Instruments for support to innovative and competitive

SMEs in Serbia

Republic of SerbiaMinistry of Economy and Regional Development

Igor Brkanovic, Assistant Minister

SMEs – driving force of Serbian economy

99,8% of all enterprises 2/3 of employees 68% of turnover 36% of GDP 58% of GVA 64% of import and 50% of export 51% of investments

SMEs Support - one of the priorities in Serbian Economic Policy:

Strategy for Competitive and Innovative SMEs 2008-2013 is adoptedAction Plan for 2009 The role of SME Council is enforced National Competitiveness Council is established Regulatory guillotine - creating more stimulating business environment for SMEs

Strategy for Competitive and Innovative SMEs 2008-2013

AimDevelopment of an Entrepreneurial Economy, based on knowledge and innovativeness, which creates a strong, competitive and export oriented SME sector

Based onConcrete priorities of SMEs EU approach

European Charter for small enterprises Small Business Act

Pillars:

o Promotion and support of entrepreneurship and start up

o Human resources for competitive SMEs sector

o Financing and Taxation for SMEs

o Competitive adventages of SMEs in export markets

o Legal, institutional and business environment for SMEs in Serbia

Expected results

More start ups which

survive the earliest

years of

business

More dynamic conversion

of micro into small and

small into medium-

sized enterprises

More profitable business of SMEs

Improve the

competitiveness of SMEs and

import growth

A more balanced regional

development

Pillar IV

Module 1Developing a Culture of Investing in Innovation by

SMEsMeasures:• Improve technical and non-technical innovations of

SMEs• Support investments in ICT• Encourage participation of enterprises in innovation

programmes of scientific research organizations and EU innovative programmes

Instruments “Encouraging Enterprises to Invest in Innovation

Strengthening Project”- 480.000,00 EUR “Supporting Competitive and Innovative SMEs,

Incubators and Clusters Development Programme“- 640.000,00 EUR

“Cluster Development Programme” – 320.000,00 EUR Participation in Entrepreneurship and Innovation

Programme (EIP) and Seventh Framework Programme (FP7)

“Best Technological Innovation Competition” – 130.000,00 EUR

“Law on Innovative Activity” - Innovation projects – 1.050.000,00 EUR

European Enterprise Network

Main goal is to enable easier and faster access to information, advices, doing business on EU market services, and searching and matchmaking with partners from EU countries

Network will provide information about:o requirements for entry and operate in EU

o export possibilities

o public procurements and tenders in EU

o new technologies

o potential new partners

o possible research and technology development and EU programs

Innovation infrastructure• Technological and Science Parks in Serbia:

– Mihajlo Pupin Institute,Belgrade - R&D institution in ICT – Innovation Centre (Faculty of Mechanical Engineering, Belgrade

University)– Institute Vinča, Belgrade - Energy, Nuclear engineering, Radiation,

Atomic and Molecular physics, Chemistry, Biology, Electronics, and Materials

– Innovation and Technology Transfer Centre at the University of Novi Sad (NOSIC)

– Science and Technology Park Niš - ICT, System Integration, Informatics for Bio, Chemical and Medical applications, Robotics and Mechatronics

– Institute of Physics, Belgrade – research and projects related to physics

– Industrial Technological Park Vrsac

Clusters Development Programme

20 clusters supported from 2005-2008. Overall financial support to clusters was about 930.000 euros. More than 360 entreprises, with more than 15.000 emploees were included

The strongest clusters in Serbia are: AC Serbia, Automotive Components Suppliers Cluster

http://www.acserbia.org.rs/ ICT sector: the Serbian Software Cluster http://www.ssc.rs/ and

Integrated Electronic Systems Cluster – Embedded http://www.embedded.rs/

the Small Agricultural Machinery Cluster BIPOM, http://www.bipom.org.rs/

the Sumadija Flower Cluster, regional flower production companies around the city of Kragujevac in Central Serbia http://www.sumadijskicvet.com

The Agency for Wood –Wood processing idustry and furniture suppliers cluster http://www.agencijazadrvo.rs/ .

Business incubators• 18 business incubators

o The strongest:• Business incubator Zrenjanin

– 12 enterprises– ICT Sector, legal consultancy, creative services, education...

• Business incubator Subotica– 13 enterprises– Web design, furniture producing, engineering , creative services,

automation services, fashion garments, diet products producing...

• Business incubators policy development in Serbia– Business Incubator and Cluster Development Programme in Republic of Serbia

for 2007-2010• Means of support

– Business incubator support Center within RASME– Ministry for National Investment Plan– Projects and donors

Cooperation suggestions:

Cooperation of clusters and cluster members in automotive industry, wood processing and furniture industry. Exchange of good practice in developing centers of excellence and innovation in clusters. Cooperation with cluster initiatives in Serbia in textile and garment industry. Support in establishment of bussines services cluster in Serbia

Cooperation of R&D institutions and technology parks – exchange practice, common projects etc.

Knowledge and technology transfer between SMEs Exchange of experience in establishing equity and venture capital funds

for SMEs financing Joint activities for participation in calls for proposals and tenders within

CIP Programme, especially for eco innovation projects

Thank you!Thank you!11000 Beograd, Bulevar kralja Aleksandra 15

+381 11 2855 138 Tel +381 11 2855 157 Fax

E-mail: igor.brkanovic@merr.gov.rswww.merr. gov.rs

Republic of SerbiaMinistry of Economy and Regional Development