USA 2022 by CorD Magazine

INTERVIEW USA 2021

USA 2022

INTERVIEW

USA 2022

SERBIA AGAIN IN U.S. ADMINISTRATION’S FOCUS COMMENT

CONTENTS

H.E. CHRISTOPHER R. HILL, U.S. AMBASSADOR TO SERBIA FOCUS ON THE FUTURE

BARON LOBSTEIN, ECONOMIC SECTION CHIEF AT THE U.S. EMBASSY IN BELGRADE BUSINESSES SEEK STABILITY & TRANSPARENCY

JELENA KNEŽEVIĆ, PARTNER, LEITNERLEITNER DIGITALIZATION MAKES BUSINESS EASIER

STEFAN LAZAREVIĆ, AMCHAM SERBIA PRESIDENT PARTNERSHIP OVER THE LONG TERM

NENAD ĐURĐEVIĆ, SALES DIRECTOR RUSSIA, SEE AND TURKEY, BALL PACKAGING SUPPORTING SERBIA’S TRADE BALANCE

COCA-COLA SYSTEM OPENS ROSA HOMOLJE CARBONATED WATER BOTTLING PLANT IN NERESNICA

IMPRESSUM EDITOR IN CHIEF Neda Lukić n.lukic@aim.rs ART DIRECTOR Branislav Ninković b.ninkovic@aim.rs PHOTOS Zoran Petrović COPY EDITOR Mark Pullen mrpeditorial@mail.com

PROJECT MANAGERS Biljana Dević b.devic@aim.rs Vesna Vukajlović v.vukajlovic@aim.rs Mihailo Čučković m.cuckovic@aim.rs OFFICE MANAGER Svetlana Petrović s.petrovic@aim.rs FINANCE Dragana Skrobonja finance@aim.rs

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

PRINTING Rotografika d.o.o. Segedinski put 72, Subotica USA 2022 Published by: alliance international media Prote Mateje 52, 11111 Belgrade 17, PAK 126909, Serbia Phone: +(381 11) 2450 508 Fascimile: +(381 11) 2450 122 E-mail: office@aim.rs; office@cordmagazine.com

www.aim.rs; www.cordmagazine.com ISSN: 2560-4465 All rights reserved alliance international media 2021 The views expressed in this publication are those of the presenter; they do not necessary reflect the view of publications published by alliance international media

THIS PUBLICATION IS FREE OF CHARGE

TIJANA KOPRIVICA, DIRECTOR OF SUSTAINABLE BUSINESS, DELTA HOLDING AGRICULTURE IS OUR GREAT DEVELOPMENT OPPORTUNITY

VERA NIKOLIĆ DIMIĆ, EXECUTIVE DIRECTOR, AMCHAM SUCCESS MAKES US RAISE OUR AMBITIONS

BILATERAL TRADE EXCHANGE ECONOMY

JACKSON POLLOCK (19121956), AMERICAN PAINTER LIBERATING BREAKTHROUGH OF JACKSON POLLOCK

DENNY ROBERTSON, USAID SERBIA MISSION DIRECTOR STRIVING TO SUPPORT SERBIA IN ADVANCING ITS GROWTH

ROSANDA MILATOVIĆ SKORIĆ, SAS GENERAL MANAGER FOR THE ADRIATIC REGION IN DATA WE TRUST

40 25

ALEKSANDAR ANTIĆ, SALES DIRECTOR, ADRIATIC AND BULGARIA, DELL TECHNOLOGIES ‘SUPPLY CHAIN’ AS A TRADEMARK

VLADIMIR MARINKOVIĆ, DIRECTOR OF THE SERBIANAMERICAN FRIENDSHIP CONGRESS A FRIEND IN NEED IS A FRIEND INDEED

TWO DECADES OF LEADING THE CHANGE AMCHAM SERBIA

USA 2022

COMMENT

Serbia Again In U.S. Administration’s Focus Bilateral relations between Serbia and the U.S. are cordial, but not without their downside. Those relations are today driven by complex political issues, often in parallel with topics related to economic development and innovation

he report “Serbia: Background and U.S. Relations”, written by the U.S. Congressional Research Service, provides an interesting overview of recent developments in diplomatic relations between the United States of America and the Republic of Serbia. Although this report covers only a fraction of the 140-year history of diplomatic relations between the two countries – namely, the last two decades – it nonetheless details various twists and turns that have defined our rather dynamic, and productive relations, which have often been charged by important political issues and different interpretations of the outcomes. The situation is no different today. News reports reveal that the two sides have been discussing Serbia’s stance regarding the Ukraine war, the BelgradePriština dialogue, and EU integration, the diversifying of energy sources in Serbia and the Western Balkans, as well as current geopolitical issues. And none of these represent easy questions

U.S. assistance to Serbia focuses on supporting democracy and the rule of law, rooting out corruption, supporting civil society organizations and press independence, and supporting economic development for discussion or reaching agreement. Nonetheless, alongside these topics that occupy the front pages of the Serbian press, there are other equally relevant themes with the same underlying tone of U.S. support to the EU integration of the entire Western Balkans, Serbia included. These themes are to be found in the USAID support programs that have been devised with two long-term goals in mind: Citizen empowerment/democratic governance; and the development of a fully-fledged market economy. The first group of projects revolve around the themes of improving the

rule of law, rooting out corruption and increasing transparency in state budgeting and spending, but also improving media freedom. The second group of projects relate to the empowerment of small business and, increasingly, to innovation programs designed to help Serbia seize the emerging opportunities offered by the knowledge-based economy, through support to startups, improving links between business and academia, and identifying promising areas for innovation. Among the USAID achievements that often receive AmCham support are those related to improving the business climate at the national and local levels, as well as specific priorities related to construction, public procurement and red tape. The focus is now shifting to environmental protection and biodiversity, and the energy sector, especially the use of renewable energy. And yet, even these topics are not immune to politics. Just two years ago, it seemed that the U.S. International Development Finance Corporation (DFC), a development finance institution and agency of the United States federal government, was set to build a strong presence in the Western Balkans, but – with the arrival of the new administration in Washington, D.C. – that became “subject to shifting political priorities and budget resources,” without permanent staff in Belgrade. By the same token, many U.S. investors already present in Serbia report having good conditions to do business here, yet it has been suggested that new investors question whether the current political and economic conditions favor their arrival.

USA 2022

INTERVIEW

H.E. CHRISTOPHER R. HILL, U.S. Ambassador to Serbia

By Ljubica Gojgić

Focus On The Future Looking forward, Serbia today has an important choice to make. Does it follow its path towards full European integration and realize its full economic, political, and social potential? Or does it continue to chart a different path than its neighbors, a path that attempts to strike a “balance” but which, in reality, pins Serbia’s security and economic hopes largely on the East? I do not want Serbia left behind and I am confident many Serbians do not want that. Neither for themselves nor for their children ~ Christopher Hill

’d characterize the moment right now as quite important - notes U.S. Ambassador Christopher Hill in his first interview for CorD Magazine. “U.S. relations with Serbia go back a long way, and our relations through much of our history have been positive and productive. I know all too well the legacy of the 1990s; and while we cannot forget history, it is important to focus on the future”. Your Excellency, it’s been said that you’ve returned to Serbia for a fourth time. As someone who’s spent more than four decades monitoring relations between the U.S. and the former Yugoslavia/Serbia, how would you characterize those relations today? It’s true that I keep coming back to Belgrade. I was first here as a young boy, when my father was posted as the Political Chief in the early 1960s. Then I was here as a first tour officer in the 1980s. I was in the region in the 1990s as our Chargé in Tirana, a member of the U.S. Dayton team, and Ambassador in Skopje. And now, after a long career in diplomacy and academia, I could not be happier to have found an opportunity to come back to Belgrade as the U.S. Ambassador. I have a lot of experience in this region, but I focused my first few months here on listening, learning, and getting to know today’s Serbia. I’d characterize the moment right now as quite important. U.S. relations with Serbia go back a long way, and our relations through much of our history have been positive and productive. I know all too well the legacy of the 1990s; and while we cannot forget history, it is important to focus on the future. Looking forward, Serbia today has an important choice to make. Does it follow its path towards full

European integration and realize its full economic, political, and social potential? Or does it continue to chart a different path than its neighbors, a path that attempts to strike a “balance” but which, in reality, pins Serbia’s security and economic hopes largely on the East? I do not want Serbia left behind and I am confident many Serbians do not want that. Neither for themselves nor for their children. I think I’ve been clear about where I see Serbia headed, and it’s my hope to do all that I can to help move Serbia towards the West and full European integration. I want to see a prosperous and secure Serbia that offers opportunity to all its citizens.

predecessors failed to resolve. What tops your agenda? One lesson I’ve learned is that you need to understand the playing field and the current conditions before you can make a contribution to solving problems. That’s why I have been focused on getting to know today’s Serbia and trying to better understand how the United States can help Serbia achieve its full potential. I wish I had some magic dust to solve all the challenges in Serbia, the Balkans, and elsewhere, but that’s not how diplomacy works. I do think we can make consequential progress on tough issues, step by step. And that’s where I hope to start.

Your arrival has generated great interest in Serbia and around the region. A section of the public and the media present you as a diplomat who’s been brought out of retirement to resolve everything that your

Speaking on the eve of celebrations marking the 20th anniversary of the founding of the American Chamber of Commerce in Serbia, AmCham Serbia, you agreed with the assessment that Serbia is becoming

MILITARY NEUTRALITY

KOSOVO DIALOGUE

Neighbors must talk. The best framework for that dialogue continues to be the EU-facilitated Dialogue. We support this 100%

a “key investment zone” in Europe. Where do you see potential for further growth? Serbia has changed so much in the last 20 years! One of the most positive and promising transformations I have seen is the country’s growth as a center of technology and innovation. The government has made high-technology development and digitalization a major focus, and it’s clear that those efforts are bearing fruit. Some of the most successful American and international companies doing business in Serbia today are in high-technology fields, including digital services (NCR, Oracle), electronic gaming (Take Two Interactive, Epic Games), and pharmaceuticals (Hemofarm). Oracle and NVIDIA are helping to develop Serbia’s State Data Center to support Serbia’s new e-government services—and it’s important that these companies can provide data security and privacy to EU standards. We are also proud to welcome one of our largest agricultural companies, ArcherDaniels-Midland, to the Serbian market as it plans to develop products for export to the wider European market. Looking ahead, the other sector that begs for new investment is clean and renewable energy. I cannot stress enough the importance of attracting new investment for environmental reasons and for Serbia’s long-term energy security. Tomorrow’s high-tech economy cannot be powered by yesterday’s coal-fired power plants. Serbia must develop large-scale wind and solar power, and it must expand its energy storage capacity to enable these new renewable power sources. U.S. firms are world leaders in clean energy technology, and I hope to see more collaboration and cooperation in this sector.

in Ukraine, America adds security, or unquestionable political alliance, to that list of values – as described recently by U.S. Secretary of the Treasury Janet Yellen. Does Serbia satisfy all the necessary conditions to strengthen business cooperation? American businesses embrace the values of competitiveness, transparency, and free enterprise because, over the course of our nation’s nearly 250-year history, adhering to those values has produced the world’s most prosperous economy. Around the world, the economies that provide fair opportunities to all citizens are the ones that are not distorted by corruption or excessive political influence. Those are the economies where people stay (or move to) to make their living and raise their families.

nies will look to find places to invest where they don’t have to worry about geopolitical uncertainty.

The foundations of AmCham are represented by American business values, which include competitiveness, transparency, and free enterprise. However, when business is discussed in today’s context of the war

Some of the most successful American and international companies doing business in Serbia today are in high-tech nology fields, including digital services (NCR, Oracle), electronic gaming (Take Two Interactive, Epic Games), and pharmaceuticals (Hemofarm) It might sound simple, but people and businesses choose with their feet. Companies will make their own decisions about where to invest. But we now increasingly see that companies make those decisions based on the moral values of their customers and directors. Many Western companies decided to leave Russia after its brutal, unprovoked attack on Ukraine, because their customers and directors demanded it. Many companies may also think twice about investing in countries that have not taken a clear stand against Russia’s aggression. Ultimately, risk and instability are bad for business, so compa-

You’ve stated that you’ll “listen more than speak” during your time in Belgrade this time around. However, you stood out at the very beginning of your term with your messages to the authorities in Serbia, with which you directly announced your government’s expectations of Belgrade, mostly in the domain of geopolitics. Are you not ready to accept the policy of military neutrality that’s insisted on by officials in Serbia? The United States fully respects Serbia’s military neutrality. We are quite pleased that Serbia maintains close military cooperation with the U.S. and is actively involved in the Partnership for Peace with NATO. This cooperation and partnership benefits both Serbia and the United States, as well as NATO. We would like to strengthen it. How Serbia defends itself, how it arms itself, is up to Serbia. These are the most basic and fundamental questions for government. It seems to me that the most effective and efficient path towards security, particularly for a small or medium-sized country, would be to find some friends and to focus on collective defense. Likewise, I’m no expert in military equipment purchases, but I think a pretty basic approach would be to buy equipment that is reliable and that works with those countries with which you cooperate on global operations. Serbia’s key partners are Euro-Atlantic. President Vučić and other Serbian leaders have repeatedly underscored that, politically, Serbia is not neutral and that it has chosen its path towards European integration. My government stands ready to partner with Serbia to help it achieve this strategic goal. You’ve said that you support the Open Balkan regional project. Why do you think that this project in particular – as opposed to, say, CEFTA,

INTERVIEW

The United States fully respects Serbia’s military neutrality. We are quite pleased that Serbia maintains close military cooperation with the U.S.

USA 2022

RELATIONS

I think I’ve been clear about where I see Serbia headed, and it’s my hope to do all that I can to help move Serbia towards the West and full European integration

USA 2022

INTERVIEW

2022, and I’m not sure how durable that framework is today. Kosovo and Serbia are neighboring countries with many mutual concerns. Neighbors must talk. The best framework for that dialogue continues to be the EU-facilitated Dialogue. We support this 100%. I note that we have seen much better cooperation recently on energy, and I’m hopeful this is the start of something more.

which was established as part of the region’s European integration process – has the potential to entice additional investment from the U.S.? We support any and all regional economic cooperation initiatives that will help Serbia and its Western Balkan neighbors come closer to their goal of EU accession, as long as those initiatives remain open to all neighbors. We have made clear at every opportunity that we support the EU institutions and processes that are working towards that goal, because we believe regional economic integration will bring concrete benefits to Serbia and all the people of this region. I attended the Open Balkan summit in Ohrid on June 8, and I spoke with EU commissioners and deputy commissioners, and representatives of European institutions, who felt the same way. A single Western Balkan market—with swift and smooth border crossings and harmonized trade practices and procedures—will be far more attractive to American investors than a slow moving, fragmented collection of small markets.

The Washington Agreement was a good framework, but we are operating in 2022, and I’m not sure how durable that framework is today. Kosovo and Serbia are neighboring countries with many mutual concerns

The United States International Development Finance Corporation, DFC, was expected to have a more active presence in Serbia. What can you say about the DFC’s current activities? DFC has been working for a year and a half now, with the Ministry of Finance, to create a new loan portfolio guarantee program that will work through commercial banks in Serbia to support small and

The DFC’s stronger presence was linked to the so-called Washington Agreement between Belgrade and Pristina, which was forged under the patronage of the cabinet of former President Trump. How do you view that agreement today; is it still considered valid? The Washington Agreement was a good framework, but we are operating in

medium-sized businesses. Many smaller companies have been hurt by the Covid-19 pandemic, and now by the upheaval caused by Russia’s war of aggression against Ukraine and wider global economic disturbances. This program will reduce the risk and the cost of bank loans to these smaller companies, and we hope it will help them survive and even thrive in the coming years. DFC has recently completed preparations to launch that loan guarantee program in cooperation with Banca Intesa, and more banks will be participating in the coming months. I would like to see DFC become more active in Serbia.

Your arrival in Belgrade was followed in Kosovo and accompanied by the comment that you’re arriving “in the right place, at the right time.” Given Washington’s position that Serbia should recognize Kosovo independence, do you have much wiggle room in your diplomatic activities? I just returned from my first trip back to the United States, and I think I can say that Washington is, as always, very willing to work with those who are willing to work with us and to seek lasting solutions. You were a member of the U.S. delegation that made preparations for the signing of the Dayton Accords, but today some people suggest that this peace agreement has lost its relevance and is only hindering the proper functioning of Bosnia-Herzegovina. Can the Dayton Accords be amended without running the risk of deepening the existing crisis in that country? I’m the U.S. Ambassador to Serbia, so I’ll kindly repeat what my colleague at the U.S. Embassy in Sarajevo, Michael Murphy, said just a few months ago when he too arrived as the new U.S. Ambassador: “BiH requires functional, efficient, and accountable state-level institutions in which all leaders participate in good faith. It also requires functional, efficient, and accountable entities that are focused on building a democratic and prosperous future for their residents. Right now, BiH has neither. With this in mind, I will make it a priority to support the implementation of the Dayton Peace Accords, the subsequent state-level reforms that your elected officials supported and agreed to, and most importantly, Bosnia and Herzegovina’s sovereignty and territorial integrity.” It is my hope that President Vučić and Serbia will continue to also work towards these goals.

USA 2022

INTERVIEW

BARON LOBSTEIN, Economic Section Chief at the U.S. Embassy in Belgrade

Businesses Seek Stability & Transparency We still see great interest among American companies in investing and doing business in Serbia, but businesses are now naturally asking difficult questions about the future of trade relations and supply lines, in light of Russia’s war in Ukraine and broader economic uncertainties

aron Lobstein Economic Section Chief at the U.S. Embassy in Belgrade, is set to leave Serbia soon, bound for another post. We took the opportunity to speak with him about the most pressing issues confronting economies across the world, including Serbia, at this moment. This inevitably meant discussing the war in Ukraine, sanctions against Russia and the broader implications of these developments for the Serbian economy.

World leaders today talk mainly about the failures of globalization (broken supply chains, food and energy price inflation and an intellectual property (IP) regime) and advocate solutions like reshoring, nearshoring or ‘friend-shoring’ production. How strongly is this view represented in U.S. government and business circles? In my view, and in the view of most U.S. policymakers, the international rules-based

system remains the world’s best hope for lasting, broad-based, global prosperity. Globalization has not failed, but economists agree it has shown limitations. A global economic order must be governed by rules that provide for fair competition and consequences for abuse. And supply chains are only as good as the logistics networks that keep them functioning. In times of crisis, such as Russia’s war of aggression against Ukraine, as well as during surges of demand or supply, these supply chains come under strain. When countries respond by retreating from the global market—or by introducing export controls on key commodities—these actions only worsen economic shocks for the rest of the world. Of course, countries must provide for their economic security. This means having reserves or alternative sources of key resources in the event of emergencies or disruptions. To take one timely example, Germany, Serbia, and many other European countries are now learning the hard way that their excessive dependence on Russia for natural gas and oil was a mistake. We have long advocated for countries to diversify their sources of energy supply and, ideally, build up domestic production of renewably-sourced energy to boost self-sufficiency. Also, we learned during the Covid-19 pandemic—from Serbia’s example—that having multiple sources of vaccines and testing equipment is critical during a disease outbreak. This is not an argument against globalization, but in favor of diversity of supply and careful planning. Where are ‘friend-shoring’ production locations for U.S. companies and

ATTRACTIVENESS

CONCERNS

GRATITUDE

The acquisitions of Serbian electronic gaming companies 3Lateral and Nordeus by U.S. firms clearly demonstrate the attractiveness of Serbian innovation to American investors

Rule of law and transparency of enforcement are some of the issues Serbia will need to tackle if it wishes to continue attracting high-quality investment to this growing economy

I am proud to have been a part of the U.S. Embassy team working on a number of issues for the past three years, and I hope I can look forward to seeing our efforts bear fruit in future

how can countries become eligible to be considered ‘friend-shoring’ alternatives in a world that’s today marked by the war in Ukraine? Having a commercial relationship with the United States does not require passing a political test. Unlike some other countries, we do not choose our trading partners based on their loyalty to a political ideology, but rather based on their adherence to commonly accepted standards of fair competition and fair treatment. The global economy is a system with rules and standards that ensure fair commerce and competition for all who subscribe to them. Likewise, countries that show blatant disregard for those standards of conduct should face consequences, including economic and trade sanctions in extreme cases. I again cite the example of Russia, whose leaders have launched an unprovoked war on a neighboring country, destroying tens of thousands of lives, displacing millions, and causing global economic disruption. There can be no “business as usual” with such countries. Otherwise, rules are meaningless. Those who support Russia’s actions in Ukraine—by undermining the sanctions that have been put in place to respond to the Kremlin’s aggression—cannot expect the global community to protect their own principled interests in the future.

that are already in Serbia have reported positive, successful experiences here in general, but businesses are now naturally asking difficult questions about the future of trade relations and supply lines in light of Russia’s war in Ukraine and broader economic uncertainties. What is Serbia’s energy future? Will Serbia continue to make progress toward joining the EU? Executives of American companies have asked me these very questions in recent weeks, as they decide whether to invest in Serbia. The answers to these questions depend on Serbia’s choices. Accession to the EU, for example, requires that a candidate country align itself with the EU common foreign

the Balkans beyond their dim memories of the 1990s. In these conversations, I have always spoken positively of Serbia’s improving business climate and the activism of the American Chamber of Commerce, NALED, and other business associations that have made this improvement possible. I speak about the dynamic, young, intelligent workers who have created an exciting new ecosystem of technology companies. I talk about the Serbian government’s genuine interest in attracting foreign investment to help build up export-oriented industries. Serbia has a very promising story to tell. But almost every conversation then becomes more complicated. The companies ask me about corruption. They ask whether the judicial system effectively protects property rights and the sanctity of contracts. They ask whether their companies will be able to find enough qualified employees. They ask when Serbia might finally join the European Union. They wonder whether they will be able to power their businesses with clean energy sources here. These are important questions for every business executive considering a new investment. In the EU, business managers feel they can generally trust that rules exist and will be followed and enforced transparently. These are issues Serbia will need to tackle if it wishes to continue attracting high-quality investment to this growing economy.

U.S. Ambassador Christopher Hill recently said that Serbia has become a key investment destination in Europe, and further noted that American companies have invested over four billion dollars in Serbia and that there is still great potential for further growth. To what extent do these possibilities (for Serbian growth and new investments including nearshoring and friend-shoring) depend on Serbia’s political choices in relation to Russia? We still see great interest among American companies in investing and doing business in Serbia. American companies

In a real sense, Serbia is competing with the EU for its people’s future. This should serve as a stark message to Serbia’s leaders that they have no time to lose in bringing Serbia’s economic, legal, and political institutions and environment up to EU standards and security policy. Is Serbia prepared to do that? If not, what message does that send to the international business community? What will it mean for Serbia’s reputation globally? Of course, we hope Serbia will make the choice to align itself with Europe, where its true economic interests lie. In addition to political factors, which other factors do you see as being important to the decision-making process of every foreign company considering investing in Serbia? What has been shown by the experiences of U.S. companies in Serbia to date? In the three years that I have worked in Serbia, I have had the privilege to speak to many representatives of foreign companies who are considering investments here. Often these executives are not familiar with

The U.S. has offered Serbia alternative gas supply options that would ease Russia’s grip on the country’s energy, but how realistic is this plan in terms of logistics and vis-à-vis the potential environmental impact? Serbia has a number of alternative gas supply options available to it in the next two years that could help improve the country’s energy independence and security—if it actively invests and enters into contracts with alterative suppliers. Once the interconnector with Bulgaria is complete, Serbia can access supply from either the floating liquefied-natural-gas 13

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INTERVIEW

enter foreign markets, they don’t start from scratch; usually they look to invest in existing startups with an impressive product or technology and the potential to grow. Serbia has become attractive to American technology investors specifically because Serbia’s business environment has become fertile ground for innovative startups like 3Lateral and Nordeus. This has happened through a combination of a strong education system and improved business regulation. If improvements continue, and if Serbia’s policymakers lead development in the right direction, these acquisitions are only the beginning of a much bigger future for Serbian innovation.

terminal at Alexandroupolis, Greece, now under construction, or the Trans-Adriatic Pipeline, which will expand its capacity if its market test later this year is successful. Serbia could also cooperate with Romania to receive natural gas from the Black Sea, as well as build a link to Croatia’s Krk gas terminal. Of course, any use of hydrocarbon fuel entails environmental consequences. We hope Serbia and other countries around the world will eventually move to 100-percent clean energy sources, but that will not happen overnight. Aside from Russia, Serbia is also focused increasingly on Chinese investments. How come we lost U.S. investors like U.S. Steel, and possibly the United States International Development Finance Corporation (DFC), only for them to be replaced by Chinese alternatives. Who is to blame, if anyone, and does this represent a lost diplomatic opportunity? When businesses decide to enter or exit a market, it is usually for commercial reasons. U.S. Steel made the difficult decision to sell the steel plant in Smederevo in 2012 in the wake of a global economic crisis that had resulted in several unprofitable years for the plant. Chinese company Hesteel took over the Smederevo plant four years later, by agreement with the Serbian government, in a different economic environment. DFC is a government agency, subject to shifting political priorities and budget resources. While DFC does not have permanent staff in Belgrade currently, Serbia 14

If the improvements continue, and if Serbia’s policymakers lead development in the right direction, acquisitions of successful startup companies are only the beginning of a much bigger future for Serbian innovation has not “lost” DFC, and I am not aware of any Chinese alternative. DFC is actively cooperating with the Serbian Ministry of Finance, the National Bank of Serbia, and commercial banks in Serbia to develop a $400 million loan guarantee program to benefit small and medium-sized businesses in Serbia that have been affected by current economic disruptions, including the Covid-19 pandemic. That program is moving ahead, and we hope to see more DFC-sponsored investments to promote Serbia’s economic growth and resilience. USAID is increasingly supporting not just the development of traditional SMEs, but also innovation projects with scale-up capacity. How attractive to U.S. companies is their potential for innovation? If you are looking for evidence of the attractiveness of Serbian innovation to American investors, you could start with the acquisitions of Serbian electronic gaming companies 3Lateral and Nordeus by U.S. firms in just the last three years. When American companies like these

On the flip side of the development coin, Serbia is facing a significant brain drain. How does the U.S. support Serbia in dealing with this challenge? Serbia is not alone in facing the challenge of brain drain. This is a problem in many countries in Europe, and especially in the Western Balkans. It is a complex problem with many causes. To a great degree, Serbia and other countries have become victims of the success of the European Union. Many people leaving Serbia are seeking opportunity and higher living standards in Germany, Austria, and other EU countries. In a real sense, Serbia is competing with the EU for its people’s future. This should serve as a stark message to Serbia’s leaders that they have no time to lose in bringing Serbia’s economic, legal, and political institutions and environment up to EU standards. We are working with our EU partners to support these efforts—it is the central motivation for everything we do here. We are doing it through assistance on economic inclusion for marginalized communities, by helping to bring new sources of financing to smaller businesses, and by advising U.S. companies that are interested in investing in Serbia and bringing new jobs here. We are ready to support regional economic integration efforts, and we are urging all parties toward near-term normalization of relations between Belgrade and Pristina. I am proud to have been a part of the U.S. Embassy team working on these and other issues for the past three years, and I hope I can look forward to seeing our efforts bear fruit in the coming years.

USA 2022

JELENA KNEŽEVIĆ, Partner, LeitnerLeitner

In addition to dealing with current topics emerging from new fiscalization and the electronic invoicing system, LeitnerLeitner – to the satisfaction of its numerous clients – is presently also dealing intensively with standard topics in the tax domain and relevant issues in the field of accounting

n accordance with recommendations contained in the Foreign Investors Council’s 2021 White Book, Serbia should work on solutions that encompass the digitalization of labor and legal documents, more flexible conditions for working from home, as well as more flexible conditions and procedures for terminating employment.

What are foreign investors most critical of regarding our economic environment? What should we work on? The latest publication of the Foreign Investors Council’s 2021 White Book recommended, among other things, amending the property tax law and ensuring the valuation of property at a fair value for corporate income tax purposes, as well as facilitating the use of digital signatures, so they become available to the largest number of citizens. The White Book includes analysis of nine areas selected as priorities, namely: taxes, labor regulations, digitalization and ecommerce, real estate and construction, illicit trade prevention and inspection oversight, food and agriculture, bankruptcy, foreign exchange regulations and pharmaceuticals. How significant for the economy as a whole is the new law on fiscalization and the digitalization of transaction operations through the system of electronic invoices? The main novelty of the new Law on Fiscalization is that every invoice is fiscalized at the moment a retail transaction is performed, and information on the transaction is forwarded to the Tax Administration in real time. The Tax Administration thus receives timely information on transactions, which enables better tax

BUSINESS

Digitalization Makes Business Easier

reduces the risk of error, increases transparency of operations and ensures delivery certainty, with which the better collection of receivables would be ensured. Additionally, the benefits to employers include a reduction in processing costs, storing invoices and, perhaps most importantly, preventing the possibility of changing the contents of an invoice, which enables greater operational security.

In step with new fiscalization, we are also approaching the introduction of the electronic invoicing system, as another step forward in the digitalization of operations control and collection. In step with new fiscalization, we are also approaching the introduction of the electronic invoicing system, as another step forward in the digitalization of operations. The idea of the electronic invoicing system is to speed up and simplify the operations of businesses, and it certainly also contributes significantly to the green agenda. Introducing electronic invoicing

LeitnerLeitner is known for its seminars, congresses and conferences. What are the most relevant topics today at your professional/ expert events? Considering that the most current topics in recent times emerge from the new fiscalization and electronic invoicing system, we have organized a large number of internal training courses for our clients that address these topics. As legislation has been changing rapidly in recent years, the training we organize always deals with topics that are current at that moment. Of course, there are standard topics in the tax domain that are always current, which includes current issues related to Value Added Tax, Corporate Income Tax/transfer prices, Personal Income Tax (payroll), Income Tax on Foreign Nationals (expats), as well as relevant current issues in the field of accounting. We regularly organize webinars on the topic of international taxation, where we work together with colleagues from our other offices across Europe to address certain topics and accordingly identify parallels between different tax environments in terms of similarities and differences, which has been recognized by our international clients and partners as being very useful and informative training. 15

USA 2022

INTERVIEW

STEFAN LAZAREVIĆ, AmCham Serbia President

Partnership Over The Long Term The American Chamber of Commerce in Serbia, AmCham, has represented an important pillar of American-Serbian partnership for 20 years already. Its goal is to work, through partnership with the Government of Serbia, to advance the business climate, promote the best business practices and values of America and Europe, and help its member companies period of weak growth and increased inflation. The European Commission, on its side, revised its 2022 economic growth forecast for the eurozone by 1.3 percentage points, down to 2.7%, while increasing its inflation forecast by 3.5 percentage points to 6.1%. The most significant negative factor is the rising price of energy, which has seen inflation soar to record levels at the European level, overburdening European companies and households. All of these factors are important to economic movements in our country. The research we conducted during 2021 showed optimism among member companies when it comes to their growth plans. Following the start of the war in Ukraine, we carried out a survey among member companies and the answers showed that they are less optimistic compared to last year, primarily due to the continued presence of the pandemic, the war in Ukraine, inflation and energy prices.

mCham will continue to work over the next decade to promote the values of American business and strive to hold a seat at every table at which advancing the economic environment is discussed,” says AmCham President Stefan Lazarević at the start of our interview, during which we summarized AmCham’s 20 years of activity in Serbia and its members’ expectations for the year ahead. 16

Given current economic developments globally, and the ways those developments reflect on the Serbian market, what kind of operational results do AmCham members expect? According to the latest reports of the World Bank, global growth is expected to contract from 5.7% in 2021 to just 2.9% in 2022. This means that the global economic slowdown is continuing, and is now entering the phase of a prolonged

In your opinion, and according to AmCham members, where does room exist for Serbia’s new government to improve conditions for doing business in the Serbian economy? Digital transformation, the agenda for an environmentally clean and energy efficient Serbia, advancing the health care system and business integration through regional initiatives are four priorities that AmCham and its members will work on intensively during the

PARTNERSHIP

INVESTORS

POTENTIAL

The American Chamber of Commerce’s AmChamps program, which was launched in 2014, serves as an example of how businesses and educational institutions should work together to educate young leaders

It is noticeable that the number of American investments in our country is growing year on year, that American companies feel good in our country and that they’re doing a great job of promoting Serbia further

AmCham encourages the Open Balkan initiative actively and strongly, primarily because we’re sure that such initiatives can provide a significant stimulus to activating the economic potential of the region

period ahead. We believe these priorities are key to the continued creation of a predictable and stable business environment, which is why we’re sure they’ll also remain among the top priorities of the next Government of Serbia. Alongside these four key tasks, as we’ve previously pointed out, improving the rule of law, judicial efficiency and the fight against corruption remain fundamental and crucial preconditions for advancing the business climate sustainably, which we are convinced the new government will also continue working on.

the Open Balkan initiative represents, first and foremost, an economic initiative for the improved integration of business within the scope of the region. When it comes to nearshoring, supply chains disruptions worldwide, caused by the Covid-19 pandemic and the war in Ukraine, have put nearshoring on the agendas of a large number of companies. With a view to the geographical position of the region, competitive tax regimes to attract foreign investments, and cultural similarities, this region could be interesting to European companies.

but it’s encouraging that work is being done in parallel on many tracks. For example, citizens of Serbia, North Macedonia and Albania could soon be hired in these three countries by showing only their Open Balkan Identification Numbers, with no additional administrative barriers, which would really be a huge step. In late 2021, the Agreement on Conditions for Free Access to the Labor Market in the Western Balkans, the Agreement on the Interconnection of Electronic Identification Schemes for Western Balkan Citizens, the Agreement on Cooperation in Veterinary, Phytosanitary, and Food and Feed Safety in the Western Balkans, and the Agreement on Mutual Recognition of Certificates of Authorized Economic Operators for Security and Safety (AEOS) were all signed and are now valid in all three countries. It is now important to speed up work on the implementation of these agreements, which we are supporting strongly.

What does the Open Balkan initiative mean to you and how do you view it in the context of the nearshoring trend that’s emerging in the wake of Covid-19? AmCham encourages the Open Balkan initiative actively and strongly, primarily because we’re sure that such initiatives can provide a significant stimulus to activating the economic potential of the region as a whole, which is an excellent thing. Even though it currently only includes Serbia, Albania and North Macedonia, the Open Balkan initiative, represents - as noted recently by Ambassador Hill - great support to the process of the accelerated accession of the region to the European Union, which is a goal that we support strongly. Enabling the free flow of goods, capital, services and people on the basis of the EU model will enable the growth of many sectors, and contribute to strengthening the economies of the region. AmCham will endeavor to also be a constructive partner in this direction by continuing to work with all participants. I would also add that the American chambers of commerce across the region work closely on a large number of issues, because we have common challenges and shared aspirations for a better business environment, and for us

The pandemic, the war in Ukraine, inflation and rising energy prices have led to reduced optimism among member companies, but - given the uncertainty – it’s pointless to predict future trends However, institutional inadequacies – the same ones hampering the countries of the region in the EU accession process – make such decisions somewhat more complicated. The Open Balkan initiative, as a platform that uses European standards as the basis for rules on the free movement of goods, people, capital and services in the region, is something that can ease and fast-track such decisions, but whether we, as a region, can take advantage of this crisis will depend on the effectiveness of implementing this initiative in practice. From your perspective as a businessman, where do you see the most room to improve the institutional framework in order to really bring the Open Balkan initiative to life when it comes to the flow of people, goods, and capital? When we speak of the institutional framework, there are many challenges,

AmCham has been active in Serbia for two decades already. With that in mind, which of your chamber’s many initiatives would you single out as being important to shaping Serbia’s market economy? The partnership between the United States and Serbia has lasted more than 140 years, and we are proud that the American Chamber of Commerce has been an important pillar of that partnership for the last 20 years. This year’s celebration of our important anniversary provides an opportunity to remind ourselves of our own top priority: improving the business environment, which we have been working on continuously, and in partnership with the governments of the Republic of Serbia, since 2001. Systemic work to improve the business environment cannot be effective in the short run, nor – in that sense – could we single out a couple of initiatives 17

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INTERVIEW

that have provided key contributions to change. We have worked on this important task, and continue to do so, together with our members, with the Government of Serbia and with other important stakeholders in Serbia. Every step that each of us has taken in the right direction, and especially the systemic reform activities that we’ve witnessed since 2000, has meant a step in the right direction for all. The changes in the domain of the economy are significant and plain to see, even though all of us – both citizens and businesspeople – wanted those changes to come faster and be felt more. Still, we should be honest and remind ourselves of where Serbia was immediately after the democratic changes of 2000 and where we are today. Apart from regular topics like improving transparency and the rule of law, today we are also seeing topics like digitalization, energy diversification, and environmental protection high on the government’s agenda. What can U.S. investors offer in these fields? It is noticeable that the number of American investments in our country is growing year on year, that American companies feel good in our country and that they’re doing a great job of promoting Serbia further, which – as the largest country in the region – has imposed itself as a key investment destination. We are encouraged by the arrival of American investors in the services and manufacturing sectors despite the impact of the crisis on the volume of investment globally, which is of course also reflected in our region. The list of interests of American companies is traditionally topped by the IT and telecommunications sectors, various production activities, especially in the consumer goods sector, the pharmaceutical industry, the automotive industry, infrastructure and similar areas. We expect even higher interest in Serbia among American companies in the period ahead, and for certain in the areas you mentioned. Serbia has witnessed the gradual emergence of a large number of

have collectively invested more than 14 billion euros in Serbia and employ over 100,000 Serbian citizens. Our goal is to work, through partnership with the Government of Serbia, to improve the business climate, promote the best business practices and values of America and Europe, and to enable the continuous professional development of members and the improvement of education in accordance with the needs of the business community. We collaborate with all organizations and individuals who share the same values and strive for the same goals, and do so with great enthusiasm.

Digital transformation, the agenda for an environmentally clean and energy efficient Serbia, advancing the health care system and business integration through regional initiatives are four priorities that AmCham and its members will work on intensively during the period ahead business associations that bring together local and foreign investors. How strong is the competition among these associations today and what are AmCham’s strengths when it comes to enticing new members? At AmCham we don’t see other business associations as competitors, but rather as collaborators working on the same mission. AmCham gathers together more than 210 American, international and domestic Serbian companies that

Skilling, reskilling and upskilling are today, more than ever before, seen as top factors of employee competitiveness. How can the government and business associations work to influence the creation of an education system that’s more flexible and robust? Skills, or competencies, are the key currency of the future, and the speed at which one can adapt to new conditions, i.e., the ability to learn new skills, is an element that will determine the path of success or failure to a great extent – both when it comes to individual businesses and economies around the world. With this in mind, it comes as no surprise that the European Commission launched the EU Pact for Skills in late 2020, as a common platform for access to the development of skills. It is clear that this topic requires a synergetic approach and joint work among governments, businesses and educational institutions, and that each of these stakeholders has a crucial role to play in this process. The American Chamber of Commerce’s AmChamps program, which was launched in 2014, serves as an example of how businesses and educational institutions should work together to educate young people who possess the capacity to become leaders in the business community. Eight generations of final-year students and young managers have so far successfully completed this mentoring program, one of the basic elements of which is to develop a readiness for lifelong learning and the development of ideas and experiences.

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NENAD ĐURĐEVIĆ, Sales Director Russia, SEE and Turkey, Ball Packaging

Ball Packaging Serbia produces about 1.5 billion cans a year, of which last year 55% were exported to more than 20 markets around the world. Their packaging is 100% recyclable, an unlimited number of times and with minimal loss

BUSINESS

Supporting Serbia's Trade Alance all Packaging, the largest American greenfield investment, believes that responsibility for the future of our planet is shared equally by all actors in society – the state, individuals and companies, and that this is why establishing circularity through an efficient recycling system is their top priority. Ball has been operating in Serbia for 17 years as the largest American greenfield investment and one of the largest exporters. What do the numbers say? Ball Packaging is a company that currently employs a total of 500 people in Serbia, 300 workers in our production facilities and another 200 in our global business center based in Belgrade. We have also become one of the largest exporters in the country. Belgrade has become an operational center for the entire Ball EMEA Global Business Services (GBS) team. We produce about 1.5 billion cans a year, of which 55% of our total production went to more than 20 markets worldwide over the past year. In this way, we provide enormous support to Serbia’s trade balance and the state economy. Since we opened our factory in Serbia, Ball has continued to invest continuously in production, we have expanded our production capacities, we have opened new production lines to be able to respond to market demand. In addition, we invest in the development of new technologies and in our staff, because they are our greatest asset. In your business, you emphasize the circularity and sustainability that cans provide as packaging. Do you plan investment in new technology for this?

Ball is a company that pays special attention to investing in new technology, not only to improve our business, but because we really base our business on circularity. We produce packaging that is 100% recyclable, an unlimited number of times, with minimal losses. Currently, 76% of cans are recycled in Europe, but with new investment we want it to be 90% by 2030. That is why we are investing in new technology that will contribute to the efficient establishment of recycling systems. Also, the electricity used in our production comes from renewable sources. And that is another mechanism we are developing to ensure complete circularity of our product. Ball has been educating the public about recycling for more than a decade. As one of the largest global manufacturers of ‘packaging of the future’, is this the best indicator that you are aware of your great responsibility? We also believe that education and the right information for customers, consum-

We are continuously investing in new technology that will contribute to the efficient establishment of recycling systems ers, is central in decision-making and responsible behavior towards the environment. That is why we are implementing several educational projects both globally and locally. We are especially proud of the Every Can Counts project, which is implemented in 20 countries around the world. Through this campaign, we raise awareness of the importance of recycling cans, especially those drinks that are consumed outside the home “on the go”. In this regard, we support festivals, various events, schools and offices in recycling their cans. We attend at least twenty events a year, some of them as big as EXIT. I would also like to single out our cooperation with educational institutions, and with our actions we have been present in about 450 schools. 19

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Coca-Cola System Opens Rosa Homolje Carbonated Water Bottling Plant In Neresnica The Coca-Cola System has officially opened a new bottling plant in Serbia, in the small town of Neresnica in the municipality of Kučevo, thereby continuing its significant investments in the Serbian economy and providing a strong incentive to economic development in the east of Serbia

his new bottling plant, the unveiling of which was attended by Serbian President Aleksandar Vučić, U.S. Ambassador Christopher Hill and numerous guests from the political and business world, will produce Rosa Homolje carbonated water. Five million euros is set to be invested in modernizing production and equipment in the first year alone, with 50 workers to be hired in the first phase. Speaking at the facility’s opening, President Vučić stressed that new investments are the best way to bring people back to the Homolje region and that the opening of this new bottling plant is an opportunity for new jobs and a new future. “We are talking about how important Coca-Cola is for the whole world and what it represents as a brand. That’s why we want Coca-Cola to enter every part of our country, just as it has entered every American household, because that means we’ll be stronger and more significant and that Serbia will progress faster. Wherever Coca-Cola arrives, people not only receive secure jobs, but it is also certain that we will have profit, a market and, first and foremost, assured quality,” said President Vučić, noting that the Coca-Cola System provides a significant contribution to improving Serbia’s export potential. The Neresnica bottling plant is the Coca-Cola System’s fourth major acquisition in Serbia over the last two decades, during which the Coca-Cola family has been joined by Vlasina’s Rosa water, Next Juices and food manufacturer Bambi. With its comprehensive 24/7 portfolio, as well as its partnership relations with the local community, this company has reaffirmed

its status is an indispensable partner of customers, consumers and the local economy. “Rosa Homolje marks the start of a new era and is our new growth driver, with which we will achieve an even greater contribution to the economy as a whole. With high quality and high production standards, we will raise the bar to an even higher level. We have plans to expand the capacity and export Rosa Homolje to the markets of the region,” announced CocaCola HBC Serbia and Montenegro General Manager Svetoslav Atanasov.

He added that the Coca-Cola System continues to be a reliable partner to the Serbian economy, and now also to its new home: the Homolje region. Rosa Homolje is sourced from the heart of untouched nature that is Homolje and represents a genuine refreshing change on the market. With this innovation, the Coca-Cola System in Serbia has once again showed that it monitors consumer desires continuously, but also that – as a proven market leader – it recognizes and creates trends, thereby contributing to the development of the market as a whole. “We are extremely proud of the new member of our portfolio, Rosa Homolje carbonated water, which is sourced from high-quality, calcium-rich springs that are over 20,000 years old. With strong brand positioning, we want to approach consumers with a message of the impressive quality that characterizes our new product,” said Coca-Cola Country General Manager for Serbia, Montenegro and North Macedonia, Luca Santandrea. Since opening its first bottling plant in Serbia back in 1968, the Coca-Cola System has invested continuously in the community, creating both jobs and new values, while at the same operating in accordance with the highest environmental protection standards. According to the latest data available, related to 2019, production and trade in the products of the Coca-Cola System brings 291 million euros of added value to the Serbian economy, equating to 0.6% of the Republic of Serbia’s GDP. The system employs 1,700 people directly and supports another 14,400 jobs in related industries and sectors of the Serbian economy.

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TIJANA KOPRIVICA, Director of Sustainable Business, Delta Holding

After the successful outcome of the Our Village project, which launches agricultural development and village renewal, Delta Holding recently began a new venture: The Digital Village. They are on the right track, as shown by global events, which increasingly suggest that the production of healthy food is the world’s number one priority

ur firm determination to take care of the environment is reflected, among other things, in the use of alternative energy sources and electric delivery vehicles. Our goal is to use at least 60% energy from renewable sources by 2030 - reveals Ms. Koprivica in this interview for our magazine. If it were up to you at Delta Holding, Serbian villages would be more developed and tempting to live in than Swiss ones. Do you think that agriculture is our development opportunity? Our villages have great potential for development and we believe that it is very important for Serbian agriculture and for the economy as a whole to revive it. That is why we launched the Our Village project to show that a comfortable village life is possible. The aim of the project is to improve the quality of life in rural areas through improved economic conditions and social life. We have recognized that it is possible to encourage revenue growth by educating small producers about modern agriculture, supporting investment, marketing and improving other business skills. We have been talking for a long time about the fact that agriculture is our great chance for development, because Serbia is rich in fertile land which, with proper use, can be turned into a gold mine. Can you tell us a bit more about your Digital Village venture. What kind of project is this?

BUSINESS

Agriculture Is Our Great Development Opportunity taking part, and we expect that in the coming years more than 100 farmers in Mokrin will join us.

Educating small producers about modern agriculture, and supporting investment, marketing and improving other business skills encourages revenue growth

How do you provide all the electricity for your own needs, besides installing solar panels? We mainly provide electricity from conventional sources, but our goal is to use at least 60% of energy from renewable sources by 2030. Solar power plants have already been installed at seven locations, so that four of our factories, two cold stores and the Napredak farm will replace 30% of electricity from conventional sources with solar energy. In addition to solar panels, the capacity of the biomass boiler at the Seme Sombor factory was expanded during 2021; this uses corn waste in the process of drying corn. Smaller biomass boilers also exist for heating the facilities on the Jedinstvo estate in Apatin and Napredak in Stara Pazova. A project is being prepared for a solar power plant at the Sava Center, and other locations will be considered for solar panels and a biomass boiler.

We started the Digital Village project in Mokrin, together with our partners BioSense and Mokrin House. The main goals of the project are education in modern agriculture and the use of digital technology to facilitate the work of producers, making them more competitive on the market because they reduce investment and increase yields. The project is expected to last for three years. Currently, 30 farms are

Your online shop Pineapple uses electric delivery vans. What are the environmental benefits? Electric vehicles do not emit harmful gases while driving. Of course, during the production of parts and electricity for charging batteries, a certain amount of carbon dioxide is emitted, but the total carbon dioxide emission is far lower than for vehicles powered by internal combustion engines. 21

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INTERVIEW

DENNY ROBERTSON, USAID Serbia Mission Director

Striving To Support Serbia In Advancing Its Growth We will continue working together with all willing Serbian partners – from government, to media, to civil society and small business – to help Serbia fully integrate into European structures, and to help the country achieve its full political, social, and economic potential ~ Denny Robertson

e have two long-term goals that we share with our Serbian partners. The first is to help citizens access reliable information, engage with their government, and work collaboratively to meet today’s challenges and chart a better future. Our second goal is to help all of Serbia’s people prosper by helping businesses grow and access new economic opportunities - says USAID Mission Director Denny Robertson, with whom we discussed the USAID legacy in Serbia and future plans. In addition to the aforementioned goals, USAID also focused on helping Serbia mitigate the impact of Covid-19 during the past few years. “Serbia’s response was strong. So, USAID helped fill the gaps by delivering diagnostic equipment, ambulances, and public health education. We are now supporting health professionals in their outreach to increase acceptance of vaccines”, explains our interlocutor. “Our USAID projects touch so many people throughout Serbia, but we’re particularly pleased that, during the last year, we reached millions of citizens with information about digitalization and cybersecurity; our civil society partners managed to collect 70 tons of food for the country’s most vulnerable families, and to increase Serbia’s philanthropic giving rank from 129th to 48th worldwide; we helped 164 small businesses and 3,231

ENVIRONMENT

IMPACT

RESPONSIVENESS

We will soon focus on helping Serbia to protect its environment and biodiversity by working on capacity building, sustainable financing mechanisms, and increasing citizen engagement

Our USAID projects touch many people throughout Serbia, from fruit and vegetable growers, to millions of citizens who’ve received valuable information about digitalization and cyber security

During the Covid-19 pandemic, we modified almost all of our activities here in Serbia to work in the context of the pandemic and to meet Serbia’s most pressing needs

fruit and vegetable growers to grow their exports and export to new markets; we facilitated $58 million in loans to small businesses and established a revolving fund with municipalities to provide micro-loans for farmers who lack access to banking services; and, we helped attract investments in women-led businesses worth $3 million”, says Roberts.

proach. For example, our programs on innovation were designed to help Serbia seize the emerging opportunities offered by the knowledge-based economy. In addition, we are now designing programs to increase the economic inclusion of marginalized groups, based on new assessments and the application of sustainable development tools. Overall, all our programs have built-in flexibility, so we can modify the focus during implementation when needed. This became especially important during the Covid-19 pandemic, and we modified almost all of our activities here in Serbia to work in the context of the pandemic and to meet Serbia’s most pressing needs.

USAID is helping strategically and financially in all reforms important for Serbia’s EU accession path. Which areas do you see as critical for the acceleration of this process? It is no secret that improving the rule of law is critical. Serbia needs to reduce political influence in the judiciary, and opportunities for corruption, in order to meet EU accession requirements and, just as importantly, to meet the demands of its citizens. While working for many years with the judicial sector, we have seen notable improvements on efficiency, yet the independence of the judiciary and related anti-corruption concerns remain. We are now focused on helping to address

How flexible is your assistance in terms of radical changes in the economic environment at the global and European level? We strive to adapt to changing conditions, needs, and opportunities, and to learn continuously, all in order to improve USAID’s development ap-

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INTERVIEW corruption issues, especially in public procurement. Public procurement represents nearly nine percent of Serbia’s GDP, and surveys show that citizens believe corruption is rife. Corruption hurts citizens directly when resources are siphoned off, rather than used to resolve priority issues. Rightfully, citizens get angry when a public square is falling apart before it is finished because of shoddy materials and workmanship. If citizens have more information about where money is being spent and how it is being awarded, and if government bodies have increased capacity to manage the process transparently and improve the quality of the tendering process, Serbia can make real progress in meeting the demands of its citizens. How much are the digital evolution and innovation present in your support programs for Serbia? For Serbia to realize its economic aspirations, its talented young people need to see their futures here. We’re committed to helping Serbia develop its knowledge-based economy and fight brain drain. Serbia has the talent to succeed. The challenges are nurturing, unleashing, but also holding on to that talent. We are working through the Venture an Idea program to instill innovative and agile mindsets among the youth, improve mechanisms to support startup companies, and improve connections between business and academia. Our 24

While working for many years with the judicial sector, we have seen notable improvements on efficiency, yet the independence of the judiciary and related anti-corruption concerns remain. We are now focused on helping to address corruption issues, especially in public procurement Serbia Innovates project complements this by identifying promising areas for innovation (web3 and blockchain; agri-tech, gaming and virtual reality; and biotech/health tech), and is helping network firms in these areas to establish Serbia as a global leader in at least one of those domains. Through our Media.Innovation project, we are supporting the digital and business transformation of digital media, information and communications sector stakeholders - in particular small media outlets and digital startups - so they can be competitive in the new digital economy, support access to accurate information, and increase public digital literacy skills. We also partner with government institutions to increase the digital literacy skills of people working in the public sector and in education, as well as the general population. If we look back at USAID’s work since 2000, what do you see as major

game changers when it comes to helping the Serbian economy to develop into a market-oriented economy? When USAID started working here in 2000, only one-third of Serbia’s output came from the private sector, and most state-owned enterprises were in serious decline. Helping kickstart the private sector, make it easier to do business, and attract investment were major priorities. Our support for drafting the Law on Planning and Construction and the establishment of one-stop shops and e-permitting helped Serbia jump over 140 places on the World Bank’s Doing Business index. We also provided local governments with the tools to attract investors and to support existing businesses. Our work with local governments helped them to realize that they could, and should, be driving local economic development. What do you see as new areas for future interventions? USAID will soon launch an activity to help Serbia protect its environment and biodiversity by working on capacity building, sustainable financing mechanisms, and increasing citizen engagement. We will soon have a new activity to increase equity for economically disadvantaged groups, including people with disabilities and LGBTQI+ people, to address barriers to inclusion, provide technical assistance, and engage the private sector to identify and implement market-driven solutions. We are expanding our assistance in the energy sector to support increased efficiency and the use of renewable energy. We will help to address obstacles that impede expanded use of energy efficiency and renewable energy measures and encourage private sector engagement. USAID will work on strengthening regional ties among youth to build mutual understanding, trust, and empathy. We believe that the positive engagement of youth across borders will contribute to shared goals of peace and prosperity. So, in short, we will keep on working, together with all willing Serbian partners – from government, to media, to civil society and small business – to help Serbia fully integrate into European structures, and to help Serbia achieve its full political, social, and economic potential.

‘Supply Chain’ As A Trademark

BUSINESS

Dell Technologies is one of the largest technology companies in the world, with more than 150,000 staff in almost 200 countries and a wide portfolio of products and solutions. From the very beginning, this company has paid attention to the fight for equality and various forms of commitment to the community

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ALEKSANDAR ANTIĆ, Sales Director, Adriatic and Bulgaria, Dell Technologies

ith the help of its partner network, Dell has participated in various CSR projects in Serbia, but they also want to increase their participation in this field. The opportunity to change something for the better or help someone is great motivation for both Mr. Antić and his team.

For decades, Dell has been one of the leading IT companies changing the world and driving progress. Has this been so since this family company was first established? Dell Computer Corporation was formed in the ’80s at a time when Michael Dell was not even 20 years old. In the early 2000s, the company became the largest manufacturer of PCs in the world. One of the most famous features of Dell from that time is its superior supply chain, and the company is still recognized by this. Six years ago, in 2016, our largest technology acquisition was made. Dell Technologies bought EMC2 for USD 67 billion, becoming one of the largest technology companies in the world. We know that you unreservedly believe in the power of technology. Is that our future? Although the share of IT in world GDP is relatively small (estimated at around 4%), more than 60% of the world economy is directly dependent on IT, and this percentage will continue to grow. In today’s business environment, the goal is to use ‘data-based decision making’ which, with common sense and a good knowledge of the market and trends, can provide a major advantage to companies in a dynamic competitive market. Besides business challenges, there

Dell Technologies has publicly proclaimed the goal of 50% female staff by 2030 are a handful of positive examples from other fields. One example is healthcare, from our eGovernment during a Covid pandemic to diagnostics or surgeries performed using technology. There are also many examples of the use of technology in teaching, public administration etc. (e.g. Oko Sokolovo in Belgrade, the parking system, smart waste disposal and recycling around the world). Technology is the present and the future, but on the other hand, don’t forget that you should leave enough time for yourself and your loved ones without technology. You set extremely high standards for yourself when it comes to devotion to the community, the fight for equality, trust and commitment, and

in showing care for others. Does that inspire you and motivate you to achieve the impossible? From the very beginning, Dell Technologies has paid a lot of attention to the fight for equality and different forms of commitment to the community. The company has publicly proclaimed the goal of 50% female staff by 2030, and internally there are many initiatives that encourage people to respect other people’s rights, to defend their rights to diversity. Commitment to the community in the case of a technology company like Dell has many facets. It starts with the materials used to make and package the equipment and continues with insistence on the equipment’s energy efficiency, responsible recycling, and participation in activities around the world in various socially responsible and humanitarian projects. One of the examples is the socalled Dell Giving, where Dell matches its staff’s donations in various humanitarian actions. 25

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VERA NIKOLIĆ DIMIĆ, Executive Director, AmCham Serbia

Success Makes Us Raise Our Ambitions AmCham will continue to promote the values of American business and to be at every table with a discussion of improving the business environment, investment conditions, employment and respect for the highest business standards

hen we started the American Chamber of Commerce in Serbia 20 years ago, we believed that the Serbian economy had a strong need for an association based on international business experience and knowledge of local circumstances that would be a partner of industry and government in creating a competitive business environment. Today, I can proudly say that with dedicated work we have exceeded even the most optimistic expectations ~ says AmCham Executive Director Vera Nikolić Dimić, with whom discussed the results of the Chamber’s work in the last two decades, and looked ahead.

“Today, AmCham Serbia is a business association that brings together more than 210 American, international and local companies that have invested over 14 billion euros in Serbia and that employ over 100,000 Serbians. Our mission is to improve the business climate through partnership with the government, promote best business practices and values, provide a platform for professional development of members and improve education according to the needs of the business community,” says our interviewee. “From the very beginning, we’ve believed deeply in systematic work on improving the business environment and in long-term

effects. We set priorities in cooperation with our members, the Serbian government and other important participants in economic life.” The Executive Director says that AmCham will continue to work ambitiously in four priority areas: the digital transformation, the agenda for an environmentally clean and energy efficient Serbia, improved health care systems and business integration through regional initiatives. “We will strive to promote the values of American business and we will try to be at every table where we discuss improving the business environment, or other topics related to better con-

NETWORKING

We are proud that AmCham has grown into a platform for business networking, learning and development. We will continue to work dedicatedly and ambitiously on all these tasks in the decades ahead

ditions for investment, employment and respecting the highest business standards,” says Nikolić Dimić. In which areas of expertise can AmCham contribute most to improving the business climate in Serbia? I don’t think you will be surprised if I say that there is no area of business and management in which our member companies do not have expertise and experience. But I also believe that AmCham is the most recognizable and highest contributor in the areas we have identified as a priority and therefore formed 10 expert committees in our organization. These are the committees for economic and business law, the fight against the gray economy, the digital economy, health, energy, the environment, labor law, real estate, finance and taxes, and the facilitation of foreign trade. What attracted the country’s leading investors to choose AmCham as their association? In the first place, serious investors recognize our determination to tackle the most complex challenges, that we are ready to listen and talk, that we have the capacity to fight for the voice of our members, but above all to be a constructive partner focused on the essential, on proposals and solutions. We like to say that as a partner we are equally useful to industry and the state, that we do not hesitate to say what we think, but we also roll up our sleeves so that our solutions for improving the system do not remain just a dead letter. At the same time, we support the efforts of other business associations whose goal is also to improve business conditions and encourage competition, and in this business there is room for all of us who believe that Serbia should remain a key investment destination in the years ahead.

CONSISTENCY

FOCUS

In the first place, serious investors recognize our determination to tackle the most complex challenges, and our capacity to fight for the voice of our members in a constructive way

AmCham has profiled its activities in three important areas: improving the business environment, networking and promotion, and professional development

How do you coordinate AmCham’s goals with other actors - both American and Serbian? One principle is the key: partnership! We talk to all participants in business life, and decision makers in various fields. We are a credible partner and all of them also want to meet at the table where the Serbian economy, finances, regulations, and the like are discussed. As far as specific priority areas are concerned, every year we conduct the now traditional “As Time Goes By” survey on the business climate and investor confidence, and based on the findings we determine our direction for the next period.

sustainable improvement of the business climate.

We like to say that we are an equally useful partner to industry and the state, we don’t hesitate to say what we think, but also to roll up our sleeves so that our solutions for improving the system do not just remain on paper This research, and there have been nine surveys so far, gives an overview of the perception of AmCham’s membership about the business environment in Serbia and their current business and plans for next year. The research provides a complete X-ray of the Serbian economy, including the attitudes of micro, small and medium enterprises. The latest research at the end of last year showed that regardless of the challenges of the pandemic, our members see long-term improvement of the business climate in institutional reforms. Improving the rule of law, the efficiency of the judiciary and the fight against corruption are still cited as indispensable conditions for the

Which of AmCham’s activities and services would you single out as the most important for both the membership and the wider community? AmCham has profiled its activities in three important areas: improving the business environment, networking and promotion, and professional development. Our mission is to support companies of all sizes and from all sectors in creating a dynamic economy that achieves growth and offers our people opportunities for better standards and new jobs. Our combination of field experience and the top expertise of our member lawyers enables our committees to draft opinions and propose processes, rules and regulations to improve the business environment. They are in touch with key decision makers and policy makers and law enforcement agencies, but also in regular communication with the media. At the same time, our business networking and promotion platform provides a wide range of opportunities to establish business contacts and further activities to promote company brands, from high-level meetings to one-on-one meetings and networking. All our activities have in common that they enable direct contact with current and future users or clients. Our need is to support business growth, and the best way to do that is to provide members with opportunities for professional development and thus enable our members’ most talented staff to realize their full leadership potential. In cooperation with our member companies, especially through the program AmChamps or Women in IT, as well as the HR Forum, which brings together the most professional experts in human resource management in Serbia, we offer programs tailored to the needs of professional development and education. 27

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BUSINESS

ROSANDA MILATOVIĆ SKORIĆ, SAS General Manager for the Adriatic Region

In Data We Trust

With experience of 46 years, SAS is the founder and future of advanced analytics and the global leader in advanced analytics and artificial intelligence. Currently operating in 150 countries, SAS clients include 88 of the top 100 Fortune 500 listed companies social benefits and providing high quality services to citizens. We also provide analytical support to Smart City initiatives around the globe.

ur software has been installed on more than 80,800 websites because we believe that analytics should be experienced by everyone, no matter if their role is data scientist, business analyst or executive - says SAS General Manager for the Adriatic Region Rosanda Milatović Skorić.

In order for people to thrive in the future, it is our duty, as leaders, to promote data literacy, both in the corporate world and in society at large

How come SAS is the leader in analytics? What makes you so superior? I believe that this position stems from our realization that it is not data alone that drive an organization, but data-informed decisions. After the shock of the global pandemic, and in the midst of increased volatility in global markets, we understand that we are not only in the business of developing software and solutions (no matter how innovative they are) but, most importantly, on a mission to build people’s confidence in making informed decisions and finding insights in the data. At the same time, we invest in building data analysis technologies that are explainable, transparent, free of bias and fair, to enhance public trust in data-driven decisions, and to convey this trust to business organizations and public institutions.

Who are the users of your products and services? We determine daily the power that machine learning and AI have in making the world a better place; from our very beginnings, when SAS dedicated its expertise to agriculture for better crops, until the break-out of Covid-19, when our algorithms were placed at the disposal of governments to combat the pandemic, we know for sure that data can drive us towards a better world and a future of equal opportunities. We are present in industries that are fundamental to the digital transformation of nations, such as the financial services, telecommunications, life sciences, critical infrastructure, and education. We also support governments around the world in combating fraud, encouraging tax compliance, ensuring the fair distribution of

Your company strives to ensure digital literacy is accessible to everyone, as you believe this is an essential life skill. How important is it to know how to collect, interpret, understand and use data? The unbiased nature of data and algorithms can certainly lead to an inclusive future of equal opportunities. But they can also create another discrimination, between data literate people and those not acquainted with data. In order for people to thrive in the future, it is our duty, as leaders, to promote data literacy, both in the corporate world and in society at large. Since the beginning of our journey, we have paved the way for this kind of future with a vast array of simple solutions, user-friendly for the majority, but also smart enough to meet the highest expectations of the global economy. We believe in the power of ecosystems and share our vision of the Democratization of Analytics and AI, because the migration of analytics applications to the public cloud also marks an opening of these environments to profiles of nonspecialists. For example, SAS Viya is an open platform that any company can use to accelerate its digital transformation, no matter what systems and applications it already uses. We are also actively investing in enhancing data literacy as a skill for everyone, and especially for the generations who are about to enter the business world. In this context, we are proud of our strategic collaboration with universities across Adriatic region, such as the Faculty of Organizational Sciences of University of Belgrade, as we aspire to help future leaders develop the skills needed to solve tomorrow’s problems.

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AmCham Serbia

Two Decades Of Leading The Change ‘Digital transformation, an agenda for an environmentally friendly and energy efficient Serbia, enhancement of the health service, and business integration through regional initiatives: these are the four priorities AmCham and its members will focus on in the future. We believe these priorities are key to continuing our endeavour to create a predictable and stable business environment, and that we will continue working with the incoming Serbian Government in these areas’, said Stefan Lazarević, AmCham’s Chairman of the Board, at an event to mark the 20th anniversary of the association

mCham brings together more than 210 American, multinational, and domestic companies that have invested more than 14 billion euros in Serbia and that employ in excess of 100,000 Serbians. Our goal is to partner with the Serbian Government to improve the investment climate, promote best American and European business practices and values, ensure our members have access to continuing professional development, and help improve the education system to better address the needs of the business community - Mr Lazarevic added. The event marking two decades of AmCham was also attended by Serbian Prime Minister Ana Brnabić and many representatives of AmCham members, prominent Serbian and foreign businesses, and media outlets, as well as cultural and public figures.

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Congratulating AmCham on its 20th anniversary, Prime Minister Brnabić remarked: “Over the past twenty years, AmCham has always been a strong and reliable partner to the Serbian Government: we have worked together to create a better business environment, helping Serbia become a global leader in attracting foreign direct investment. Together we amended key laws, overhauled public administration, designed rule of law reforms to ensure the Serbian judiciary was completely independent, and gave the Serbian economy the security and safety it needed to invest and grow. On this occasion, let me thank you for believing in Serbia and for supporting the Serbian Government on this path”. AmCham will continue to promote American business values and strive to join every discussion on how to enhance the business environment and any other matter that helps the country attract more investment, create new jobs, and achieve the most demanding global standards in all fields of doing business.

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Bilateral Trade Exchange

Investments Yet To Convert Into Significant Bilateral Trade Although trade cooperation between the U.S. and Serbia remains below the level of a billion dollars, the two countries are increasingly finding new opportunities to cooperate. And a strategic partnership agreement would make the implementation of joint projects easier, especially in the energy sector

conomic cooperation between Serbia and the United States during the recent past has been marked largely by the investments of American companies in Serbia. The top American investments in Serbia are those of Philip Morris, Pepsi Co,

Coca-Cola, Ball Corporation, Cooper Tire & Rubber Company and Microsoft. Among the most prominent are also Cooper Tires, Johnsons Controls, Sharps Terminator, NCR, Sitel, VelaTel Global Communications, Oracle, and EMS. According to data of the National

Bank of Serbia, Serbia’s central bank, net investments of U.S. residents in Serbia over the previous ten-year period (2010 to 2019) exceeded half a billion euros, ranking the United States 15th among investor countries in Serbia. Additional investments worth 79.1 million euros

arrived in 2020, followed by 23.8 million euros in Q1 2021. Serbia nevertheless remains among the U.S.’s smallest trade partners. Bilateral trade numbers remain below the billion-dollar mark, which could be considered an encouraging number, with the trade exchange totaling around $850 million in the pre-pandemic year. According to available data, export from Serbia mostly consists of cars and motor vehicle engines and engine parts, while imports are dominated by medical equipment and other sophisticated products. U.S.-Serbian cooperation is expected to strengthen in the agricultural and food sector, in the metal (auto parts and metal processing), textile and furniture industry, and in the purpose-built industry, which in the previous period recorded significant exports of hunting and sports ammunition. The exchange of services has become increasingly important in the total exchange between the two countries, reaching a value of 910 million dollars prior to the outbreak of the pandemic, with Serbia even having a surplus. The fast-growing Serbian ICT sector has special potential to further increase the exchange of services between the two countries. Serbia’s preferential trade status is regularly extended, which allows businessmen from the country to export more than 3,500, mostly industrial and agricultural products, to America dutyfree, or with minimal tariffs. However, given the large differences in the complexity of the products produced by the two countries, it is unlikely that this cooperation will increase significantly. Namely, the further movement of Serbia towards joining the European Union will always have an advantage in relation to other more complex destinations. The Serbian public expected great things from the opening of the Serbian office of the American Corporation for International Development Finance (DFC), which would cover the entire region from here. The basis for such expectations was the signing of an agreement between Serbia and the United States on investment incentives, which created the institutional conditions to

The digital economy and the IT sector have been recognized as the pillars of future Serbia-U.S. cooperation, while major project-based cooperation with U.S. companies could be achieved in the digitalization of the Serbian health care sector strengthen support for Serbian and other Western Balkan companies - micro, small and medium-sized enterprises, large private sector investment projects, and infrastructure development. Indeed, U.S. companies began appearing in infrastructure projects after the Memorandum of Understanding on infrastructure cooperation was signed in September 2018 by Zorana Mihajlovic, Serbian Deputy Prime Minister and Minister of Construction, Transport and Infrastructure, and Kyle Scott, then U.S. Ambassador to Serbia. In accordance with this memorandum, in December 2019, a commercial agreement was signed between the Serbian government and the Bechtel-Enka consortium

(U.S.-Turkey), for the construction of a 112-kilometer corridor along the PojatePreljina section. Recently, the two sides exchanged views suggesting that this cooperation be raised to a higher level, for example via the boosting of Serbian cooperation with U.S. companies and institutes in the field of energy diversification and renewables, as well as in the digital economy and R&D. The digital economy and the IT sector have been recognized as the pillars of future Serbia-U.S. cooperation, while the parties also concluded that major projectbased cooperation with U.S. companies could be achieved in the digitalization of the Serbian health care sector. It was also stated that a strategic partnership agreement would make the implementation of joint projects easier, especially in the energy sector. It was noted that Serbia remains in the initial phase of energy transition and requires new capacities, primarily in the electricity sector. According to the announcement, priorities include investments in new capacities, energy efficiency improvements, and diversification in the gas sector, especially in light of the crisis in Ukraine. 35

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JACKSON POLLOCK (1912-1956), American painter

Liberating breakthrough Of Jackson Pollock Pollock’s lifelong intensity and, at its peak, sublimity do not pale. The trajectory of his too brief career retains a drama, as evergreen as a folktale, of volcanic ambition and personal torment attaining a liftoff, with the drip technique, that knitted a man’s chaotic personality and, with breathtaking efficiency, revolutionized not only painting but the general course of art ever after

t can be argued, and has been, that the matter-of-factness of Pollock’s flung paint germinated minimalism. There’s even, for anyone susceptible to it, a lingering nationalist sweetness: Pollock’s peak period as the V-E Day of American art.

Paul Jackson Pollock was a major force in the abstract expressionist movement. His abstract mannerisms contained in his action paintings demonstrated Pollock’s great interest in exposing the workings of the subconscious mind through a seemingly incongruous

arrangement of the subject matter. This dream-like art, based on familial memories of his environment, became Pollock’s responsibility to initiate his own personal and spiritual transformation and to influence others with this change towards a new pictographic

imagery. Pollock underwent many changes in his portrayal of artistic imagery demonstrating that life can be layered in many ways but never hidden from oneself. Pollock was eighteen when he arrived in New York from California, in 1930, and began to imbibe the influences of Thomas Hart Benton, who was his teacher at the Art Students League, and the Mexican muralists. The early works in the show are a thrill ride of quick studies, as Pollock devours those models and then suggestions from Picasso, Miró, and André Masson—paying off in lyrically inventive engravings, from the early forties, that are a revelation here. Pollock was always Pollock, though he was long in agonizing doubt, notably about his ability to draw. Dripping brought a rush of relief, as he found a steadying and dispassionate, heavensent collaborator: gravity. Drawing in the air above the canvas freed him from, among other things, himself. “Number 31” is the feat of a fantastic talent no longer striving for expression but set to work and monitored. He watched what it did. We join him in watching. Pollock redefined painting to make it accept the gifts that he had been desperate to give. Any time is the right one to be reminded of that. In October 1945, Pollock married his long term lover Lee Krasner and in November they moved to what is now known as the Pollock-Krasner House and Studio in Springs on Long Island, New York. Peggy Guggenheim loaned them the down payment for the wood-frame house with a nearby barn that Pollock made into a studio. It was there that he perfected the technique of working spontaneously with liquid paint. Pollock was introduced to the use of liquid paint in 1936, at an experimental workshop operated in New York City by the Mexican muralist David Alfaro Siqueiros. He later used paint pouring as one of several techniques in canvases of the early 1940s, such as “Male and Female” and “Composition with Pouring I.” After his move to Springs, he began painting with his canvases laid out on the studio floor, and developed what was later called his “drip” technique, although “pouring” is a more accurate description of his method.

THE KEY, 1946

UNTITLED, 1942-1944

“My painting does not come from the easel. I prefer to tack the unstretched canvas to the hard wall or the floor. I need the resistance of a hard surface. On the floor I am more at ease. I feel nearer, more part of the painting, since this way I can walk around it, work from the four sides and literally be in the painting”

He used hardened brushes, sticks and even basting syringes as paint applicators. Pollock’s technique of pouring and dripping paint is thought to be one of the origins of the term action painting. In the process of making paintings in this way he moved away from figurative representation, and challenged the Western tradition of using easel and brush, as well as moving away from use only of the hand and wrist; as he used his whole body to paint. In 1956 TIME magazine dubbed Pollock “Jack the Dripper” as a result of his unique painting style. In the late 1940s, Pollock’s drip paintings categorically redefined how we understand art. This moment saw the art world’s center of gravity shift for the first time away from the museums and galleries of Paris and into the streets of New York. With his revolutionary new technique, Pollock effectively upended the existing framework of traditional painting practices. True drip paintings were—and still are—the ultimate in mid-century American avant-garde, and are rare to come across in the secondary market. Number 31 is a superb example. It is a fantastic, frenetic combination of rich hues—straight from the paint can. It stands as a brilliant demonstration of Pollock’s rigor and effusiveness. Pollock observed Indian sandpainting demonstrations in the 1940s. Other 37

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and would not stop until he saw what he wanted to see. Studies by Taylor, Micolich and Jonas have explored the nature of Pollock’s technique and have determined that some of these works

“I continue to get further away from the usual painter’s tools such as easel, palette, brushes, etc. I prefer sticks, trowels, knives and dripping fluid paint or a heavy impasto with sand, broken glass or other foreign matter added” influences on his pouring technique include the Mexican muralists and also Surrealist automatism. Pollock denied “the accident”; he usually had an idea of how he wanted a particular piece to appear. It was about the movement of his body, over which he had control,

mixed with the viscous flow of paint, the force of gravity, and the way paint was absorbed into the canvas. The mix of the uncontrollable and the controllable. Flinging, dripping, pouring, spattering, he would energetically move around the canvas, almost as if in a dance,

display the properties of mathematical fractals; and that the works become more fractal-like chronologically through Pollock’s career. They even go on to speculate that on some level, Pollock may have been aware of the nature of chaotic motion, and was attempting

STENOGRAPHIC FIGURE 1943 38

to form what he perceived as a perfect representation of mathematical chaos - more than ten years before Chaos Theory itself was discovered. In 1950 Hans Namuth, a young photographer, wanted to photograph and film Pollock at work. Pollock promised to start a new painting especially for the photographic session, but when Namuth arrived, Pollock apologized and told him the painting was finished. Namuth’s comment upon entering the studio: “A dripping wet canvas covered the entire floor…. There was complete silence…. Pollock looked at the painting. Then, unexpectedly, he picked up can and paint brush and started to move around the canvas. It was as if he suddenly realized the painting was not finished. His movements, slow at first, gradually became faster and more dance like as he flung black, white, and rust colored paint onto the canvas. He completely forgot that Lee and I were there; he did not seem to hear the click of the camera shutter… My photography session lasted as long as he kept painting, perhaps half an hour. In all that time, Pollock did not stop. How could one keep up this level of activity? Finally, he said ‘This is it.” Pollock’s most famous paintings were during the “drip period” between 1947 and 1950. He rocketed to popular status following an August 8, 1949 four-page spread in Life Magazine that asked, “Is he

YELLOW, GREY, BLACK, 1948

MASK, 1941

NUMBER 17, 1951

the greatest living painter in the United States?” At the peak of his fame, Pollock abruptly abandoned the drip style. Pollock’s work after 1951 was darker in color, often only black, and began to reintroduce figurative elements. Pollock had moved to a more commercial gallery and there was great demand from collectors for new paintings. In response to this pressure his alcoholism deepened, and he distanced himself from his wife and sought companionship in other women. After struggling with alcoholism his whole life, Pollock’s career was cut short when he died at the age of 44 in single car crash in Springs, New York on August 11, 1956. After his death, his wife Lee Krasner managed his estate and ensured that his reputation remained strong in spite of changing art-world trends. 39

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VLADIMIR MARINKOVIĆ, DIrector of the Serbian-American Friendship Congress

A Friend In Need Is A Friend Indeed Relations between Serbia and America determine the future of our country and the Western Balkans as a whole. It is a fact that Serbia began making dynamic advances from the moment the U.S. began treating our country as a partner, key ally and factor of stability and progress in the region of Southeast Europe

espite extremely negative events having occurred during these 140 years that have cast a shadow over our alliance, today the time has come when our two countries have excellent cooperation, notes Serbian-American Friendship Congress Director Vladimir Marinković, emphasizing that the Congress has a strong intention to work on developing a strategic partnership and alliance. The Serbian-American Friendship Congress is an organization that deals primarily with improving bilateral relations between Serbia and the U.S., with the main goal being to achieve a strategic partnership between the two countries and peoples. Serbia and

the U.S. staged a series of events to commemorate and celebrate the 140th anniversary of the establishing of diplomatic relations, reminding our two peoples of their common values, shared history, and political, economic and scientific cooperation. Despite extremely negative events having occurred during these 140 years that have cast a shadow over our alliance, today the time has come when our two countries have excellent cooperation and a developing strategic partnership and alliance. Members of the Serbian-American Friendship Congress include individuals, organizations and institutions that recognize the two countries’ shared interest in expanding cooperation in

all areas of social life, with a special emphasis on promoting civilization’s highest and most humane values, such as democracy, liberal economics, human and minority rights, new technologies, innovation, science, education and culture. Members of the Congress are of the opinion that relations between Serbia and America largely determine the future of our country and the whole of the Western Balkans. The fact is that Serbia began making dynamic advances from the moment the U.S. began treating our country as a partner, key ally and factor of stability and progress in the region of Southeast Europe. This has prompted the Congress to implement a series of specific activities with the aim of bringing our countries closer together and showing Serbia’s citizens the huge benefits Serbia gains from this cooperation. The fact is that the United States is among the largest donors to our country, that American companies employ more than 25,000 people in Serbia, that these investments characteristically spill over onto others and signal to all other democratic countries that Serbia is a stable destination and one of the best for investing this part of Europe. The Congress has dedicated itself mostly to organizing events that promote the tangible results of our cooperation that have a concrete posi-

tive impact on our countries and peoples. We have established excellent cooperation with the U.S. Embassy in Serbia, and organizations such as the NDI (National Democratic Institute), IRI (International Republican Institute), USAID, the U.S. Congress, Senate, State Department, the U.S. administration and AmCham, but also an entire series of individuals and the business community, not only representing American companies, but also domestic firms wanting to establish cooperation with American companies and compete in the large American market. Public opinion polls on SerbianAmerican relations are conducted continuously and aim to define key points and problems that could hinder the development of our relations. The Congress has organized a series of conferences on the topic of cooperation between the entire region and the United States through the Open Balkan initiative, which is being strongly supported by the U.S., covering the areas of energy and cooperation in the area of energy and the development of renewable energy, cooperation in the area of security, with special emphasis on intensive relations between the Ohio National Guard and the Serbian Army. The Congress also pays great attention to cooperation in the fields of culture and art, in the belief that this form of cooperation is very important in the rapprochement process between the two countries and peoples, and that it can have a great impact on improving Serbia’s standing among the American public, but also on advancing political and economic relations. We would single out specifically cooperation between the U.S. and Serbia at the height of the Covid-19 crisis, when both countries demonstrated an extremely high level of solidarity and empathy. Even during that crisis period, the Congress worked with its partners from Diplomacy&Commerce to organize online conferences with the goal of informing our citizens about the very close cooperation between our two countries in crisis situations. These initiatives received wholehearted

Members of the Congress are of the opinion that relations between Serbia and America largely determine the future of our country and the whole of the Western Balkans support from our country’s highest officials and the U.S. Embassy in Serbia, but also from our partners and friends in America, who showed that reliable partners always show their true colors in crisis situations. Our Congress is especially proud of the educational program and the

Serbian-American Leadership Academy, which focuses on young people who want to learn about America and become future leaders of the development of our relations and cooperation. The Academy’s most important quality is its program, but also lecturers with the capacity to transfer practical knowhow on key segments of the functioning of American society. Testifying to how well recognized the Academy is as an important segment of advancing future cooperation is the fact that the lecturers at our Academy are also the highest officials of both countries. Lecturers at our Academy to date have included U.S. Deputy Assistant Secretary of State Gabriel Escobar, National As41

USA 2022 sembly of Serbia Speaker Ivica Dačić, Serbian Deputy PMs Zorana Mihajlović and Branko Ružić, State Secretary at the Serbian Ministry of Foreign Affairs Nemanja Starović and other experts and specialists on U.S. politics, economics, security systems, history, culture and religion. Our Academy has so far been completed by more than 200 young, highly-educated people, who we are sure will give their all in their future jobs

The Congress is especially proud of the Serbian-American Leadership Academy, which focuses on young people who want to learn about America and become future leaders of our relations and cooperation

to strengthen this type of cooperation. Together with partners from the National Democratic Institute (NDI), we are implementing the project “Ambassadors of the Serbian-American Leadership Academy,” the goal of which is to broaden cooperation with young people, with a special emphasis on promoting Serbian-American relations and cooperation across the whole of Serbia, in order to provide young people from the provinces with a chance to influence such important processes, and to give their own contribution to realizing their country’s highest interests. In the end, the essence and key to the success of any organization is the people and their level of commitment to the idea, which is completely inherent to our Congress and our members, who are able – despite their differences – to come together around common goals that are important for our citizens and our state to achieve. Speaking volumes about this is the very fact that the Congress is managed by people from different spheres of social life, different political parties, businesses, non-governmental organizations and universities, and who fight hard for a better Serbia and a better future for our children.

INTERVIEW USA 2022

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Articles inside

VLADIMIR MARINKOVIĆ, DIRECTOR OF THE SERBIAN AMERICAN FRIENDSHIP CONGRESS

JACKSON POLLOCK (19121956), AMERICAN PAINTER

BILATERAL TRADE EXCHANGE ECONOMY

ROSANDA MILATOVIĆ SKORIĆ, SAS GENERAL MANAGER FOR THE ADRIATIC REGION

ALEKSANDAR ANTIĆ, SALES DIRECTOR, ADRIATIC AND BULGARIA, DELL TECHNOLOGIES

TWO DECADES OF LEADING THE CHANGE

VERA NIKOLIĆ DIMIĆ, EXECUTIVE DIRECTOR AMCHAM

DENNY ROBERTSON, USAID SERBIA MISSION DIRECTOR

H.E. CHRISTOPHER R. HILL, U.S. AMBASSADOR TO SERBIA

SERBIA AGAIN IN U.S. ADMINISTRATION’S FOCUS

TIJANA KOPRIVICA, DIRECTOR OF SUSTAINABLE BUSINESS DELTA HOLDING

JELENA KNEŽEVIĆ, PARTNER, LEITNERLEITNER

STEFAN LAZAREVIĆ, AMCHAM SERBIA PRESIDENT

NENAD ĐURĐEVIĆ, SALES DIRECTOR RUSSIA, SEE AND TURKEY, BALL PACKAGING

COCA-COLA SYSTEM OPENS ROSA HOMOLJE CARBONATED WATER BOTTLING PLANT IN NERESNICA

BARON LOBSTEIN, ECONOMIC SECTION CHIEF AT THE U.S EMBASSY IN BELGRADE