regional agencies and chambers of commerce, have impressed us through their goodwill, friendliness and the willingness with which they respond to our requests. Even in cases when the result is not the one desired, we are still very satisfied with their goodwill and friendly approach. One sector where Greece is a world

All ministries and governmental agencies here have impressed us through their goodwill are factors that cannot be predicted. At the end of the day, if they come here they have to pay the price of the flight. Nobody can guarantee success to anybody. Who could believe that General Motors would go bankrupt? If GM can fold, then how can we possibly guarantee the success of a Greek SME coming to Serbia? That said, the truth is that since 2000 the Serbian Government has taken many positive steps aimed at clarifying the general legal framework and it is now much improved.

player is tourism. As well as investing in hotels, are Greek tourism experts offering any assistance to Serbia in the form of consultancy or partnerships on tourist centre development? Through our investments in the field of tourism, we are convinced that we are helping to improve the general tourist infrastructure of Serbia. Greek companies own the Hyatt, IN Hotel, the Metropol and the Hotel Excelsior, while it seems that a lot of Greek chains will begin arriving soon.

How are your relations with the Serbian Government, individual minis-

Where do you see opportunities for Serbian investments in Greece or Greek-

Serbian partnerships internationally? This very important matter has been discussed within our embassy and among Greek businesspeople here many, many times, and will be discussed again during the forthcoming visit of our President. A gentleman representing the Greek agency for promoting foreign investments in Greece will give a speech at a forum entitled ‘Dynamics and perspectives of GreekSerbian economic co-operation’ that will take place on 3rd July at the Hyatt. He will analyse all of the opportunities offered to foreign investors in Greece and we shall try to put him into contact with interested Serbian parties, including members of the Privredni Club, to present them with a clear and analytical picture. He will not only invite them to Greece, but will also examine with them the possibilities of developing joint Greek-Serbian ventures in third countries. I would also like to personally invite Serbian businessmen to establish contact with our office and we can provide them with complete information on possible joint ventures and common actions. How competitive do you think Serbia is as a place for doing business? Compared to other Balkan countries, I think Serbia has been slightly belittled by Europe, considering the existing positive business environment and human resources that are available in this country. In my and our opinion, Serbia has every right to claim that it has full capacity and all of the qualities needed to become a full member of the European Union. Instead, Serbia is blocked and can’t develop itself in the way it would like – whatever that entails.

LONG TERM

ENERGY

EU READY

Up to 2000, Greek investments here amounted to €400 million... Serbia existed before 2000 and wasn’t born with the collapse of the Milošević regime.

We are closely analysing developments in the energy sector, because Greece would be interested in developing cooperation with Serbia in this sector.

In my and our opinion, Serbia has every right to claim that it has full capacity and all of the qualities needed to become a member of the European Union.

10 Hellenic Business Association / 2009

ECONOMY

POSITIVE PERFORMANCE IN 1st QUARTER OF 2009 Piraeus Bank AD Belgrade, a member of Piraeus Bank Group, has been present on the Serbian market since May 2005.

n the four years of its operation on the domestic market, the bank has developed to become a strong, open and stable financial organisation that will continue to reinforce Mr Dimitris its position as a Frangetis Chairman flexible and conof Piraeus Bank structive partner Executive Board for its Retail, SME and Corporate clients, but also continue to act as a responsible CSR organisation within the local community. Marking its 4th anniversary of successful operations in Serbia, Piraeus bank summarised and rated its business results. Despite the economic crisis, the bank has realised positive accomplishments in Serbia in the first quarter of 2009. The key indicator of such positive developments is the increase in total assets, which reached €648.7 million in the first three-month period of 2009, including assets booked by the London branch on behalf of Serbia. At the end of this year’s first quarter, the bank had a loan portfolio totalling €614.4 million, marking growth of 28.9% compared to the €476.8 million a year before, while deposits reached €108.7 million. Net interest income amounted to €8.4 million, growth of 52.7%, and operating income attained a total of €9.6 million. The bank’s commitment to the Serbian market and determination to continue in this

direction is confirmed by the fact that in 2008 Piraeus Bank had its capital increased by €50 million; hence on 31st December 2008, total capital amounted to €138.6 million. “Piraeus Bank has strong vision and determination to become one of the top tear financial institutions on the Serbian market. We have an ambitions yet conservative plan for this year in all business sectors, so we are preparing a set of very attractive products and services for ever changing client’s needs. “Piraeus bank has already started negotiations with the European Investment Bank to secure additional funding for SME, infrastructure and municipality lending, in order to enlarge its loan portfolio. Besides that, Piraeus Bank has reconfirmed in practice its ability and commitment to provide funding to the local market with attractive terms by submitting a most competitive loan offer to the Serbian State.

“Despite a very difficult economic situation, Piraeus Bank will continue to follow world trends in using new technology to improve the banking sector, creating services in order to best satisfy clients’ needs and support local communities through different CSR activities.” stated Mr Dimitris Frangetis, Chairman of Piraeus Bank Executive Board. During the course of its four years operating on the Serbian market, the bank has increased its number of employees by creating 400 new job positions, providing work for 570 employees. Piraeus Bank currently operates through a network of 47 full branches. According to the new CSR strategy, Piraeus Bank will create platform branch entrances for wheelchairs in some Belgrade locations and in some other cities. By opening branch offices suited for persons with disabilities, Piraeus Bank is seeking to make their daily activities easier and show that it is taking care of the most marginalised citizens of Serbia. These branch offices will be marked with a visible sign, while information about these specially equipped branch offices will be placed on the Piraeus Bank Website and all other promo material.

Piraeus bank Belgrade branch office in Takovska str 49b 2009 / Hellenic Business Association 11

INTERVIEW

CALCULATED RISK Vasilios Ntertilis, President of the Hellenic Business Association in Serbia

I can offer both Greek and Serbian businessmen the same advice: “invest your money and don’t be afraid”.

ments in Greece, but the presence of heavy industry, for instance, is very low. In the shipping industry, Greece is still a dominant force. Nowadays they operate under different flags, based on their business systems, but Greece is still among the first countries in shipping worldwide. Shipping is also linked to tourism, with many ship owners running cruises and passenger voyages.

The Hellenic Business Association (HBA) supports Greek and Cypriot newcomers to the Serbian market by providing information and assistance, while helping to establish contacts. As HBA’s president Vasilios Ntertilis explains: “we are trying to encourage the expansion of the businesses of Greek companies here, identify opportunities for Greek-Serbian partnerships and encourage Serbian businesses to identify opportunities in Greece.” I was recently told that Vojvodina is more competitive than Greece in certain sectors. Is that even possible? We can all say whatever we want and nobody can prove anything. I was arguing with Minister Dinkić about which country is the top investor in Serbia. He claimed that it’s Austria. I respond12 Hellenic Business Association / 2009

ed by simply saying that my data clearly showed that it is Greece, but I will never fight with a minister. Based on the system that exists, it’s practically impossible to discover exactly how much money the companies from each country really invested at this moment. Tomorrow it could already be different. Which sectors does Greece excel in; tourism...? Whenever anyone mentions Greece, the mind immediately turns to tourism, but Greece is also strong in agriculture and the fishing industry, high level textile production and food processing. Entertainment businesses ( Grand Casino) is developed as well We’re quite well developed in the banking sector, in terms of domestic invest-

And which of those sectors is Greece exploring in Serbia? Well, not shipping. Greek banks are doing very well here. Banking is number one. We have four and now five banks, with Marfin. In production we have cement and ice cream, with Nestle Southeast Europe based in Greece, Coca Cola Hellenic Serbia and many more. Other areas of interest for Greek companies in Serbia include retail, with the likes of Super Vero, and energy, with Hellenic Petroleum, while other midsized Greek companies are establishing both commercial and production operations here in different products. When are we going to see a decent Greek restaurant in this town? The Greeks have never succeeded in establishing a “real” Greek restaurant outside of Greece. Nevertheless in Serbia already specific very important efforts are in progress. Greece has some really exceptional restaurants and I think it’s only a matter of time before they expand here. Are Greek tourism experts consulting the Serbian agencies and authorities on how to enhance their activities? Daily. I believe that in tourism we have

good co-operation and according to the latest data I think that Greece is expecting up to a million Serbs to visit this year. Our companies have invested in hotels in Serbia and continue to invest, with plans for hotels outside of Belgrade. We hope, pray for and expect the cancellation of the visa system. We’re unofficially expecting that by the end of the year, though that’s yet to be confirmed, and this will help our tourist exchange. Are Greek businesses approaching the global crisis as an opportunity? I am an optimist. For me, the crisis is going to bear, and has already started to bear, quite interesting opportunities in Serbia. This country is still largely underdeveloped, which leaves a big gap to be filled by development and, thus, space for companies to enter. Serbs are very flexible, both officially as a government system and unofficially as a population, when it comes to creating and implementing business. I believe that here the crisis will create quite a lot of opportunities for both outside investors and mainly, of course, for the domestic Serbian companies. We’re hearing mixed reports at the moment locally, with some companies predicting a turn for the better in the autumn and others warning that bankruptcies will come if state debtors don’t pay up by the autumn? I prefer to think that the closing of this year will show us a rather more optimistic vision for the future. I can’t see any major bankruptcies happening in Serbia. On the contrary, I can see based on the latest reports that quite a lot of money is coming into the country from the international community and Serbia is also expecting about a billion Euros of extra help from Russia; the local currency has stabilised quite well and I don’t see signs of destabilisation. No, I am not as afraid for Serbia as I am for other European countries. Like Greece? Well, I have spent many years out of Greece so I don’t really have an opinion {laughs}, but let’s say that Greece is far too well developed to have any major bankruptcy problems as a result of the crisis.

Going back to the ‘crisis as an opportunity’, are any more Greek firms interested in infrastructure construction projects in Serbia, particularly the strategic Pan-European Corridor 10 route linking the backbone of the whole of Serbia directly to Thessaloniki? Many companies are working in this sector and are interested. As you know, we are awaiting the final ratification in order to proceed with the investment, but this is a formality that will happen very soon. We are going to see a lot of arrangements between local companies and Greek companies, as well as other foreign companies. Everybody is, of course, waiting for this – mainly because since last September the construction business, which is really a vital segment, has been greatly reduced, bringing down other related businesses with it. Apart from Corridor 10, if you go out of Belgrade you will see that the whole country needs construction.

selves in the green energy sector in Greece and they are very much interested in coming here to invest. Food production can also be expanded. We’ve already had discussions between big Greek and Serbian companies about co-operation on food production here. Is Serbia’s FTA with the Russian Federation a factor motivating Greek investments in production here? Most definitely. Many Greek companies have opened production in Serbia for many years in order to gain the benefits of access to the Russian market – they’re not simply looking at the local or regional market, but also the giants over there – Russia and later Ukraine. Sooner or later Serbia will gain EU Candidate status and, as history has shown, the pace of development and business will grow rapidly. Would you

Where else do you see opportunities? Another thing that is going to be developed here is green energy, bio fuel. When the price of oil stabilises at a price that it has to stabilise at eventually, you will again see activation of the production of bio fuel and green energy generally. This subject is already active in Serbia and the EBRD [European Bank for Reconstruction and Development] has already started to help a lot in this field. There are many Greek companies already activating them2009 / Hellenic Business Association 13

INTERVIEW identify opportunities in Greece.

advise Greek businesses to get in before Serbia gets EU candidate status, in order to reap the full rewards? There is no other way for Serbia than to join this thing as soon as possible. Serbia, and businesses here, will certain receive benefits from that. However, I am not an expert and cannot say if those benefits will come sooner or later. What I can say, from my experience, is that Serbia should definitely get candidate status as soon as possible and it is their unavoidable destiny to join the family of European nations. How do you think Serbia’s image has changed since the ‘90s? Has any progress been made? Yes, of course. Serbia’s image has been changing positively and quickly. I personally lived in Serbia at the beginning of the ‘90s, the mid-‘90s and post-2000, and you cannot compare the image of Serbia during that period to today. As media people, you should know how artificially image is created. So, if somebody decides that based on “Western standards” you are a bad guy, then you have a bad image and that’s that. This is the Hollywood rule. Whether that image was based on truth or not is unimportant, the important fact is that Serbia’s image has changed for the better in recent years. What pitfalls and potential business risks would you warn Greek businessmen to look out for in Serbia? First of all I would like to clarify that in my opinion there is nothing more risky in Serbia than in any other country. What is the problem here is that the banking system is still not completely upgraded and there is no real law about the insurance business, so the external insurance companies maintain a high level of risk for Serbia and make it hard to insure our businesses. As such, you can co-operate with a partner here, but you just have to be careful to check how stable your partner’s business is – this is the only risk. In my ten years or more of experience here in my field, none of the hundred or so clients I had has ever created any problem. Secondly, the local currency is not directly related to the Euro and it is true that many people are afraid of inflation 14 Hellenic Business Association / 2009

Where do you see opportunities for Serbian companies in Greece? Serbia produces good quality food products that can find a place on the Greek market. They could set up local companies in Greece to sell their products from there. However, it is up to them to come and establish themselves. How would you define relations between HBA and the Greek Embassy? I can say that relations between the Hellenic Business Association and the Greek Embassy generally, as well as the commercial office in particular, are excellent. We are in constant connection and co-operation with the Embassy, whatever we are doing.

“Serbia’s image has been changing positively and quickly” and possible destabilisation of the market. I have seen inflation in my time here, but apart from one or two times way back in the early ‘90s, nothing too negative happened. I’m not really afraid as a businessman. What kind of support does the HBA offer Greek businesses here? As an association, we provide any new coming Greek company arriving here with all the necessary data and details needed in Serbia; we help them to establish business, political or any other contacts that they need. In terms of existing companies, we help them with specific problems – either with the state or with other companies – through our association’s network. In short, the association is here to provide any sort of assistance to newcomers and any help existing Greek companies need here. Moreover, through meetings, forums and contacts, we are trying to encourage the expansion of the businesses of Greek companies here, identify opportunities for Greek-Serbian partnerships and encourage Serbian businesses to

Does the Hellenic Association include Greek and Cypriot companies or just Greeks? We have started encouraging Cypriot membership and plan to include all Cypriot companies in the association. From a business point of view, we consider ourselves as one? And actually there are a lot of joint Greek-Cypriot companies. Can we expect more Serbian-Greek partnerships, perhaps expanding together internationally? Serbia and Greece have been together historically on many levels, and I believe that in business they should work as closely as possible. Serbian businesses can offer Greek businesses access to other markets and vice versa. I personally believe that Serbia already has know-how and, in some cases, existing business structures in the Middle East and Africa, while Greeks are historically very welcome in these parts of the world. Everything has to come together, with the different assets of the Serbs, Greeks and Cypriots. Is there any advice you would give to Greek businesses looking at the Serbian market and vice versa? I can offer both Greek and Serbian businessmen the same advice: “invest your money and don’t be afraid”. Everyone knows that crises create opportunities and those who take the right calculated risks will always be winners.

Coca-Cola Hellenic is one of the world’s largest producers of non-alcoholic drinks. Employing over 41,000 people, Coca-Cola Hellenic supplies soft drinks to more than 550 million consumers across 28 countries, thus covering a wide geographic area - from Western Europe to Eastern Russia, from Estonia to Nigeria. Twenty-five of these countries are in Europe, including 15 members of the European Union. Coca-Cola Hellenic produces, sells and distributes the world’s leading brands of The Coca-Cola Company, serving 8 billion liters to customers every year. A wide portfolio of Coca-Cola Hellenic beverages that suit different tastes includes over 500 products and package options. COCA-COLA HELLENIC SERBIA In 2007, Coca-Cola Hellenic celebrated its 10th anniversary of operations in Serbia under the slogan “10 for Excellency”. It has been operating in Serbia since 1997, when the purchase of the IBP Beograd represented the largest foreign investment in the then Federal Republic of Yugoslavia. More than EUR150 million have been invested at the local market, into production capacities, business expansion, constant investments into quality, care about customers, environmental protection and employees. To meet the growing and diverse needs of its consumers, Coca-Cola Hellenic Serbia has quadrupled its production since 1997 and introduced 130 new products and packages. It has improved its production capacities, as well as invested a lot of time, know-how and financial resources into high quality of its products, the environment, customer care, employees and development of the local community. The company employs local workforce, invests and support the local market and local community. COMMITMENT TO LOCAL MARKET Today, Coca-Cola Hellenic is the leading soft drinks producer in the country and, together with more than 5,000 business partners, represents one of the most successful business systems in Serbia. The company directly supplies more than 4,000 buyers and cooperates with around 230 distributors, which cover 95%

of the market with their network of partners and retail outlets. From megamarkets and the largest retail chains in the country to sole traders, Coca-Cola Hellenic products can be obtained in nearly every retail outlet in the country. In the last three years, the Coca-Cola System in Serbia has also included Vlasinka, “Rosa” water bottling plant – the market leader among natural spring waters, and Fresh&Co, one of the leading juice producers located in Subotica. In addition to local brands, Rosa natural spring water, new enriched Rosa Emotion – Fokus and Lepota, Next fruit juices and nectars, Next Bući Bući specialy made for kids, new functional line - Next BodyTime, Next Joy, Next Tea, Su-voće beverages and new line Next BodyTime functional, the product portfolio of Coca-Cola Hellenic Serbia includes the most renowned global non-carbonated beverages such as: Coca-Cola, Coca-Cola Light, Coca-Cola Zero, Fanta Orange, Fanta Lemon, Fanta Mango, Fanta Exotic, Fanta Shokata, Sprite, Schweppes - Schweppes Bitter Lemon, Schweppes Tonic Water, Schweppes Clear Lemonade, Schweppes Tangerine, Burn, and Nestea. Coca-Cola Hellenic Srbija today owns 3 production facilities, 6 distribution centres across the country, and 17 production lines, while its production reaches around 380 million litres of non-alcoholic beverages a year. SOCIAL RESPONSIBILITY The highest business standards are applied not only in the company and the market, but also in the living and social environment. In Serbia, Coca-Cola Hellenic is one of the largest buyers of goods and services and it strives to satisfy as much of its needs as possible with support of our companies. Today, it has about 1,000 local suppliers of sugar, cans, plastic packaging, labels and other production material. More than one million times a day, people across Serbia reach for Coca-Cola products to refresh themselves. Therefore, quality is our primary obligation. In each country where it operates, Coca-Cola Hellenic respects laws related to food production and labelling and the ISO international standards. From the selection of ingredients to production and delivery of its products to the market, the company uses its specialised quality management system, the Coca-Cola Quality System, based on the highest global standards. Furthermore, the company evaluates its success through feedback of customers and consumers and its internal evaluation programs. Coca-Cola Hellenic has identified key areas of impact of its business operations on the living environment and established mechanisms for constant reduction of the exploitation of natural resources, with

clearly defined long- and short-term objectives. Since February 2003, Coca-Cola Hellenic Serbia has been using natural gas, which significantly reduces air pollution, and the bottling plant has chimneys which filtrate exhaustion gases in order not to pollute the living environment. Furthermore, internal transport is based on electric power or natural gas. As any individual on the planet, one of the largest global non-alcoholic beverages producers, Coca-Cola Hellenic, depends on water and its eco-systems to live and survive. Therefore, the Coca-Cola System feels obliged to treat this invaluable natural resource as a socially responsible citizen. In addition to the water saving program that has constantly been reducing the use of water per litre of a produced beverage; the company has for years now used the Waste Water Treatment System, whereupon all waste waters from the bottling plant are processed to a level of water quality defined by the European Union. This investment is worth more than EUR1.5 million and it represented one of the largest environmental protection sites in the country at the time. In addition to the ISO 9001 quality management standard, the company was among top 15 in the country in 2004 which fulfilled the requirements of the ISO 14001 environmental protection standard. The company directly employs more than 1,500 people. Research has shown that a job in our system provides an opportunity for another ten across the country. In the last three years, Coca-Cola Hellenic has opened nearly 300 new job posts in Serbia. To achieve its business strategy objectives through the implementation of the human rights policy and the policy of equal opportunities, Coca-Cola Hellenic attracts, motivates and retains talented employees and, in return, engages, trains and rewards them accordingly, simultaneously providing a healthy, positive and diverse workplace. Striving to develop in employees the most and best of their abilities, the company invests more than 60,000 hours annually in training and establishes an environment where all the employees are encouraged to develop their potentials to the maximum. Out of more than 1,500 employees in Coca-Cola Hellenic Serbia, more than 150 occupy positions at different levels of management. The Company is dedicated to fostering the growth of local management capabilities and

utilizes sophisticated assessm e n t and developm e n t tools to identify, retain and d e ve l o p talents at all levels of supervision and management. The company is focused on the exchange of international knowhow and local personnel advancement, thus opening diverse professional opportunities within the Coca-Cola Hellenic family in all countries where it operates. The company is fully aware of the fact that only through a genuine partnership with the local community is it possible to develop business and enhance the quality of life, so not only does it respond to requests, but also, as a company that operates locally, it takes a proactive role in recognizing the needs of the community and building a partnership with it. Some of the projects implemented in partnership with the local community have already become traditional, both through sponsorships and donations and projects which actively engage them in the community life, engaging an increasing range of partners, including government institutions and the NGO sector. Danube Day, Coca-Cola Talents, Coca-Cola Volunteers Club, Special Olympics and Food Bank are some of the projects that have established Coca-Cola Hellenic Serbia in the public and among its partners as a company which invests into professional development of young people, takes care of environmental protection and the Danube and its banks, and supports endangered groups. The company has based its commitment to social responsibility on the Business Conduct Rules as well, and those rules are applied on corporate policies and standards.

ECO-SYSTEMS As any individual on the planet, one of the largest global non-alcoholic beverages producers, Coca-Cola Hellenic, depends on water and its eco-systems to live and survive.

ECONOMY The Greek owned fleet is among the world’s largest

ollowing its staging of the Athens Olympics five years ago, the world finally recognised Greece as a country that can meet large-scale challenges and can “do wonders”. In many ways the 2004 Olympic Games solidified Greece’s new “exclusive positioning” and served as a platform to launch the country’s ambitious economic plans for the 21st century. Modern Greece engages the whole world on its path towards stability, security and prosperity, through its foreign and economic policy and through its products and services in the financial sector, energy, infrastructure, the maritime industry, exports, tourism and culture. In the maritime industry, Greece is undoubtedly the global leader. The country holds the first place in ship ownership while, simultaneously, Greek-flagged vessels add up to no less 18 Hellenic Business Association / 2009

than 60 per cent of all of the EU’s commercial vessels, rendering Greece as 5th in the world and number one in the European Union. Structural reforms to Greece’s general economic environment – including the introduction of a new Development Law, Tax Law, Public Private Partnership Law and New Investment Incentives Law – are all aimed at supporting the country’s competitiveness and upgraded role at both a regional and global level.

TOURISM GIANT

ourism provides a whopping 15 per cent of Greece’s annual GDP and services make up the largest and fastest-growing sector of the Greek economy. In 2007, 16.3 million tourists visited Greece, generating net revenues of $15.6 billion.

According to recent figures, the total value of Greece’s exports in 2005 was $27.4 million, as compared to €11.094 million during 2004. This marked one of the highest increases in exports among all Eurozone member states. Greece is among the first investment partners in the countries of its neighbourhood, including Bulgaria, Romania, Serbia, Montenegro, Albania, and the Former Yugoslav Republic of Macedonia, while it is also strengthening its leading role in the region’s financial services sector. Greece is a stabilising force in Southeast Europe, but also a driving force for the accession of the broader area to the European Union and other institutions that foster co-operation and peace. With this in mind, Greece is implementing the Hellenic Plan for the Economic Reconstruction of the Balkans, a five-year development aid

GREECE:

A NEW ERA Greece is a stabilising force in Southeast Europe, but also a driving force for the accession of the broader area to the European Union and other institutions that foster co-operation and peace

programme which will allocate a total amount of €550 million from the national budget to foster peace, stability and the European orientation of the countries of Southeast Europe. Greek banks have been among the top performers in the European banking sector, while the operations of Greek commercial banks in the wider region,

extending from its next door neighbours in Southeast Europe to Poland, have been expanding at double-digit rates of growth year-on-year. Tourism provides a whopping 15 per cent of Greece’s annual GDP, while immigrant workers make up nearly a fifth of the workforce, mainly in agricultural and unskilled jobs.

Greece is a major beneficiary of EU aid, equal to about 3.3% of annual GDP, and the Greek economy grew by nearly four per cent per year between 2003 and 2007, due partly to infrastructural spending related to the 2004 Athens Olympic Games and partly to an increased availability of credit, which sustained record levels of consumer spend-

EXPORT ORIENTED

BANKING PLAYER

SHIPPING SUCCESS

he main export partners of Greece are: Germany 11.6%, Italy 10.8%, Cyprus 6.6%, Bulgaria 6.5%, UK 5.5%, Romania 4.5%, France 4.2%, US 4.2% (2007). The main imports partners of Greece are: Germany 12.9%, Italy 11.7%, Russia 5.6%, France 5.6%, China 5%, and Netherlands 5% (2007)

reek banks have been among the top performers in the European banking sector, while the operations of Greek commercial banks in the wider region, extending from its next door neighbours in Southeast Europe to Poland, have been expanding at double-digit rates of growth yearon-year.

raditionally a seafaring nation, the Greekowned merchant fleet totalled 4,173 ships in February 2008, 8.5% of the world’s merchant fleet and 16.4% of world tonnage. Remittances from transport (mainly shipping) are growing and actually exceeded tourism receipts in the last three years, reaching $23.2 billion in 2007. 2009 / Hellenic Business Association 19

ECONOMY WHY CHOOSE GREECE FOR BUSINESS?

ing until the global downturn broke: growth dropped to 2.8% in 2008, as a result of the world financial crisis and tightening credit conditions. Greece violated the EUâ&#x20AC;&#x2122;s Growth and Stability Pact budget deficit criteria of no more than 3% of GDP from 2001 to 2006, but finally met the criteria in 2007-08. The countryâ&#x20AC;&#x2122;s public debt, inflation and unemployment are above the eurozone average, though they are currently falling. The Greek Government continues to grapple with cutting government spending, reducing the size of the public sector and reforming the labour and pension systems, in the face of often vocal opposition from the countryâ&#x20AC;&#x2122;s powerful labour unions and the general public. The economy remains an important domestic political issue in Greece and, while the ruling New Democracy government has had some success in improving economic growth and reducing the budget deficit, Athens faces longterm challenges in its effort to continue

20 Hellenic Business Association / 2009

its economic reforms, especially social security reform and privatisation. Services make up the largest and fastest-growing sector of the Greek economy. In 2007, 16.3 million tourists visited Greece, generating net revenues of $15.6 billion. Remittances from transport (mainly shipping) are growing and actually exceeded tourism receipts in the last three years, reaching $23.2 billion in 2007. Receipts from tourism and transport have covered a significant portion of Greeceâ&#x20AC;&#x2122;s large trade deficit. Industrial activity has shown a mixed performance, with certain sectors - such as the food industry and high-tech/telecommunications - showing healthy increases, while textiles have declined. Agriculture employs about 12% of the workforce and is still characterised by small farms and low capital investment, despite significant support from the EU in structural funds and subsidies. Traditionally a seafaring nation, the Greek-owned merchant fleet totalled 4,173 ships in February 2008, 8.5% of

t #FMPOHT UP UIF 0&$% GBNJMZ PG EFWFMoped nations; enjoys economic stability consolidated by membership of the European Union/Euro zone and its growth rate is above EU average. t )BT B CSBOE OFX NPEFSO JOGSBTUSVDture network and services, well-developed human resources (highly productive, well-trained and educated workforce, one of the lowest labour costs in the EU) and is an important centre of business, research and cultural activity. t )BT DPNQFUJUJWF JOEVTUSJBM TFDUPST optimal supply and great variety of raw materials, as well as climatic advantages. t )BT TJHOJGJDBOU LOPX IPX JO UIF PSganisation of major internationBM FWFOUT &6 QSFTJEFODJFT 0MZNQJD Games 2004, Cultural Capitals of Europe (Thessaloniki 1997, Patras 2006) and Eurovision 2006. t $BO TFSWF BT B CSJEHF GPS DPNNVOJDBtion with the less favoured regions of the world; is in a position to play a protagonist role in southeast Europe and the eastern Mediterranean, serving as a pilot to their economic and social reconstruction. t 0GGFST BDDFTTJCJMJUZ UP UIF TJ[FBCMF emerging markets of the Balkans, Black Sea, eastern European and eastern Mediterranean regions, through an existing network of over 3,000 Greek export and investor companies. t *T POF PG UIF UPQ UPVSJTU EFTUJOBUJPOT in the world, attracting more than 14 million visitors annually. t 0GGFST B VOJRVF DPNCJOBUJPO PG BO JOteresting and friendly culture, a good environment to live and work, as well as unparalleled beauty, a temperate climate and over 3,000 years of history. t *UT FYJTUJOH DPOGFSFODF WFOVFT GBcilities and amenities are all you would expect from a full-service busiOFTT DMBTT EFTUJOBUJPO 0GGFST HFOFSous business grants and incentives schemes.

DOWNTURN AFFECTS

reeceâ&#x20AC;&#x2122;s economy shrank by 1.2% during the first three months of the year DPNQBSFE XJUI UIF QSFWJPVT RVBSUFS BDDPSEJOH UP UIF DPVOUSZ T /BUJPOBM Statistics Service. The provisional figure heightened fears that euro zone member Greece could this year slip into a technical recession -- typically deGJOFE BT UXP DPOTFDVUJWF RVBSUFST PG OFHBUJWF HSPXUI 5IF FDPOPNZ HSFX BU BO BOOVBM SBUF PG JO UIF GJSTU RVBSUFS 0GGJDJBM QSFEJDUJPOT CZ UIF DPVOUSZ T DPOTFSWBUJWF HPWFSONFOU BSF GPS growth for the full year 2009. In April, the governor of Greeceâ&#x20AC;&#x2122;s central bank predicted zero growth with â&#x20AC;&#x153;possible spells of negative GDPâ&#x20AC;? during the year.

the worldâ&#x20AC;&#x2122;s merchant fleet and 16.4% of world tonnage. Greece has been a major net beneficiary of the EU budget: in 2007, EU transfers accounted for 3.8% of GDP. From 1994-99, about $20 billion in EU structural funds and Greek national financing were spent on projects to modernise and develop Greeceâ&#x20AC;&#x2122;s transportation

network in time for the 2004 Olympics. The centrepiece was the construction of the new international airport near Athens, which opened in March 2001 soon after the launch of the new Athens subway system. EU transfers to Greece continued with approximately $24 billion in structural funds for the period 2000-2006.

The same level of EU funding, $24 billion, has been allocated for Greece for 2007-2013. These funds contribute significantly to Greeceâ&#x20AC;&#x2122;s current accounts balance and further reduce the state budget deficit. EU funds will continue to finance major public works and economic development projects, upgrade competitiveness and human resources, improve living conditions and address disparities between poorer and more developed regions of the country. As Greece is striving to develop further and help propel its neighbours forward with it, so its ambitious businesses are seeking to expand and strengthen across the region and the wider world. Despite the crisis and the mixed fortunes of Greek businesses in the current climate, it seems that prospects remain real and the future bright for Hellenic businesses.

Guide to Energy sector / Jun 2009 21

LEADERS

POSITIVE OPINIONS Leaders of business and politics give us their opinions on relations between Serbia and Greece MILTIADIS VARVITSIOTIS (3&&, %&165: '03&*(/ AFFAIRS MINISTER â&#x20AC;&#x153;For the past ten years Greek companies have invested around â&#x201A;Ź2.5 billion and more than 200 Greek companies currently operate on the Serbian market, with more than 27,000 employees. Work is underway on the essential creation of a favourable investment and business climate, while it would be desirable to eliminate the last bureaucratic problems, but also to more effectively protect the investments of Greek companies in Serbia.â&#x20AC;? MIRKO CVETKOVIC SERBIAN PRIME MINISTER â&#x20AC;&#x153;Greece and Serbia have excellent political and economic reMBUJPOT 0VS UXP countries are also connected by many centuries of friendship and the closeness two nations. Greece has always been with Serbia, even in the most difficult times. I sincerely believe that we will improve our bilateral relations even more in the coming period.â&#x20AC;? PETROS DOUKAS '03.&3 (3&&, %&165: '03&*(/ "''"*34 .*/*45&3 â&#x20AC;&#x153;It seems that Greek investors, as I have heard from businessmen and colleagues, are very well positioned, the market 22 Hellenic Business Association / 2009

does not lack opportunities and theyâ&#x20AC;&#x2122;re willing to invest significant sums of money in business in Serbia. There are always problems when doing business in a foreign field, but, on average, Greek businessmen find that their relations with the Government of Serbia are very positive and that there is active interest in unravelling unresolved problems.â&#x20AC;? MARINOS STRATOPOULOS, $)"*3."/ 0' 5)& &9&$65*7& #0"3% 0' 70+70ĂĽ"/4," BANKA â&#x20AC;&#x153;The main impact of the world economic crisis on the economy of Serbia has not yet been felt, but itâ&#x20AC;&#x2122;s good that the world market is succeeding to stabilise. Establishing control over UIF DPOTFRVFODFT PG UIF DSJ sis can be expected next year. Well-coordinated joint actions of all in the Serbian financial market may create the conditions to overcome the crisis. For commercial banks, the crisis period is a time for redefining strategies and realistic assessment of market potential, a positive attitude towards potential Serbian economy is confirmed by agreement between the banks to pledge to remain consistent in implementing policies that will help in overcoming the crisis.â&#x20AC;?

NIKOLAOS KARAKOSTAS (&/&3"- %*3&$503 0' 5)& )&--&/*$ #64*/&44 "440$*"5*0/ */ 4&3#*" "/% %*3&$503 0' 3&5"*- $)"*/ .&("4503&4 &-&$530/*," â&#x20AC;&#x153;The business environment in Serbia is attractive for us. Confirmation of this is that in the last five to six years, with investments of â&#x201A;Ź2.5 billion, Greek businessmen are among the top foreign investors in this region. This is understandable, because it is one of the largest markets in the area, while there are traditionally close links between the Greeks and Serbs and a similar mentality. We are not avoiding the fact that this relates to a relatively modest purchasing power of the population and shallow financial markets, where the banking power is lower than in Greece, but this does not mean that someone will not want to invest. People do not invest only in countries that have advanced and strong economies. Greece is also a small country and itâ&#x20AC;&#x2122;s much easier to start with the export of our activities in the neighbourhood than to try to do something in say the U.S. or some other distant country.â&#x20AC;? FILIPPOS KARAMANOLIS $)"*3."/ 0' 5)& &9&$65*7& #0"3% 0' &630#"/, &'( â&#x20AC;&#x153;We are glad that we are the first bank in Serbia that will finance a wide range of projects

for small and medium-sized enterprises with the support of our partners, the European Investment Bank. This credit line, from â&#x201A;Ź50 million, to finance investment projects, working capital and leasing arrangements of small, medium and micro enterprises in Serbia, has great importance for the successful operation and development of Serbian companies, as well as for the overall economic development of the country. Initiatives such as this will facilitate continued investments in the Serbian economy and strengthen efforts aimed at bolstering the economy at this time of economic crisis.â&#x20AC;? NIKOLAOS DANDOLOS &9&$65*7& %*3&$503 0' (3&&, $0.1"/: -".14" â&#x20AC;&#x153;We are aware that governments change, but we are also convinced that democracy in Serbia is stableâ&#x20AC;?, said Nikolaos Dandolos who bought Belgrade hotel Excelsior for â&#x201A;Ź7.5 million and plans to renovated it in 2009 BOE DPOWFSU JU JOUP B CPVUJRVF hotel. Lampsa also bought #FMHSBEF T )PUFM )ZBUU 3FHFODZ for â&#x201A;Ź11.08 million.

CORPORATE

EUROFAST GLOBAL LTD - REGIONAL BUSINESS PARTNER 2009

urofast Global Ltd is a professional services Group operating in South East Europe through fully fledged offices in Cyprus, Greece, Bulgaria, Romania, Serbia, F.Y.R. Macedonia, Albania and Montenegro as well as a number of carefully selected associates in Bosnia, Belarus, Kosovo, Croatia, Moldova and Ukraine. The company primarily focuses on the provision of tax and legal, trust & management, payroll & accounting as well as financial services. Throughout the years, Eurofast has accumulated a wealth of expertise in a number of countries, thus becoming competent enough to give to its clients an invaluable competitive advantage. Where different jurisdictions provide a challenge to a specific case, Eurofast with its international affili-

ations and fully fledged offices throughout the Balkans, is able to provide expert support and appropriate solutions. The company is administered by a single management team based in Cyprus and Greece, travelling extensively to its offices implementing and maintaining the management policies and quality control standards at the highest attainable level across every Eurofast office. The existence of a single management gives the unique advantage to efficiently address all client needs and operations in each and every one of these countries during one single meeting at the client’s headquarters, using one single language for all the countries involved. Eurofast has achieved worldwide market recognition this year for its exceptional tax advice, capabilities and innovation in 2008 in the area of international tax planning. Eurofast has been voted “Cyprus Tax Firm 2009” by the International Tax Review , awarded as the “Best International Tax Team” in Cyprus by “World Finance”, ranked “Tier One tax transactional practice in Cyprus 2009” by the International Tax Review survey and awarded “Best Regional Business Partner in the Balkans” by the Mass Media International. The official Award Ceremony for the Regional Business partner Award was held at the Continental Hotel in Belgrade on the 18th June, 2009 and gathered a number of distinguished individuals of the public and cultural life in the Region. The Regional Business Partner Award symbolizes business excellence and regarded a unique confirmation of business accomplishment and regional recognition in the Balkans. Eurofast has received this award for applying high standards of professionalism and ethics, honoring its business partners, and clients as well as appreciating the broader social and local community interests as well as ecological imperatives. Mr. Christodoulos Damianou, President of Eurofast and Honorary Consular of Montenegro in Nicosia accepted this award at the Ceremony., Mr. Damianou stated that this success is attributed to our “Eurofast dream Team” in the Region who has displayed great dedication, loyalty as well as commitment to excellence going to extraordinary lengths to delight our clients. Furthermore, Mr. Damianou added that the awards are moti-

Christodoulos Damianou, President of Eurofast Global Limited and Ilija Ćosić receiving the award vation for Eurofast to strive for excellence and to be a constant and reliable business partner in the Region. This prestigious award resembles our commitment and dedication to the South East Europe Region, as well as our motto of “Building bridges between you and the Balkans”. OUR MISSION…. Many corporations say their most important job is to satisfy the customer. We do not! We believe that satisfying the client is simply the minimum requirement for staying in the business. We do not seek merely to satisfy our clients, we seek to delight them, by giving them dramatically more value than they expect whether measured by price, performance, quality or service. We know we are succeeding when we inspire our clients to go out and tell others about our firm. OUR VISION Our vision is to maintain a medium size professional company of approximately 100 professionals in order to sustain both a manageable organization as well as the delivery of personalized service to our clients. OUR PHILOSOPHY Our philosophy is delivering distinctive service to our customers by going to extraordinary lengths to delight, not just satisfy. Further information: www.eurofast.net 2009 / Hellenic Business Association 23

FDI

TOP GREEK INVESTOR There is no doubt that Greece is among Serbia’s top foreign investment partners, with major investments made both pre and post 2000 in numerous sectors and industries

ccording to the Serbian Investment and Export Promotion Agency, SIEPA, “Greece lies second among the countries of origin of foreign investments in Serbia. Between 2001 and 2008, Greek companies invested around $1.69 billion in the Serbian economy.”

Greek companies have invested heavily in numer-

ous sectors in Serbia in recent years. As SIEPA explains, “when it comes to the structure of investments, the service sector prevails by far, more precisely the banking, retail, real estate and tourism sectors.” Rather than being peculiar to Greek companies, investments in these sectors are typically characteristic of FDI in Serbia. Greece’s top investors in Serbia are undoubtedly in the

Net ﬁnancial investment from Greece (in thousands of U.S. dollars) 2001.

2002.

2003.

2004.

2005.

2006.

2007.

2008.

1.280

12.496

62.268

52.968

249.536

923.698

336.401

48.456

Source: National bank Serbia 24 Hellenic Business Association / 2009

banking sector: “the investors that are leading the way the most are three famous banks: The National Bank of Greece, EFG Eurobank and Alpha Bank. Through these banks’ purchase of domestic banks and their branch network, they have filed about a billion Euros worth of FDI in Serbia,” says SIEPA. In the past few years, more and more Greek hotel chains and construction companies have been heading for Serbia. This year is set to see completion of the €60million overhaul of Belgrade’s Hotel Metropol. Innovative business hotel, IN Hotel – an investment of €20 million, has been operating in Belgrade successfully for several years, while last year saw Greek company Lampsa buy two Belgrade hotels. “The biggest Greek investment in the real estate sector is represented by the project to build the Blue Centre in New Belgrade. This project

The largest investors (2002-2008.) Company

Industry

Investment Type

Investment Value (EUR mn)

NBG

Banking

Privatization

425

Eurobank EFG

Banking

Acquisition and Greenﬁeld

400

Alpha Bank

Banking

Privatization

152

Coca-Cola HBC

Food and beverages

Acquisition

142

Titan

Building

Privatization

Veropoulos

Retail

Greenﬁeld

Grecotel

Tourism

Privatization

Bluehouse

Real Estate

Greenﬁeld

Lamda

Real Estate

Privatization

Hellenic Petroleum

Retail

Greenﬁeld

Nestle Ice Cream

Food and beverages

Greenﬁeld

Neochimiki

Energy

Greenﬁeld

Piraeus Bank

Banking

Acquisition

New Company

Tourism

Greenﬁeld

Lampsa

Tourism

Privatization

As a family company operating for more than 35 years with over 200 supermarkets in Greece and Former Yugoslav Republic of Macedonia, ”Veropoulos” opened its first supermarket in Belgrade in 2001. So far, it opened three supermarkets investing 40 million euros. It has accomplished great business results up to now and it tends to continue with the investments reaching 25 million euros for the next period building two new objects at the municipalities of Vozdovac and Zarkovo. It is planned that the company, the first foreign investor in Serbia, opens ten supermarkets in Belgrade and, in that way, employ many high quality people. However, it is also announced opening five new objects in other cities in Serbia where the customers will be offered with the high level of services and a large offer of domestic and Greek products in SuperVero markets. A general manager of company ”Veropoulos”, Mr. Vasilis Kakagiotis says: ”We are quite satisfied with business results on Serbian market. A constant increase in the quality of the offered services and a care-

Source: SIEPA

ful monitoring of the needs of our customers and distributors represent the basic elements of our business philosophy. Except for that, the policy of continuity and an increase in investments on the market in Serbia and the other surrounding countries are the guarantee of a successful development of our company. Thanks to these principles, we have managed to get a high reputation in the area in which we operate and also to establish a stable foundation for new and much better business results. I am of the opinion that the companies which successfully resist challenges of time and temptations that the international business market constantly puts in front of us can count on the success thanks to its flexibility, readiness for the changes and clear business visions. There are no ideal conditions for business, they are created by great efforts”.

2009 / Hellenic Business Association 25

GREEK FIRMS TO INVEST TWO BLN EUROS IN SERBIA BY 2010

reek companies plan to double their investment in Serbia by 2010, especially if the country achieves political stability and gets on the path to European Union membership. “At least 50 Greek companies are waiting to invest in Serbia,” Vassilios Ntertilis, chairman of the Hellenic Business Association of Serbia. “The planned investment is certainly 2 billion euros over by 2010. Greek investors are looking into Serbia’s real estate and retail trade sectors and some smaller financial industry deals.” The association groups 120 Greek businesses established in Serbia – mainly in telecommunications, finance, tourism, real estate and textile sectors – with an estimated investment to date of some 2 billion euros and a 25,000-strong work force. He reminded that the Hellenic Business Association was set up in 2004 with the aim of improving and supporting Greek investments in Serbia, and promoting better cooperation between the two countries. Source: Reuters

is mainly related to the construction of A-Class business premises and is being jointly developed by Greek company Bluehouse and Serbia’s Energoprojekt,” reveals SIEPA. Amongst numerous other Greek investment activities, also noteworthy are investments in the food & beverages industry, which are being most substantially realised, according to SIEPA, Company “by the Greek subsidiaries of multinational companies, such as Coca-Cola HBC and EFG Eurobank Nestle Ice Cream”. Serbia is host to a significant number of National Bank of Greece Greek companies that together employ over Alpha Bank 25,000 Serbian workers. As SIEPA explains, “the forty largest Greek Piraeus Bank companies operating in Serbia are gathered Hellenic Petroleum within the Hellenic Business Association, Grand Casino one of the most well developed (in terms of Titan membership) and influential business assoLamda ciations of its kind in our country. “In the last year, the Association has re- Grecotel ceived confirmation that as many as anoth- Neochimiki Group er 50 Greek companies ready to enter Serbia Veropoulos in the coming years and invest about a furHellenic Sugar Industry ther €2 billion.” In light of current circumstances global- Alumil ly, it is highly likely that some of these in- Asco Vidak vestments will be postponed or temporar- Alapis Group ily reduced, but, SIEPA says, “Greek com- Meridijan Inženjering panies and banks have confirmed that they Makro Metal Market have long-term interests in investing on the Serbian market and major investment in the Megastores service sector can be expected, as can the Metal Globe (VIOHALCO Group) significant presence of Greek manufacturing companies.” 26 Hellenic Business Association / 2009

The amount of investment (in millions of euros) Preko 500 425 247,7 138 100 90.3 87 70 60 55 40 25 20 13.5 5 5 3 3 1 Source: Hellenic Business Association of Serbia

2009 Guide / Hellenic to Energy Business sectorAssociation / Jun 2009 27

COMMENT

Dr. Milan Parivodić partner Wolf Theiss, former Serbian Minister for Interntaional Economic Relations

GREEKS ARE VERY WELCOME!

“Economic relations between Serbia and Greece are examples of how economic relations with other countries should be developed” of how economic relations with other countries should be developed. It is important that Minister Stilianidis and I, under the guise of the Hellenic Plan, agreed that Greece will construct the Corridor 10 motorway (the section in the south of Serbia to the border with FYR Macedonia) and invest €100 million euros, as the completed highway will facilitate travel and transport between our countries. To the best of my knowledge, Greek businessmen have invested about two billion euros in various sectors of Serbia’s economy to date. The most exposed Greek investments are in the field of banking: The National Bank of Greece, EFG Eurobank, Piraeus Bank, Alpha Bank, Marfin Bank, but investments in the oil industry are also great: with Hellenic Petroleum, Eco-Yu and Neochimiki, which who bought Prahovo. Titan Cement Kosjerić purchased a cement plant, while commercial and retail enterprises include the

conomic relations between Greece and Serbia are supported by an historical closeness and friendship between our two nations, probably the closest friendship Serbia enjoys with any other nation. 28 Hellenic Business Association / 2009

Our relations reflect the geographical closeness and the natural tendency to connect our two economies, as well as a great similarity in understanding political relations between two countries. Economic relations between Serbia and Greece are examples

GREAT PARTICIPATION

erbian consumers feel a strong affinity for Greek products, food, banks. Greek banks are very well placed and enjoy great participation on the Serbian market.

significant Veropoulos chain, with its rich supermarkets. Major hoteliers Grecotel bought Belgrade’s Hotel Metropol and Lampsa bought the Hyatt. In the field of real estate, there is Bluehouse and Lambda, to mention only the larger companies. There are also a number of Greek industrial companies operating successfully in Serbia. Here I have only mentioned the biggest players. On the other hand, we cannot ignore the huge number of tourist visits that Serbian citizens take to Greece, which always ensure they have a great summer experience and also promotes contact between our two peoples. There are even Serbian investments in Greece, though they are much lower than the Greek investments in Serbia. Therefore, the economic relations of our two countries are at a high level, but of course they can always be intensified. As such, I welcome any form of organising meetings that encourage co-operation. The Greek-Serbian Business Council, an economic advisory council that was presided over Mr. Symeon Tsomokos organised meetings in Belgrade and Athens between businessmen and politicians. The last such activity was in mid June when Dr. Bojan Pajtić, President of the Executive Council of Vojvodina, visited Athens as a guest of our business council and held a good presentation for thirty Greek businessmen in the presence of the Greek Minister of Foreign Economic Relations, Mr. Varviciotiosa. Moreover, a meeting of Greek commercial companies and Serbian commercial enterprises was held in Belgrade on 22nd June, organised by HEPO. The meeting lasted two days and resulted in very direct contracts and contacts. When it comes to the reasons why Greek investors have opted to invest in Serbia, we could identify them in two groups: positive and negative. Positive reasons are the closeness of our market, knowledge of the mentality and feelings of friendliness and appreciation in Serbia, which offers Greek businesspeople, as well as the confidence and attractiveness of Greeks prod-

BANK’S BEST POSITIONED

he presence of Greek banks in Serbia is significant. For example, NBG has 200 branches of Vojvodjanska Bank. However, the Greek economy is represented in the of oil sector, real estate and hotels, trade, cement production, pharmaceuticals. Hellenic Petroleum is well developed, buying petrol stations and constructing them along the Corridor 10 route; Alapis is very seriously interested in Galenika and perhaps even another pharmaceutical company. In the hotel industry, Lampsa bought the Hyatt and Grecotel bought Hotel Metropol. This is a great investment and it is possible that they will also decide to buy in Novi Sad. Lambda bought Beko’s factory, Blue House and Energoprojekt combined to build a huge business premises on Mihajlo Pupin Boulevard.

The second ship in the easyCruise fleet from Piraeus ucts in the eyes of our consumers. Serbia is interesting to Greek investors because they feel at home and enjoy living in Serbia. Serbian consumers feel a strong affinity for Greek products, food, banks. Greek banks are very well placed and enjoy great participation on the Serbian market. Furthermore, the Serbian market is highly unsaturated with respect to all goods. We should not forget, for example, that when the former Yugoslavia collapsed nobody in Serbia was producing toothpicks or matches. This is why

1. BACKGROUND In 2006 Nikos Vakirtzidis and Yannis Sofianopoulos established the business consulting company «SYN Business Consultants», with head office in Belgrade. Both of them posses 25 years of experience, N. Vakirtzidis in the private sector, in the field of SME, and Y. Sofianopoulos in the area of public administration and projects financed by EU and Structural Funds. Together with them, from the start are Nataša Lukić and other particularly competent external associates. 2. ACTIVITIES The company SYN B is professionally engaged in the following sectors: A. Feasibility studies for donations receiving and realization of Business Plans B. Development of small and medium size enterprises C. Sales organization D. Evaluations, purchase and merging of the companies E. Management of international co-financing programs F. Participation in reform projects financed by EU or other international organizations. 3. CONTACT US Α. Contact by email Our website is www.synbconsultants.rs and emails nikvak@eunet.rs & synb@eunet.rs Β. Contact by telephone call Our telephone numbers are the following: + 381 11 3223 589 and + 381 11 3037 514

2009 / Hellenic Business Association 29

COMMENT

One of Greece’s top businessmen went to Croatia and said: “Our plan for Southern Europe is the next,” handing over his proposal to Croatian officials, who responded by saying: “Yes, but we are not southern Europe.” Another example supporting this thesis lies in research carried out by a Greek bank before they decided to buy a Croatian bank. One of the questions in the survey was – “if a Greek bank bought the bank where your money is deposited, would you withdraw

reason, the Greeks are regionally focused on Serbia, Montenegro, to some extent the Former Yugoslav Republic of Macedonia, Bulgaria, Romania, as well as Albania, the Ukraine and Poland a little bit. In our part of the world their main zones of action are Serbia, Romania and Bulgaria. Greeks are worldly people. It is a nation of extraverts, very open for contact with foreigners. They are world travellers, entrepreneurial, great traders. They have a very strong intellectual elite,

There are even Serbian investments in Greece, though they are much lower than the Greek investments in Serbia

Alpha Bank’s Headquarters we have so huge imports that financial burden us leads to an imbalance in our foreign trade levels. On the other hand, the Greek businesspeople have tried to expand to Croatia but, unfortunately, without success. In Croatia, amongst others, there isn’t a single Serbian company!

your money upon hearing news of the sale?” Some 46 per cent of Croatian respondents confirmed that they would indeed withdraw their savings. That same bank went to Turkey and bought a large Turkish bank. In research done before the purchase, responding to the same question, only three percent of Turkish respondents said that they would withdraw their money if their bank was bought by a Greek bank. This obviously confirms that Turks are more open to Greek investments than Croats, but also that there is a natural barrier for Greek economic expansion on the border with Croatia. For this

THE CRISIS AND THE GREEK ECONOMY

reeks have the world’s strongest merchant navy, controlling somewhere around 16 per cent of world gross tonnage merchant navy. They are probably also first in the world in the tourism domain. These are two fields in which they are world powers. The Greek economy has been seriously hit by the world economic crisis. Namely, it is natural that if people earn less, that the first save of the summer. And how many just went to Greece in the summer, tourism was severely affected. And the Greek banks are affected, but not even close to be exposed to negative influences of the crisis, as it was the American, British or German bank. Greek banks are not in the extent participated in the purchase riskantnih derivative, like the work of the Bank or such Sentander Spanish bank, which lost tens of billions of dollars. In this sense, the Greek banking system remained stable. However, the fall cost ship transport, so that the Greek merchant navy also was affected. But, as they are now moved to jump the price, because of the great needs of China for iron, and some raw materials, this industry is slowly recovering. So the two, supporting the Greek industry, were on the attack. 30 Hellenic Business Association / 2009

which have been educate abroad for decades; they have a great and very powerful Diaspora, one of the strongest in the world, occupying significant positions in the world’s universities. On the American political scene they have very strong contacts with the American establishment and are, indeed, a part of it. They have major financial interests in the UK, with Greek ship-owners and other businesses often opting to base their business headquarters in London. Greece has achieved what Serbia would be to try in their own way (because we are close to history as well as the different objective conditions). Greeks are able to define itself as a significant European civilization, which is clearly one of the Hellenic and Eastern Christian - Orthodox, and on the other side deeply incorporated in the Western European civilization, and very closely associated with American society. This synthesis not have to question their national identititet or Orthodox Christianity. This only proves that the permeation of its own cultural identity and religiosity and openness to the modern world can go hand in hand. Therefore, in the political sense, I think that Greece is a suitable model, what would that Serbia could become.

RECOMENDATION

OECD ECONOMIC SURVEY – GREECE 2009

GOING FOR GROWTH

This note, taken from Chapter 3 of Economic Policy Reforms: Going for Growth 2009, contains information about the progress in implementing reforms in line with the 2008 priorities for Greece.

he income gap vis-à-vis the best performing OECD economies has narrowed considerably over the past decade but labour utilisation and productivity gaps remain large. Although reform initiatives in recent years have aimed at enhancing competition in network industries, improving efficiency in higher education and reducing incentives for early retirement, important weaknesses still remain in the following areas.

PRIORITIES SUPPORTED BY INDICATORS Reduce the implicit tax on continued work at older age Financial disincentives to continue working at older ages are among the highest in the OECD, leading to a low employment rate among older cohorts. An important channel for early retirement is via special provisions for those in “arduous” occupations. ACTIONS TAKEN: A pension reform was passed in 2008 aiming at the reduction of early retirement through the rationalisation of special retirement age limits (including for women with under-aged children) and a reduction of financial disincentives to continue work. In addition, the law provides new financial incentives for workers (including in the public sector) to continue to work for three years after the age of pension eligibility. Discussions on limiting the occupations benefiting from the arduous-work clause are underway. RECOMMENDATIONS: Pension reform needs to proceed further, including a change in entitlement ages and accrual rates of the system. The categories benefiting from the arduous-work clause should be defined more narrowly. Access to disability pension should be strictly enforced on medical criteria, judged by independent doctors.

REDUCE BARRIERS TO ENTRY IN NETWORK INDUSTRIES Competition in the network industries remains weak, holding back productivity performance. The ownership stake of the government in key public utilities remains high, and price and non-price regulation is pervasive, hampering the emergence of genuine competition. ACTIONS TAKEN: The state’s stake in the Hellenic Telecommunications Organisation was reduced. Supervisory interventions to ensure competition in the telecommunication market have been intensified.

RECOMMENDATIONS: Privatisation should proceed, in particular in the energy and transport sectors as soon as financial markets stabilise. The unbundling of the local loop in telecommunications should be speeded up. The operations (generation, transmission and distribution) of the partially stateowned incumbent in the electricity sector should be unbundled. Price restrictions and barriers to entry in the road freight sector should be lifted.

REDUCE THE TAX WEDGE ON LABOUR INCOME A high tax wedge on labour income hampers employment creation, and encourages tax evasion and informal activities. ACTIONS TAKEN: Personal income taxes have been reduced, accompanied by measures to curtail tax and social security evasion. Evasion should also be curtailed by the creation of a unique employment and social security identification number for all citizens introduced by the 2008 pension reform. RECOMMENDATIONS: Reduce tax wedges over the medium term, financed by cutting public spending, particularly for public administration which absorbs a relatively high share of government outlays, with no evidence that the services delivered are superior. Continue efforts to combat tax evasion.

OTHER KEY PRIORITIES ● Formal education. Raise the quality of formal education through improvements in teaching quality and advanced technology at schools. Address the school-dropout problem and facilitate the schoolto- work transition through more flexible curricula. Implement rigorously the recent reforms of the higher education sector, and follow up with more decisive changes, providing universities with greater autonomy and linking their funding to performance evaluations. ● Minimum cost of labour. Ease entry to the labour market by reducing the minimum cost of labour through the setting of sub-minimum wages that take into account high unemployment rates of youth, and the lowering of social security contributions for low-paid workers, financed by savings elsewhere in the budget, for example through a reduction of over-staffing in the public sector. 2009 / Hellenic Business Association 31

INTERVIEW

SUPPORTING SOCIETY HRH PRINCESS KATHERINE KARAĐORĐEVIĆ

“The Greek people have been extremely generous and have gone out of their way to help the Serbian people through these difficult times”

From left to right: Vice President Joseph Biden, HRH Crown Princess Katherine, Dr. Jill Biden, PhD and HRH Crown Prince Alexander I

s if Serbia and Greece didn’t already have enough shared ties to bind them, there is also a royal connection, with the wife of Serbia’s Crown Prince Alexander hailing from Greece. More than simply being a Greek lady living in Belgrade, through her Princess Katherine Foundation, she has proved greatly influential in channelling humanitarian donations from Greece to Serbia and assisting the development of business between the two countries’ companies.

32 Hellenic Business Association / 2009

Serbia and Greece have enjoyed many years of friendship in many fields. It is said that this is not only about religion and geography, but also similar mentalities and life views. As a Greek lady who has lived in Belgrade for quite some time, how would you explain the roots and reasons for this closeness? We have always been close, since we have so much in common and there are more things that unite us than divide us. We all live in the same region and have similar interests. I am very proud of my Greek heritage and that of my husband’s

Greek grandmother Aspasia Manos, the wife of King Alexander of the Hellenes.

It is common knowledge that Greeks have donated a lot of funds to Serbia, particularly in the last decade. Some donations were made by the Greek government, others by businesses and others by philanthropic well-wishers – and most of them were achieved thanks to your personal engagement. How would you sum up these activities and the process of turning goodwill into tangible funds that are able to help those in need? The Greek people have been extremely generous and have gone out of their way to help the Serbian people through these difficult times and this is something that the Serbian people will always be grateful for and will never forget. What are the most important humanitarian projects that your foundation runs from your personal perspective and why? I have been involved with humanitarian work practically all my life. My parents have always been big philanthropists and my father was awarded last year at the age of 93 by the Greek Government for his philanthropic and social support of Greece.My foundation in Serbia – in conjunction with our offices abroad of Lifeline Humanitarian Organization (New York, Chicago, Toronto, London and Athens), of which I am patron – is working hard to deal with so many demands and situations we face in Serbia. One of the projects was connected to the fact that Serbia has one of the highest mortality rates of new born babies. Responding to that, my foundation launched the NICU (Neonatal Intensive Care Unit) project dedicated to purchasing the necessary equipment,

of Health and oncology doctors from throughout the country. The initiative’s aim is to raise awareness about women’s health issues and the problems they are facing with breast and cervical cancer. Helping women to combat cancer in our country is one of my priorities. I am very proud that at the time of this interview my foundaPrincess Katherine’s humanitarian life tion is delivering a state of the art mobile mammography unit that is travelling around Second International Conference on Breast southern Serbian, starting in Niš. This unit Cancer together with Professor Dr Hedvig was made possible thanks to the generous Hricak, Head of Radiology at Memorial donation of the Niarchos Foundation and it Sloan Kettering Hospital in New York, and is worth over €700,000. our Ministry of Health, Institute for Oncology and Radiology of Serbia. We will continue with the educational What criteria do you seek when decidprogrammes we started between our hosing about a donation and supporting a pitals and Sloan Kettering Hospital, where specific cause? we managed to provide training for our We have the Royal Medical Board that medical staff. In October is International consists of Serbia’s top physicians from difDay Against Cancer, so we are going to ferent fields of medicine I feel very fortunate to my husband for and during the meetings organise events that will be dedicated to the awareness campaign. I must point out we tackle priorities, issues bringing me to this wonderful country that prevention is very important. I apand projects. Many peocollaboration in Serbia. My husband and I peal to all women to have medical checkple are asking me for assistance and I try to were the guests of Ambassador Brinker in ups regularly, and I appeal to the media to help them all as much as possible. I learned Washington DC last month, were we had pay more attention to this issue. Educating about the joy of giving from an early age the pleasure of attending a private dindoctors is also crucial for the early detecand happiness is when you give of yourner with her at the residence of U.S. Vice tion and treatment of this disease. self. Life is short but we have strength and President Biden and his lovely wife Dr time to help others - only then life is more Jill Biden, who are big supporters of the meaningful and satisfying. How do you feel in Belgrade and what, fight against breast cancer. The next day if anything, would you bring from Greece we joined supporters and survivors at the if you could? Do you maintain regular contacts with traditional Race for the Cure on the Mall, individuals and organisations that donate? I feel very fortunate to my husband for where a marathon gathered more than bringing me to this wonderful country and It is important to maintain good contacts 50,000 people for the fight against breast to such great people, giving me the opporin order to have successful and fulfilling cancer. It was extremely moving and a tunity to help people and to save lives. I relationships. There are many individuals privilege to be given the opportunity to feel extremely blessed and I pray that God and organisations in Serbia and abroad give a speech to so many people. I will nevwill give us the strength to continue. Both that have been supporting our work for er forget this magnificent event that drew countries have their charm. many years and my husband and I appreso many people for this very important ciate that very much. cause. The Susan G Komen Foundation What are your favourite destinations in did an amazing job. Greece and Serbia? What are your plans for the coming peIn Serbia my foundation established a riod and can you tell us about any ongo The Greek islands and the mountains of Women’s Health Initiative under my patroning projects? Serbia. age with the participation of the Ministry www.lifelineaid.org In September we are organising the such as incubators, to save the lives of premature babies. That was one of our priorities for the last two years and in that period we managed to equip intensive care units in the four major Clinical Centres in Belgrade, Novi Sad, Niš and Kragujevac as well as sixteen regional hospitals throughout Serbia. The success of this project was thanks to the generosity of our friends and donors, who responded so well. At charity events we organised in Athens, followed by Paris and the United States, more than a million Euros was raised. We have also started a safe delivery project with the aim of helping women in Serbia to have more babies by equipping the balance of hospitals in Serbia. We are also helping children with congenital heart disease and are outfitting a new surgery unit at the Children’s Hospital in Tiršova Street in Belgrade. One of our major projects has been women’s health, since Serbia, sadly, has the highest incidence of breast and cervical cancer in Europe. Following the visit of our friend Ambassador Nancy Brinker, founder of the Suzan G Komen for the Cure Foundation, we established a plan of

2009 / Hellenic Business Association 33

INTERVIEW

SERBIA IS STRA

MARINOS STRATOPOULOS, PRESIDENT OF THE EXECUTIVE BOARD OF VOJVODJANSKA BANKA MEMBER OF NBG GROUP

The bankâ&#x20AC;&#x2122;s business strategy is client oriented and is focused on the development and implementation of contemporary products and services

V Marinos Stratopoulos, President of the Executive Board of Vojvodjanska banka member of NBG Group

ojvodjanska banka a.d. Novi Sad, established in 1962, is an institution with a long tradition, while the bank also represents one of the most recognizable brands in Serbia. Its reputation, quality of business operations, extensive network and prospects for the future were the main reasons why the National Bank of Greece, one of the leading international banking groups in Southeast Europe and one of the larg-

est institutions in the European Union, decided in 2006 to acquire the bank in a deal that was the largest privatization of a state-controlled bank in Serbia to date. Through this investment, NBG Group enhanced its presence in the country, which was established in 2002. The bankâ&#x20AC;&#x2122;s business strategy is client oriented and is focused on the development and implementation of contemporary products and services, governed by high standards and risk management principles.

Vojvodjanska banka in Novi Sad

34 Hellenic Business Association / 2009

TEGIC MARKET NBG Group has committed to extensive investments in Vojvodjanska banka’s infrastructure, operational platforms, human resources, organization, modernization and implementation of the group’s standards and best practices. Vojvodjanska banka, as a distinguished member of this leading banking group, aspires to provide its customers with dedicated service that generates value for its shareholders and benefits for its employees. In the spirit of social responsibility, Vojvodjanska banka has provided numerous donations, including to the Children’s Hospital in Novi Sad, Children’s University Hospital in Belgrade, as well as programs intended for the development of the environment in which it operates. What prompted NBG to opt for Serbia specifically? Serbia has strategic importance for NBG and its footprint in SEE. Besides, its market offers numerous business opportunities and has significant development prospects for the future. The quality of Vojvodjanska banka as an institution, its client base and the products and services it offers, represent an unquestionable confirmation of such prospects. How comparable would you say Greece and Serbia are in terms of culture, customs and business practices? Greece and Serbia share numerous similarities, in terms of culture and customs, as well as in the context of business practice, which is reflected in the intensive cultural ties, friendships and business cooperation, presence of a large number of Greek investors and significant volume of investments. How important are the deep, historical and cultural links shared between Greece and Serbia when it comes to doing

GREAT EXAMPLE

ojvodjanska banka is an example of the successful adoption of NBG’s operating model, combined with systematic modernization of the business network and quality of its products and services. In addition to its significant lending activities and their dynamic growth in the Serbian market, the bank also provides a wide range of retail, corporate and investment products and services.

business in 21st century? Both Greece and Serbia aim at high-quality and modern standards, practices, products and services, and they both use the best of their traditions and experiences to improve their development and future prospects.

THE BANK

ational Bank of Greece, the oldest and largest among Greek banks, heads the strongest financial group in the country. It boasts a dynamic profile internationally, particularly in Southeastern Europe and the Eastern Mediterranean. Founded in 1841 as a commercial bank, NBG enjoyed the right to issue banknotes until the establishment of the Bank of Greece in 1928. It has been listed on the Athens Stock Exchange since the latter’s foundation in 1880. Since October 1999, the Bank has been listed on the New York Stock Exchange. 2009 / Hellenic Business Association 35

TOURISM

TOP DESTINATION Greece is one of the most visited countries in the world and its tourism industry ranks among the world’s top

reece offers myriad experiences, landscapes and activities. It is the pulsing nightclubs of Mykonos and the ancient beauty of Delos; the grandeur of Delphi and the earthliness of Ioannina; the rugged hillsides of Crete and the lush wildflowers of spring. It is the blinding light of the Mykonos sun, the melancholic throb of Thessaloniki’s rembetika (blues songs), the tang of homemade tzatziki, the gossip in the kafeneia (coffee shops). It is the Parthenon - solitary and pristine - lording it over the hazy sprawl of Athens. While sleeping on beaches was once de rigueur for travellers in the care-

36 Hellenic Business Association / 2009

free ‘70s, tourism is now most definitely pitched to the middle to upper-end markets and sleeping rough is now ohso out. This has created mixed blessings for visitors: better facilities inevitably come at higher prices; faster and safer sea travel has replaced more romantic slow boat voyages to rocky isles; wholesome, home-cooked food may be hard to find amid the surfeit of tacos, sushi or stir-fried lamb; homey, boxlike rooms, tended with a smile, have been usurped by airy, air-conned self-catering apartments with nary a Greek face in sight to say kalimera (good morning). Yet the fact that Greece continues to enjoy a steady influx of foreign vis-

itors is easy to explain. The Greek people still have the welcome mat out. It is they who, after all, make Greece. Without the indomitable bonhomie of the Greeks themselves, Greece would be a different place altogether. Their zest for life, their curiosity and their unquestioning hospitality to the visitors in their midst is what makes a visitor’s experience in the country inevitably unforgettable. The Greeks may curse their luck at times, distrust their politicians and believe ‘oiling’ the wheels of bureaucracy a fact of life, but they maintain their joie de vivre, their spontaneity, their optimism. Greeks are friendly, open-minded and openhearted people. And they are well acquainted with foreigners and foreign lands through personal or collective memories and experiences.. English is widely spoken. Greece is one of the most popular tourist destinations worldwide. The wonderful scenery, its friendly and clean seas, the mild climate, the unique historical heritage, as well as traditional Greek hospitality, are the merits that have made the country an especially attractive destination for visitors and tourists. Moreover, the tourist sector constitutes one of the main sources of Greece’s national wealth, as it contributes annually more than 18% to the G.N.P., creates approximately 700,000 jobs and also plays a decisive role in the development of the periphery. After the success of the Athens 2004 Olympic Games and the completion of the construction of major infrastructure projects, Greece has entered a new promising era. The perfect organisation

of above major athletic event, which left an excellent impression with the global community, highlighted the enormous possibilities of the country and proved that Greece has gained the trust of big entrepreneurs on the international market, both in tourism and other areas, and gradually is establishing itself as the ideal choice of destination for the organisation of larger and smaller conventions, international exhibitions, oth-

Many hotels, seasonal cafés and restaurants close their doors from the end of November until the beginning of April; bus and ferry services are either drastically reduced or cancelled. The cobwebs are dusted off in time for Orthodox Easter (usually around April), when the first tourists start to arrive. Conditions are perfect between Easter and mid-June, when the weather is pleasantly warm in most places;

In Greece the fusion of images becomes more than imagery and turns into reality. So, the job at hand is simple: decide which particular Greece you want to experience. Then come and ﬁnd it. er planned manifestations, as well as major investments within the framework of the tourist industry. In recent announcements, the Greek Government underlined the importance of tourism for the economic development of the country and outlined the framework of a new strategy, which will create a more friendly climate for new investors. This strategy comprises the gradual simplification of procedures involving new investments in order to free them from time-consuming bureaucratic red tape, the modernisation and correct use of existing tourist infrastructures as well as reaching out to new developing global markets thanks to a modern communication policy and approach to tourism. The climate is mild and diverse. All four seasons and the activities completing them can be enjoyed; from a warm summer and water sports to a crisp winter and skiing in the country’s many ski resorts. Spring and autumn are the best times to visit Greece; specifically May, June, September and October. Most of the country’s tourist infrastructure goes into hibernation during winter, particularly on the islands. Some of the smaller islands close completely and some islanders head off to alternative homes on the mainland for a few months.

beaches and ancient sites are relatively uncrowded; public transport operates at close to full schedules; and there’s a bigger variety of accommodation options to choose from. Mid-June to the end of August is high season. It’s party time on the islands and everything is in full swing. It’s also very hot – in July and August

the mercury can soar to 40°C (over 100°F) in the shade just about anywhere in the country; the beaches are crowded; the ancient sites are swarming with tour groups; and in many places accommodation is booked solid. The high season starts to wind down in September and conditions are ideal once more until the end of October. By November the endless blue skies of summer have disappeared. November to February are the wettest months and it can get surprisingly cold. Snow is common on the mainland and in the mountains of Evia and Crete; it occasionally snows in Athens. But there are also plenty of sunny days and some visitors prefer the tranquillity that reigns at this time of year. Diverse, mysterious and achingly beautiful, the islands of the northeast Aegean offer endless rewards for those intrepid enough to seek them out. Hidden sandy coves, lush mountain waterfalls and ancient sites of divine power are only a few of the attractions in this far-flung archipelago – also known for its wild celebration of saints’

2009 / Hellenic Business Association 37

TOURISM

feasts, delicious cuisine and good-natured sybaritism. While exasperating ferry schedules make island-hopping here a challenge, the individual character of each island more than makes up for the effort. Ikaria, with its bizarre rock formations and laid-back, leftist lifestyle is unique, as is Lesvos, with its 11 million olive trees and idyllic mountain villages. Semitropical Samos and pinescented Thasos boast great beaches, while the almost unvisited Inousses, Fourni and Psara offer total serenity. These lesser-visited islands also have an importance entirely disproportionate to their size. Over one-third of Greece’s ship-owning dynasties hail from Chios and nearby Inousses; and 70% of the national firewater, ouzo, comes from Lesvos – also famous for its olive oil, rare fossils and the only petrified forest outside the USA. One of Europe’s most important ancient spiritual sites lies on distant Samothraki, and only in the villages of southern Chios is the renowned gum-producing mastic tree cultivated.

And Little Thasos contains the world’s second-whitest marble. In Greece, you are standing at crossroads of cultures, colours and civilisations, you feel the grandeur of history and the warmth of being at the southernmost part of Europe, you discover the evolutionary process of thought, influence and experience. A country with a uniquely affluent historical past, inhabited by people gaz-

Throughout the year, but especially during summer, hundreds of cultural events are held and scores of bigger or smaller festivals are being organised, involving all forms of art. Major Greek and foreign artists take part in these events, presenting works covering a wide range of art production (classical and modern). Some of the most important events are held under the auspices of the Hellenic Festival that, during the summer months, organises the Athens Festival, the Epidaurus Festival (theatre) and “Musical July” (in Epidaurus), which are considered to be among the most significant art festivals of the European continent. Of particular interest are the events held at the Athens Concert Hall, which boasts one of the most modern concert halls in the world, and at the Thessaloniki Concert Hall. Highly interesting are the productions of the Greek National Opera during both winter and summer seasons. As for the theatre, apart from private companies and the Municipal and Regional Theatres, the two national theatres, the National Theatre of Greece in Athens and the National Theatre of Northern Greece in Thessaloniki, stage very interesting plays. In Thessaloniki, the International Thessaloniki Film Festival, which in recent years has become one of the major regional festivals in Europe, is held every November, while every year in May the Thessaloniki Book Fair is held. The capital of Greece is one of the most magnificent cities in the world; the cradle of Western civilization and birthplace of values and principles that are the basis of modern society. Athens is chosen by thousands of people every year for both holidays packed with sightseeing and lying on sandy beaches, as well as business trips, due to its excellent infrastructure, which has made

After the success of the Athens 2004 Olympic Games and the completion of the construction of major infrastructure projects, Greece has entered a new promising era

38 Hellenic Business Association / 2009

ing confidently and optimistically into the future. A landscape that has given us thousands of postcard images but remains incredibly vibrant and impossible to capture. Greece is a country of beautiful contradictions, a constant journey in time, from the present to the past and back again. Walk through the olive groves, through ancient sites. Move to clusters of sparsely inhabited islands. Roam from beaches to rocky mountains and explore the breathtaking scenery.

Athens one of the major business centres in Europe. While in Greece, visitors should spend at least a few days touring the spectacular ancient and historical sites of Athens and the greater Attica region, which are a testimony to the greatness of Ancient Greece and its cultural supremacy during antiquity. Visitors are astounded by the Athens Acropolis Hill and its grand monuments, such as the Parthenon, the Erechtheion and the Herod Atticus Odeon, while a stroll through the charming Plaka Quarters, the Monastiraki Bazaar and the downtown commercial areas of Athens, Greece is a must. Seize the opportunity to visit the city where ancient features are complimented by modern characteristics, where west and east are fused to create a unique holiday spot: the one and only Athens. The island of Crete is a one-of-akind holiday destination to the south of Mainland Greece, settled between the Cretan Sea and the Libyan Sea. Crete is celebrated for its amazing features, including its long and rich history, breathtaking natural areas, charming villages, fabulous beaches, scrumptious cuisine, hospitable inhabitants and century-old traditions. Crete is divided into four districts: Chania (Hania), Rethymnon (Rethymno), Heraklion (Iraklio) and Lassithi. Each region has its own unique characteristics, but all offer excellent archaeological and historical sites and stunning coasts. On Crete, visitors can

spend their leisure time swimming in crystal-clear waters, exploring the ancient sites, having fun at the nightlife venues and participating in a wide array of outdoor sports. If it’s a versatile holiday spot you’re looking for, the island of Crete, Greece is the place for you! The magical Cyclades Islands cluster is famous for its endless beaches and traditional white-washed cubic houses that glimmer under the sun and contrast with the deep blue Aegean Sea. For many, the Cyclades Islands are the

Koufonissia, Kythnos, Sifnos, Sikinos and the Small Cyclades (Donoussa, Iraklia and Schinoussa). Such a variety guarantees that every visitor will find their dream holiday spot in the Cyclades Islands, Greece. The Dodecanese Islands are located in the Aegean Sea and are the southeastern most island cluster in Greece. Many consider the Dodecanese as the most impressive of islands, mainly because of their sophisticated aura and their splendid multi-cultural features. Throughout the Dodecanese Islands, visitors will find many areas of natural beauty, a number of wonderful Byzantine and Venetian monuments, exquisite ancient sites and beautiful beaches with sparkling waters. The cluster has one of the best climates in Greece, providing visitors with pleasant weather all year round. In the Dodecanese cluster, there are islands for all types, the most popular being the cosmopolitan Rhodes (Rodos) with its majestic medieval town and Patmos with the Cave of the Apocalypse and the Monastery of Saint John the Theologian. Other wonderful Dodecanese Islands are: Kos, Astypalea, Chalki, Kalymnos, Karpathos, Kassos, Kastelorizo, Leros, Lipsi, Nisyros, Symi and Tilos. In Greece the fusion of images becomes more than imagery and turns into reality. So, the job at hand is simple: decide which particular Greece you want to experience. Then come and find it.

Visitors are astounded by the Athens Acropolis Hill and its grand monuments, such as the Parthenon, the Erechtheion and the Herod Atticus Odeon ultimate holiday destinations in Greece and indeed the world. Each Cycladic Island is unique and famous for its distinctive features: Santorini and its mysterious volcano, Mykonos the nightlife capital of the Cyclades, Paros and its picturesque seaside villages, Naxos the multifaceted holiday island, and Amorgos with its wild natural beauty. Furthermore, there is Andros the cultural Eden of the Cyclades, Milos and its breathtaking beaches, and Serifos the traditional Greek Island. You can also visit Antiparos, the island of serenity and leisure, Kea, the nature lovers’ paradise, Syros, the aristocratic Greek Island, Tinos, with its spiritual aura, and Ios, the classic Cyclades Island of fun. Other Cyclades Islands are Anafi, Delos, Folegandros, Thirassia, Kimolos,

2009 / Hellenic Business Association 39

FEATURE

BOUND TOGETHER

BY HISTORY

“Beyond any professional or unprofessional adventurous spirit, the selection of Serbia as a place for Greek investments is by no means coincidental.”

eorgios E. Lychnos, a longterm resident of Serbia and former president of EFG Bank, who hails from Greece, believes that the answer to the question of why Greeks enjoy life in Serbia is to be found in history. Writing for our special guide, Mr. Lychnos tells us about his personal experiences of the special relationship between these two Balkan neighbours. I would like to assure the reader that I do not claim the kudos of being an historian, but ever since I came to this country I have asked myself the question in my mind: why do Greeks like Serbia in general? I found the answer, as in many other issues, lies in history. As I unravel the history of our friendship, I will divide this small article into three categories: religious history, cultural history and political history.

ALL-EMBRACING RELIGION The religious ties of our two countries have managed to overcome the barrier

40 Hellenic Business Association / 2009

of differences regarding the calendar. You see, the big bosom of Christianity – and Orthodoxy in particular – can embrace all! As classical example, we could refer to the roots of origin of the first emperor of the Byzantine Empire, Constantine the Great. He was born in ancient Naias, today’s Niš. Constantine, together with his mother Helen, was declared by the Greek Orthodox Church as an equal to the apostles, due to the fact that he was a warm supporter of Christianity in an era of Christian persecution after the collapse of the Roman Empire, while she was a pioneer of the holy cross. Other links are Hilandar Monastery on Mount Athos and the Monastery of life giving fountain in Ierissos. Besides the fact that the monks here are Serbs, both Monasteries have a lot of Serbian volunteers.

CULTURAL KNOTS The cultural ties between our two nations are equally notable and strong. In modern times they date back to the 18th century, when two Greek schools were built and started teaching youngsters. One of the schools was in Zemun, while the other was in

Novi Sad. Both were built to address the needs of a flourishing Greek community in these two Serbian cities. The building of Grčka škola is still located in no other than Grčkoškolska Street, at number 3, in Novi Sad. Famous man of Greek literature, Anthimos Gazis, was a teacher in the Greek school of Zemun and the fist Greek grammar book edited by the man of literature, Grigoropoulos, was even printed in Zemun’s early print-

Anthimos Gazis ing house and used by the pupils of the school. The Greek community in the Danubeside Belgrade suburb of Zemun was particularly vivid and participated

The church of Saint Dimitrios in Zemun greatly to the development of the city. Even today, the houses of Greek families stand at important, central spots in Zemun. The houses of the Spirta and Zikou families are in Glavna Street, while the house of the Karamata family is in Karamatina Street – named after the ancestors of Jovan Karamata, a current prominent professor of mathematics and member of the Serbian academy. The Harris family built the church of Saint Dimitrios in Zemun cemetery in 1876.The community was so developed that Greek author John Papagiannakos even issued a book based on the lives of the Greek families of Zemun. Furthermore, there are many, many words of the Serbian vocabulary that have Greek roots. Here I am not referring to words of Turkish origin that are used by the two nations as a result of their shared long-term occupation by the Ottoman Turks, such as tigani, avli, tzep, (tiganj, avlija, dzep), but rather words like agronomos, hipodromos, ftino, etc (agronom, hipodrom, jeftino).

POLITICALLY COMPATIBLE

TEMPERAMENTAL HAPPENINGS

The ties between Serbia and Greece are so diverse and deep that one could easily forget to mention all of them.From the top of my head I can refer to the story of Nebojša’s Tower, where the forerunner of the Greek revolution against Turkish occupation, Ottoman dissident Rigas Ferreaos, was hanged. In my mind, there are certain undisputable historical events that prove that the bonds between the two nations are deep and historically binding. This includes the fact that the sons of our two nations have fought and died against

Finally, we could not complete this short journey without noting that there are some historical facts which contribute to Serbia and Greece’s neighbourly closeness and illustrate the peculiarity and uniqueness of relations between the two nations. Those facts show that what has happened to Greece throughout history has also happened to Serbia, with a small chronologically dictated delay: Refugees from a national disaster in Serbia arrived recently, in Greece they came in 1922; the civil war in Serbia happened recently, in Greece it took

In the 18th century two Greek schools were built. One was in Zemun, while the other was in Novi Sad. Both were built to address the needs of a ﬂourishing Greek community in these two Serbian cities the same enemies side-by-side – not only in wars of words, but also armed conflict on the Balkans (from the time of Dušan and the Ottoman Empire, to the Balkan Wars of 1912-13, the Great War, the Serbian and Greek resistant members that fought against the Axis forces during WWII, etc.). As testimony to all of this lies the Serbian military cemetery in Thessaloniki and the Blue Mausoleum on Corfu’s Vido Island. Of course, it is also worth noting that the Serbian government in exile was based on the island of Corfu from 19161918, during the First World War. Furthermore, Greece and Serbia often share a common attitude on external affairs and matters of emotional importance to one or both of them, such as in the case of Kosovo – the independence of which has not been recognised by Athens.

place between 1945 and 1947 and resulted in hundreds of thousands of non-combatant victims. Both countries were occupied by the Germans and consequently bombed by the Allies during the Second World War, and both countries suffered under despotic regimes, Serbia recently and Greece before. I think, with all of this in mind, we can conclude that the initial question has found its answer. Perhaps the majority of Greeks are outspoken and many times erratic, thinking with their hearts, not paying attention to history or failing to recall how deep this friendship goes, but deep in their hearts they feel. As such, beyond any professional or unprofessional adventurous spirit, the selection of Serbia as a place for Greek investments is by no means coincidental.

CULTURE

HISTORY

POLITICS

The Greek community in Zemun was particularly vivid and participated greatly to the development of the city.

The ﬁrst emperor of the Byzantine Empire, Constantine the Great, was born in ancient Naias, today’s Niš.

Greece and Serbia often share a common attitude on external affairs and matters of emotional importance to one or both of them. 2009 / Hellenic Business Association 41

ANCIENT &

CULTURE

Greeceâ&#x20AC;&#x2122;s location on the crossroads of three continents has had a dramatic effect on Greek civilization and culture 42 Hellenic Business Association / 2009

very school child knows that civilisation and culture began with the deve l o p m e n t o f o l d er civilisations like the Mesopotamian, Middle Eastern and Egyptian, before moving on to incorporate Prehistoric Greece and Ancient Greek History. As a result, the Greeks took many elements from all of these nearby ancient civilizations, adapting the ones that were close to their na-

ture and way of life, whilst using remaining elements to further develop and move them forward, such as the development of astronomy, sculpture and architecture. These developments led to the development of a unique civilisation with the human experience at its very centre. From thence sprung forth renowned Greek philosophy, democracy, the arts and sciences that are essential to any major publication about ancient Greece. It was these things that were created by the ancient Greeks and offered to the rest of mankind. Still today the Greeks do what their ancestors did 3000 years ago: they hold on to elements and affections from both east and west. The links with the East are still strong and the effect of Byzantine Greece can be seen today in the Greek Orthodox religion and modern Greek music. MUSIC: elements of ancient Greek music can be found in the music of the Greeks of the Black Sea (Pontos), in the ancient sound of the goatskin bagpipes (Tsampounes) on many Greek islands; in the sounds of the flute of the Greek shepherds in northern Greece and in the sounds of the Cretan Lyra in Crete. All of these Byzantine and ancient elements come together with the Smyrneika (the music that the Greeks of Asia Minor brought with them and the most typical of Greek folk music). However, as in the past so as today, the Greeks love to mix things up. The result is that

& MODERN Greek music has adapted and adopted musical elements from the West, including Latin rhythms and sounds, Italian music, Rock and Blues, as well as rap and hip hop music. RELIGION: The Greek Orthodox religion does have some rules, but is freer than other denominations of Christianity. In Greece a priest can marry (although this is not allowed for monks and bishops). Furthermore, Greeks can remarry in church following a divorce. Although the Greeks are religious as a nation, they are not seriously devout or fundamentalist in their approach to religious matters. The huge majority of Greeks will go only occasionally to the church for a service. This may be for a marriage, funeral or baptism. Everyone goes to church on Good Friday and Easter Saturday, partly to listen and follow the Liturgy, but mainly for the spectacular firework displays that are a traditional part of Greek Easter. Inside the church, the congregation will mostly consist of the older generation of especially women. Having said this, almost every Greek, young or old, will cross themselves when passing by a church and, in cases of danger and need, will cry out “help me Christ and Mary”. Yes, faith is deep and strong for almost every Greek even if they don’t go to church often or don’t take communion every Sunday, instead leaving such religious rituals to once or twice a year. One of the main rea-

Outdoor theatre in Athens

sons for this is the Greek spirit of independence and freedom, a spirit which lives within every Greek soul. Greeks have their strong faith to Christ and Mary, but also don’t want to be bound by rules that have been dictated from several emperors, patriarchs and monks of the old Byzantium era. RELIGIOUS TRADITIONS: Sarakosti (Lent): the main period of fasting covers the 40-day period before Easter week, the name Sarakosti derives from the number 40, Saranta).

This feast starts at the end of the threeweek Greek Carnival time (Apokria) which ends as Lent starts and begins on Clear Monday (Kathari Deftera). Clear Monday is the first day of Apokria. Even though the Greeks will not feast for the next 40 days, on this particular day, the Kathari Deftera, they will go to the countryside to celebrate with special feast food (Vegetables, Pickles, taramosalata, grilled octopus, lots of wine and the special unleavened bread that is made 2009 / Hellenic Business Association 43

CULTURE

To mark the 4th anniversary of its operations in Serbia, Piraeus Bank sponsored a National Theatre of Northern Greece performance of Shakespeare’s famous play “King Lear” at the National Theatre of Belgrade especially for this day (the Lagana). A part of the tradition beloved by children is kite flying, a tradition that is still very much alive. KLYDONAS: The Feast of Klydonas and the jumping over fire during St John’s celebration at the end of June is one tradition that has slowly disappeared. The reason why is not surprising. As the cities got bigger and more crowded, there was no longer anywhere that one could safely pile logs and make a bonfire in the neighbourhood streets. However, 40 years ago this was an exciting event

that could be experienced in nearly every neighbourhood. A quaint tradition that happened the day before this Feast of Klydonas was for young, unmarried girls to try and fish out of a jar of water a ring or coin that had been previously placed there. The Jar would be placed on the roof of buildings and covered by a white cloth and the next evening all the neighbours would gather at the doorstep of a house for the opening of the jar with the (Amilito Nero) silent water. The young girls would fish around in the jar without being able to see deep into its contents, then as one was picking out of the jar a ring or a coin, an older woman would recite poems from the popular Almanac Calendar. These poems were a kind of prophecy for the girls and would ensure that they would find their true love to marry in the near future. This ceremony was followed with the jumping over the fire that had been lit in the middle of the street. WEDDING CEREMONIES: the Greek wedding experience is now best known for its interpretation in the hit film My Big Fat Greek Wedding, but wedding traditions in Greece vary slightly from place to place. In the islands you will find a more intensive and colourful tradition going on. In the Dodecanese, for example, celebration starts a couple of days before the main event, when relatives

THESSALONIKI:THE DIMITRIA FESTIVAL SEP - NOV 2009

he Dimitria Festival, held throughout the town of Thessaloniki, presents a wide range of music, theatre and dance and is the biggest event on the town’s annual calendar. The traditional Thessaloniki feast day commemorating St Demetrios traces its heritage back to the days of the city’s Golden Age, when the Byzantines ruled a vast empire from Constantinople (14th and 15th centuries). In those days the feast was known as “The Panathenaea of the Athens of the Middle Ages”. Having been all but forgotten, it enjoyed a remarkable revival in the 1960s and has gone from strength to strength ever since. The festival prides itself on its mix of the traditional with the avant-garde and the range of events is impressive, featuring theatre, opera, dance, music, art and literary seminars. Past contributors have included Alan Bates, Peter Hall, Harold Pinter and major national ballets, operas and symphony orchestras.

44 Hellenic Business Association / 2009

and friends will go to the new house of the couple “to make the marriage bed”. This is like the kitchen party found in some Western countries, or similar to adding to the new couple’s dowry. However, instead of gifts for the house, money (and sometime serious money) inside envelopes is given. Usually the couple’s fathers will set the ball rolling by throwing money on the marriage bed as a gift to the new couple. Depending on their financial status, the amounts of money the fathers throw can sometimes be very large indeed. This is followed by friends and relatives, who will add to this their envelope with money and afterwards a baby will be placed on the bed in order to bring prosperity and fertility to the couple. On the day of the wedding, from early in the afternoon, the two houses of the bride and groom’s families will be very busy. At the bride’s house, the bride’s girlfriends will dress her and make her beautiful for the marriage ceremony, whilst at the house of the groom preparations for the main event will be in full swing. As his friends are dressing him and getting him ready, the gathering of friends and family of the groom sing the marital song. Meanwhile, visitors, friends and relatives have a great drinking party in the main lounge or on the veranda if it is good weather. The party is usually accompanied

A HISTORY OF ATHENS

he site of the city of Athens has probably been inhabited for some six thousand years. It may be the oldest continuously inhabited capital city in Europe. The most glorious days of its ancient history are well-known and well-documented. The history of Athens since the end of classical times is much less well-known, yet it has much to teach us.

by live music played by local musicians. Half an hour before the ceremony the congregation will go to church. Traditionally musicians will follow as well, playing wedding songs, and this can still be seen - especially on the islands of Greece. At the gate of the church, the groom will wait for the bride and when she comes the ceremony will continue with a small liturgy, the exchanging of vows and the dance of Hisais. The Priest and the bride and groom must walk three times around the altar while the priest sings the Hisaie dance. The marriage ceremony is followed by a huge party that’s usually held at a big restaurant with music and dancing. Traditionally, the best man or best woman of the bride and groom will be the Godfather or Godmother of the couple’s firstborn child. BELIEF & MYTHOLOGY

“Myth is truthful, but figuratively so. It is not historical truth mixed with lies; it is a high philosophical teaching that is entirely true, on the condition that, instead of taking it literally, one sees in it an allegory,” Paul Veyne Greek mythology contains creation stories that are very different from either the story of Adam and Eve or the Big Bang. In Greek myths about the early world, themes of parental treachery alternate with tales of filial betrayal. According to some versions of Greek mythology, in the beginning of the universe there was Chaos. Chaos was all alone [Hesiod Theog. l.116], but soon Gaia (Earth) appeared. Without benefit of a sexu-

al partner, Gaia gave birth to Uranus (Sky) to provide covering and father the 50-headed Hecatonchires, the Cyclopes (Cyclops), and the 12 Titans. In Generation 1, the sky (Uranus) hides his children inside his wife, Mother Earth (Gaia). In Generation 2, the Titan father (Cronus) swallows his children, the newborn Olympians. In Generation 3, Zeus swallows one mate and sews the soon-to-be born offspring of another inside himself after he kills the mother. Hera, the wife of Zeus, creates a god -- without a mate, but even he isn’t safe from his parents, for Hera (or Zeus) hurls her son from Mt. Olympus.

Hilandar Monastery, located in Mount Athos 2009 / Hellenic Business Association 45

SPORTING TIES

CALL A SERB FOR SUCCESS

SERBIAN COACHES AND COMPETITORS ARE SYNONYMOUS WITH THE SUCCESS OF GREEK CLUBS

Panathanaikos has won four European basketball championship trophies under the guidance of Željko Obradović Footballer Predrag Đorđević has been voted best player in the Greek championship 12 times in 13 years Football coach Duško Bajević has become a legend of AEK and Olympiacos after wining four national titles with both clubs By Nenad RADOJEVIĆ

reece and Serbia are nations undoubtedly connected by some “mysterious link”, which is why it shouldn’t come as a surprise that sporting ties between the two countries are equally tight. During the last two decades of the major global industrialisation of sport, the connection between Greek and Serbian sport has been nothing but solid. Due to the ‘90s tough financial and unstable political situation, Serbian players and coaches became significant “goods for export” some time ago and many of them had found luck in friendly Greece. Serbia has no money to invest in top quality foreign players, Greek players have never had an opportunity to don a Partizan, Red Star or Vojvodina jersey. On the other hand, we can say with certainty that Serbian players, and especially coaches, have created some46 Hellenic Business Association / 2009

thing of a sporting revolution in Greece. Dušan Ivković, Željko Obradović, Žarko Paspalj, Dragan Šakota, Predrag Stojaković, the late Slobodan Janković, Dušan Bajević, Predrag Đorđević, Ilija Ivić... all have the status of absolute legends . Of course, their legendary status goes as far as their place of employment, because for the rest of the country they are, as Latins would say, personae non grata! Indeed, that very ‘branding’ is yet more evidence of the similarities between Greeks and Serbs: not many countries have a population that’s so strictly divided regarding the clubs they support like in Serbia (Red star and Partizan supporters) and in Greece (Olympiacos, Panatinaikosa or Aris supporters). Maybe the reason it was so easy for Serbian players and coaches to blend into the Greek environment was that they share the same mentality, with sport being so much more than just a game.

IVKOVIĆ & OBRADOVIĆ Without underestimating football, the fact remains that basketball is the most famous Serbian brand. Greeks have had the privilege of being able to exploit one of the richest “coaching” mines in the world. By the will of providence, it was Dušan Ivković and Željko Obradović (brothers-in-law!) who put basketball back on its feet in Greece! The current Serbian national coach was first appointed at the Aris club (19801982), only to return to Greece after 10 years of absence on the bench of their archrival club PAOK, for three seasons (champions in 1992). Ivković was also coach of Panionios, only to reach his peak while training Olympiacos (19961999) – guiding the team from Piraeus to the Euroleague title and two national trophies all in the same season (1997). He concluded his personal “Greek odyssey” at another major Athens club, AEK, where he lifted the Saporta Cup and two national cups. “It was a pure twist of faith that brought me to Greece the first time. My son Petar had bronchitis border-

ing on asthmatic, so doctors suggested a change of climate. I took over Aris, although I had rejected their initial offer,” Dušan Ivković told Status Magazine. The rest is history. As a reward for his decade of committed work in Greece, Dušan “Duda” Ivković was granted a special nickname: The Zeus of basketball. “As far as Greece is considered, a transfer from Thessaloniki to Athens was an even bigger climate change. It was a completely different way of life. I arrived at Panionios, a club which, like my Radnicki club from Crveni krst (Belgrade district), always stood somewhere around mid-table. We managed to produce a team which played by far the finest basketball in Europe. NBA coaches used to come to me with comments such as “we haven’t seen anything like this”. We eliminated PAOK in the playoffs and booked our spot in the Euroleague. The kids from the neighbourhood where overwhelmed with joy and used to express their gratitude by lighting torches near my house. I consider that to be my biggest achievement: being able to bring happiness to so many people.

THE ŽELJKO OBRADOVIĆ DYNASTY Željko Obradović, Ivković’s Best Man and successor as national team coach, arrived in the capital of Greece when Ivković was already finishing his Athenian mission. He took over Panathinaikos. He won a gold medal as Ivković’s assistant during the European Basketball Championships in 1995 and three years later he repeated the success by wining the world Championships, but this time as a head coach. Željko’s Greek fairytale has been going on for a decade and doesn’t look like ending anytime soon. He became a hallmark of Panathinaikos; a man who introduced the “Greens” as a dominant force in European basketball. PAO was crowned the best team on the old continent four times under Željko’s management - 2000, 2002, 2007 and 2009. He al-

VOLLEYBALL: MILJKOVIĆ LAUNCHES OLYMPIACOS

he modern breakthrough of Serbian volleyball started at the European Championships in 1995 when the national team (participating as FR Yugoslavia) won bronze medal. The majority of the great Serbian players have spent at least a season at Greek clubs. The Serbian national team coach used to manage Olympiacos and Oristiada, while Dejan Brđović (Olympiacos, Ktisifon, Oristiada), the late Žarko Petrović (Aris), Vladimir Grbić (Panathanaikos), GoranVujević(Olympiacos),Slobodan Kovač (Aris), Slobodan Boškan (Olympiacos, Iraklis), Đorđe Đurić (Aris), Andrija Gerić (Panathinaikos) all played in Greece.... Last summer, Ivan Miljković, the world’s finest in the corrector position, transferred to Olympiacos for a fee of €1.1 million. It seems as though he was worth every cent, because the club from Piraeus has just won a double crown after eight years without a single title. 2009 / Hellenic Business Association 47

SPORTING TIES

Slobodan Nikić WATER POLO: CELEBRATIONS AND TRAGEDY IN ATHENS

he powerful water polo force of SFR Yugoslavia didn’t manage to win a European championship trophy until 1991, when they beat Spain in the final in Athens. The coach was Nikola Stamenić, whose Croatian players cancelled their appearance just before the start of the tournament. During his perfect coaching career, he worked in Greece. However, the capital of Greece was where the Serbian national team (under the guise of the name Serbia & Montenegro) tragically lost the Olympic final to Hungary. The most famous Serbian water polo player currently playing in Greece is Olympiacos centre Slobodan Nikić, one of the best players at this position anywhere in the world.

so won nine national Greek titles and six national cups. Dejan Bodiroga and Željko Rebrača won two European titles and Dejan Tomašević won one while wearing the Green jersey, while Dušan Kecman participated in PAO’s magnificent triple-crown this season. Milenko Tepić, an extra talented Serbian fullback, also signed for PAO recently. Although he is by far the most successful coach in Europe (having won seven European championships and 19 of 22 finals with the Greens), Obradović looks at his achievements at Panathinaikos with genuine modesty.

48 Hellenic Business Association / 2009

“I’m not interested in the number of individual trophies. The happiness of my players and supporters brings me more joy. I have an excellent relationship with the owners of the club, the brothers Janakopulos, as well as with the supporters. I understand that supporters usually respect the head coach, but their affection for me is greater and I would describe it as genuine love. That is something that brings a smile to my face and makes me a happy man,” says Obradović. The former Yugoslav national coach isn’t fed up of working in Athens, despite the everyday pressure which is common for all high profile teams. “I’ve always set the highest goals for myself, so the pressure comes from my expectations as well as anyone else’s. I love this job and each and every game represents a festivity for me. Everyone knows about titles, but my motto is that the most important game is the next game,” offers Obradović. The tyrannical success of Panathinaikos and Željko Obradović, which has lasted for about a decade, was briefly interrupted by none other than a fellow Serb. Dragan Šakota, former Red Star and Serbia & Montenegro national coach who guided his team to the Greek national league title in 2002. Šakota perfected his coaching craft on the banks of the Aegean, while managing more than half of all the clubs in the Greek league: PAOK, Apolon, Iraklis, Peristeri, Iraklis, Aris, AEK and Olympiacos! The main impression is that Greek players and even the Greek national team have had the most benefit from working with eminent Serbian coaches. Almost every player from the Greek winning squad of 2005 had collaborated with, and been strongly influenced by, expert Serbian mentors.

PASPALJ’S TROPHY Coaches aren’t the only heroes who embody Serbian basketball magic. Beside top players of Panathinaikos, like Dejan Bodiroga, Željko Rebrača

and Dejan Tomašević, it was Žarko Paspalj who captured the hearts of the Greek audience. The Magnificent wing gave some extraordinary performances during the early 1990s. He won two titles with the club, but his transfer to archrivals Panathanaikos in the summer of 1994 was something that Piraeus would never forgive him for. PAO supporters criticised him for his poor efforts against his former club and in the Euroleague. He became the most hated basketball player in Athens. The late Slobodan Janković holds a special place in the hearts of all Panionios supporters. One of the greatest legends of Red Star, he was struck down on 29th April 1993 while playing for this club when he head-butted the net post, disgusted by a referee’s deci-

Good old friends: Žarko Paspalj and Vlade Divac sion, and was left mentally disabled. He passed away on the island of Rhodes in June 2006, aged 43. His son Vladimir has dual citizenship and has represented Greece’s junior national team.

PREDRAG ĐORĐEVIĆ: PIRAEUS SYMBOL Probably the greatest impact was made by Predrag Đorđević, long-time captain of Olympiacos and declared the best foreign footballer in the history of the club from Piraeus. He never got a real chance in his homeland, since he had the misfortune of playing for Red Star as a youngster when they were champions of Europe. He looked for his good

DIRECTORY fortune in Paniliakosu, but completely hit the jackpot when he moved to Olympiacos. He arrived in Piraeus in 1996, together with coach Dušan Bajević, and shortly after wards he became the club’s hero. The greek media dobbed him “Captain Marvel” after the fearless comic character. For the 13 years he wore the red & white jersey, Đorđević won 12 league titles and five national cup competitions, scoring 127 goals in 341 Games from midfield. He decided to retire this March at 37 years of age. “It was a hard decision to make. Football brought me many wonderful moments and, much more, it brought me a purpose in life,” said Đorđević last year. The famous “Prince of Neretva” Dusan Bajevic played at AEK for four years, only to become the club’s head coach in 1988 and go on to win four league titles during his eight years coaching at the club, ending a 10-year trophy drought in the process. With obvious disapproval from AEK fans, he took over Olympiacos in 1996. This marked the beginning of the club’s renaissance period (three league titles in three years). He took over PAOK, but eventually returned to AEK – perhaps his greatPredrag Đorđević is declared est mistake. The the best foreign footballer in AEK supporters the history of the Olympiakos never forgave him for leaving them for Olympiacos and they put him under constant pressure. He eventually cracked and walked out on the club during a match with Iraklis! Afterwards he returned to Piraeus (where he won another title) and for a short period of time he even coached Red Star, a club that he also walked out on during a league match! The next stop was Aris, but since last November he’s been back at AEK. “This is my home. We should forget all the bad things and look only to the future,” said Bajević upon his return to the club. The Serbian camp in the AEK football club should get another member because Ilija Ivić, who also ended his career at AEK, is due to be appointed the club’s sports manager. Ivić played for Olympiacos for four years and a couple more for Aris. In his short career as a manager, he has already worked for AEK and before his Red Star stint he was sports manager of the Piraeus football club. It’s obvious that Greeks cannot do without Serbian sport’s players and managers. If you don’t believe that, just check out the names of the trophy holders. Greek clubs owners should just continue thinking in the same manner: “Call a Serb for success”, though they shouldn’t forget to put the Champaign on ice.

GREEK EMBASSY BELGRADE H.E. Mr Dimosthenis Stoidis Ambassador Extraordinary and Plenipotentiary Francuska 33, 11000 Belgrade 381 11 3226523 381 11 3344746 office@greekemb.co.yu www.greekemb.co.yu GREEK CONSULAR BELGRADE Mrs. Maria Corantis Strahinjica Bana 76, 11000 Belgrade 381 11 3341507 381 11 3344746, 3344521 office@greekemb.co.yu

HELLENIC BUSINESS ASSOCIATION OF SERBIA Vasilios Ntertillis, President of Management Board Nikolas Karakostas, General Director of Hellenic Business Association, Member of the Management Board Christos Tsemberas, Vice President of Management Board; Ioannis Nikolopoulos, Member of Management Board; Vasilios Kakagiotis, Member of Management Board; Kneza Miloša 14 – 4th flor; Tel: 011 36 26 067 Fax: 011 36 26 216; Ε-mail: office@hba.rs www.hba.rs

MEMBERS OF THE HBA: A.D. ŠAJKAŠKA HELLENIC SUGAR INDUSTRY 21 230 Žabalj, Ind.zona, Čuruški put 3 Tel: 381 21 831 462 Fax: 381 21 832 395 ALPHA BANK Georgios Papanastasiou Kralja Milana 11, 11000 Belgrade Tel: 381 11 3230685 Fax: 381 11 3243516 gm-office@alphabankserbia.com www.alphabankserbia.com ALPHA COPY D.O.O. Konstantinos Damofli, Director Raićeva 18, 11000 Belgrade Tel: 381 11 3206700 Fax: 38111 3206732 milinic@alphacopy.gr www.alphacopy.gr ALTO GRAĐEVINSKI MATERI JALI D.O.O. Theologos Gavalas Auto put Beograd-Novi Sad 74, 11080 Zemun (zvanično sedište firme i stovarište) Tel. 011/316-71-42, 011/316-7143, 011/316-71-44 Moše Pijade 14, Vrčin, Beograd (administrativni centar i stovarište) Tel. 011/80-55-244, 011/80-55246, 011/80-55-690 http://www.altoscm.eu prodaja@altogm.rs ALUMIL YU INDUSTRY A.D. Charikleia Lozinsky Industrijska zona bb, 22330 Nova Pazova Tel: +381 22 321 302 Fax: +381 22 321 244 http://www.alumil.com serbia@alumil.com ARXIKON D.O.O. Konstantinos Ioannou Adresa: Studentski trg 10, Beograd

Tel: +381 11 30 38 060 Fax: +381 11 26 38 609 www.arxikon.co.rs info@arxikon.co.rs ASCO VIDAK D.O.O. Železnička 5, 21410 Futog Tel: +381 21 895 090, 895 084, 895 122, 896 296 Maloprodaja : +381 21 897 257 Fax : +381 21 895 768, 896 298 www.ascovidak.com vidak@asco.gr ASHLEY WORLDGROUP BELGRADE Milica Katić Knjeginje Ljubice 28 11000 Beograd Tel/fax: +381 11 2637 648 office@ashleyworldgroup.rs www.ashleyworldgroup.com ATLAS TRADING SM D.O.O. VIVECHROM Mušan Imamović, Director Zrenjaninski put 139e, 11000 Beograd Tel: + 381 11 2960574; + 381 11 2960578 http://www.atlastradingsm.com AXON D.O.O. Blagoja Rankovića 20 11 260 Umka – Pecani, Beograd Tel: +381 11 802 65 46 Fax: +381 11 802 65 47 axon@markou.com.gr www.axon.rs COCA COLA HELLENIC Stefanos Vafeidis Batajnički drum 14-16 Tel: + 381 11 30 73 100 Fax: + 381 11 30 73 199 www.coca-colahellenic.com CYCLAMIN D.O.O. Spyridon Ginis, Nikolaos Nanopoulos Zrenjaninski put 114 A Tel: +381 11/3320287; +381 11/2082777 2009 / Hellenic Business Association 49