Economic Potential of the Western Balkans

Professor Gian Maria Gros-Pietro, Chairman of the Board of Directors of the Intesa Sanpaolo Group, held a lecture in Belgrade

As a part of his visit to Belgarde, where he participated in the Serbia-Italy Business and Science Forum, Professor Gian Maria Gros-Pietro, Chairman of the Board of Directors of Intesa Sanpaolo, the international banking group within which Banca Intesa operates, held an exclusive lecture at the Faculty of Economics, the University of Belgrade on the topic “Economic potential of the Western Balkans”.

At the lecture, organized for clients and business partners of Banca Intesa and attended by professors and students of the Faculty of Economics, as well as media representatives, Professor Gros-Pietro presented his views on the current situa- tion on the global and European banking market as well as economic perspectives of countries in the Western Balkans, with reference to the importance of activity, while the real power is in information.

Professor emphasized that actually, in the first months of

FINANCE IS STILL CONSIDERED A POWERFUL DRIVING ACTIVITY, WHILE THE REAL POWER IS IN INFORMATION further strengthening and development of the region and its potential for investments and bilateral partnerships.

Professor Gros-Pietro explained that we are currently in a historical moment when the power is shifting again. At this moment, finance is still considered a powerful driving

2023, positive elements of development were more frequent and more important than it was predicted. This year started with some good news on energy issues. The price of natural gas has fallen sharply, and future markets’ expectations indicate stability in the coming quarters. At the global level, the energy shock now looks less se- vere than initially expected for several reasons: Russian oil was traded at a much lower price than Brent or WTI, and there was a negative spread of about USD 30 per barrel, which means there is a sharp difference in the price of energy between Europe and USA, which is a problem for Europe. One thing is sure, and that is the future is in renewables, and finance will have to support it.

Additional good news came from removing lockdown measures in China and reopening economic activity, which should boost international trade and global GDP this and next year. Looking ahead, supply chains should be shortened for geopolitical reasons – and for Western Balkans countries, this is an important opportunity to be taken seriously.

Professor Gros-Pietro noted that cooperation with the Western Balkans and, in particular, the Republic of Serbia and Italy is a natural fact and that we are very close countries that have similar structures, and that together we can work on the part of the joint European economic policy which can be even stronger in the future.

Despite the short-term uncertainties, Professor Gros-Pietro expects a stronger economic recovery this year and in 2024, with the prediction that the economic growth of the Western Balkans will surpass the growth of Western European countries, as well as that the progress of the countries of the region towards membership in the European Union will improve their credit profiles through the strengthening of institutions, competitiveness, infrastructure and inflow of direct foreign investments.

When it comes to the banking sector of the region, the professor expects that despite the current movement of interest rates throughout the Western Balkans in an attempt to curb inflation, the mass of loans and deposits will continue to grow, albeit at a slower pace, with preserved portfolio quality and a low level of non-performing loans. Households’ living standards have improved as unemployment rates decreased in all countries, while wages increased to offset the real income decline due to inflation. Employment prospects are currently solid, although some challenges loom, like brain drain, which is a great risk. The only way to take this risk is to increase wages and increase the capacity of positions to pay higher salaries, so we must be prepared for this.

The last part of the lecture was dedicated to the problem of climate change. As the professor said, we tend to always pose

The European Green Agenda investments will need sophisticated financial services while accelerating the shift to green agenda means leaping from a traditional economic model to a sustainable economy in line with the European Green Deal. By signing the Sofia Declaration on the Green Agenda for the Western Balkans in November 2020, the region acknowledged the need to set the basis for a major transformation and to implement elements of the European Green Deal in all interre- more attention to what is urgently compared to what is important, but even if problems like pandemics, war, inflation, etc., are extremely urgent, climate change is much more important. lated priority sectors. Additionally, Western Balkans countries have committed to implementing their actions through the Regional Action Plan adopted in Brdo in October 2021. In this

58-point Plan for the period until 2030, carbon pricing, coal phase-out plans, regional integration, pollution control, and environmental protection are the most important segments. Serbia was among the first countries in CEE to establish a Green Bond Framework and finance green-eligible projects by issuing a green bond in the international capital market, for which it also received the award „Sovereign Green Market Pioneer in 2021“, presented by the Climate Bonds Initiative.

Serbia-Italy Business and Science Forum, organized by the Serbian Chamber of Commerce, with the support of the Italian Trade Agency (ITA) and the Italian Embassy in Serbia, was dedicated to technological innovations, green energy, and energy transition, sustainable agriculture, as well as technological innovations in the agricultural sector and infrastructure, with bilateral talks between Serbian and Italian businessmen.

The participation of Professor Gros-Pietro, who was part of the official Italian delegation at the event, confirms the strong commitment of the Intesa Sanpaolo Group to Serbia and its dedication to the long-term development of its business in the Serbian market. Intesa Sanpaolo, one of the leading banking groups in Europe, employs more than 3,000 people in Serbia, providing vital support to the economic development of the country and improving the quality of life of citizens, as well as the well-being of the entire Society.

The Nelt Group continues with acceleration and development by 2025

Managers and directors of all the Nelt Group’s companies gathered at a one-day conference, where the status of strategic projects was presented, along with a review of results and an introduction of plans, one year after the launch of the umbrella business strategy dubbed “Accelerate 2025”. The Nelt Group’s Chief Executive Officer, Miloš Jelić, reiterated that, in 30 years of its development, Nelt grew from a small family business to an international organisational system with more than 5,000 people in Europe and Africa. “Last year, the Nelt Group recorded the highest revenue growth rate in the past six years, thus confirming the successful implementation of the Accelerate 2025 strategy,” Jelić said. Chief Financial Officer Marko Cilić presented key financial data for distribution, logistics, brands and holding, and Bojana Mucić projects and plans of the HR Sector. The Group’s Vice-President for African Markets, Boris Mačak, talked about results in this business segment and a focus this year. “We will focus on strengthening the perception of the Oko brand, launched last year, and on expanding to new markets, launching new low-tier brands, and entering new competitive categories,” Mačak said. Darko Lukić, the Nelt Group’s Executive Vice-President, presented goals for 2023 and the importance of balance between short-term results and setting solid foundations for sustainable success in the long run. The teams who won the Top Accelerator Award for last year’s projects with the strongest contribution to the company’s accelerated growth were presented at the event. The end of the event was marked by a surprise guest, renowned athlete Ivana Vuleta, who talked with Corporate Communications Manager Marko Milanković about career challenges, motivation, and transformation in professional sports.

Ambassador Hill visited the Rosa water bottling plant in Vlasina

The ambassador of the United States of America, Christopher Hill, visited the “Vlasinka” Rosa water bottling plant. During the visit, Ambassador Hill expressed satisfaction with the positive contribution of the Coca-Cola system to the economy of Serbia and the overall development of the local community. Rosa water, which over the years has become a synonym for the highest quality, apart from Serbia, is present in the countries of the region, and its annual contribution to exports is over two million euros.

New Tuborg Ice beer launched

Tuborg brand launched a new Tuborg Ice beer, specially filtered at -1°C, so Nucci had to warm up the atmosphere at the party! Reinforcement in the Tuborg family made a great entrance last night – filtered at -1°C, Tuborg Ice refreshed the evening for all lovers of a good time. In addition to the new Tuborg Ice, one of the biggest stars of the modern trap scene in the region – Nucci, took care of the great atmosphere at the party! Along with the new lager beer, the most popular hits and the freshest sounds on our music scene were played, which fit perfectly with the crisp and fine aroma of Tuborg Ice with 4.2% alcohol.

Moxy Belgrade, the newest member of the Moxy Family, makes its debut in the Balkans

The first Moxy Belgrade hotel was opened in the heart of the city, offering a unique combination of comfort and a playful spirit. Moxy Belgrade, a member of Marriott International’s fastest-growing brand in the Balkans, has arrived in the city center on Njegoseva Street. The unique design and attractive concept of around 140 Moxy hotels worldwide disrupt the traditional hotel and tourist experience, and rightly so. Moxy Belgrade brought together the hip style and the incomparable Belgrade spirit for the one-of-a-kind atmosphere on disposal not only for its guests but for everyone stopping by for a cup of coffee, a quick meeting, or downtime with friends over a delicious meal and a couple of cocktails. Expect the unexpected because Moxy Belgrade incorporated architectural and art trends of the entire century of Belgrade architecture in its eclectic design.

Banca Intesa is

best bank in Serbia in 2023

At the 30th anniversary of the Annual Best Bank Awards, the renowned financial magazine Global Finance awarded Banca Intesa, a member of Intesa Sanpaolo Group, the “Best Bank in Serbia.” A professional jury consisting of international economic experts and magazine editors selected the most successful banks in 150 countries, based on an analysis of numerous performance criteria, from asset growth and product innovation to strategic partnerships and business development. In addition to objective criteria, the jury also considered the assessments from consultants, analysts, and representatives of the banking and corporate sectors. In addition to the Best Bank in Serbia award, the international banking group Intesa Sanpaolo, Banca Intesa’s parent company, also won Best Bank 2023 awards in Italy and Slovakia.

Air Serbia introduced a direct flight to Lisbon

On April 15, Air Serbia established a direct flight between Belgrade and Lisbon, which, according to Portuguese Ambassador Virginia Pina, reflects the excellent relations between the two countries. The Air Serbia flight between Belgrade and Lisbon started on April 15, with departures twice a week, on Tuesdays and Saturdays, and it will be a great opportunity for people from Serbia to get to know Portugal, but also for Portuguese people to get to know this wonderful country - Serbia - said the ambassador. The introduction of a new direct Air Serbia route is also very positive for the expansion of the business community, said Pina and emphasized that this airline reflects the excellent political connections and connections between our two countries. Air Serbia’s General Manager Commercial and Strategy Boško Rupić said that the new route is a great opportunity for our tourists to reach Portugal and visit Lisbon in the fastest way. According to him, the first flight was 100 percent full from Serbia.