A year of digitization and missed opportunities

"WEATHER" When you sum up 2024. year, what was she like?

VIOLETA JOVANOVIC: We at NALED declared it the year of digitization and artificial intelligence because of the global developments taking place in this field. Digitalization in practice means that most public services are available online and that the system is transparent and efficient, which are our priorities. When the new Government of Serbia was formed in the spring, NALED sent 100 recommendations to the line ministers for improving the business climate. The analyzes we are preparing for the 2025 Gray Book confirm that the year behind us was not sufficiently successful in terms of reform.

What were your suggestions??

NALED members this year focused on the further development of eGovernment and the implementation of the green agenda. We are carrying over that agenda to the next year, which is not the first time. We have been advocating for some reforms for more than a decade, such as the introduction of order in non-tax levies, where we finally have progress, given that the state has started working on the introduction of electronic payment of all taxes and fees. The digitization of healthcare is also underway with the aim of establishing a functional eCard and eSickness from next year. We have been advocating the reform of labor legislation for a long time - it is necessary to fully regulate existing and non-standard forms of work - flexible employment, temporary and casual jobs, seasonal employment, work through online platforms, for a foreign employer. We are implementing many projects in the field of environmental protection and improvement of primary waste selection, and we are advocating for the introduction of a deposit system, environmental taxation and the re-establishment of the Green Fund.

The shadow economy is still a big problem. Are you satisfied with the achievements in this area??

According to analyzes carried out as part of the "Better Way" Initiative, the volume of the gray economy in Serbia has fallen by more than a quarter over the past ten years - from 29,1% to 21,1% of GDP. This was contributed by many reforms that were worked on primarily by the Ministry of Finance and the Tax Administration, such as the introduction of the eFiscalization system, eInvoices and electronic public procurement, reform of flat taxation and "freelance" work, online registration of seasonal workers in agriculture. Estimates are that Serbia's further approach to the EU average in the development of cashless payments can reduce the gray area by 2,4% of GDP and bring almost EUR 500 million in additional tax revenue per year. In previous years, a lot has been done to promote cashless payments, including the prize game "Get an account and win" which contributed to public awareness of the harmfulness of the shadow economy. Through the "Better Way" Initiative, with the support of the German government and the Mastercard and Visa companies, we also provided subsidies intended for micro businesses for the free introduction of cashless payments with a reduced merchant fee.

To what extent is civil society in Serbia involved in the development of public policies?

Cooperation with civil society in drafting laws and improving the role of non-governmental organizations are crucial for effective public policies. Although there is a dialogue with the state, many organizations do not find a way to get involved, such as social enterprises for which it is necessary for the state to adopt support measures. For better communication, it is necessary to increase transparency and work on building trust and cooperation between different sectors. Institutions should regularly inform associations about their policies and use their suggestions. Civil society should be persistent and offer concrete solutions, and if necessary, support in their implementation. Standing aside and criticizing will not solve anything.

What kind of company do you aspire to?, what is your new year's wish?

I would like it to be a Serbia where state institutions are efficient and transparent, where citizens have confidence in the system and where business is developed in accordance with European standards. It is a country where natural resources are used sustainably and digital technologies are accessible to everyone. I hope that in 2025 everyone will find the motivation to contribute to the community. Small changes at the individual level can bring big changes at the societal level. And professionally, I want NALED to continue to be a bridge between the private, public and civil sectors, because only together can we make a difference.