"Savings in public sector, no salary cuts"

Actually, Serbia needs sustained growth of 5% plus, and this is achievable in the medium term if the Government reduces the red tape that is strangling businesses and increasing their risk. The Government has started many important business environment reforms that will enable private sector led growth, and Minister Dinkic mentions two of the important ones.

Since the Government is asking certain interest groups like trade unions to compromise their positions, it is important to present the reforms as a package. So the Government should include other important pro-growth reforms such as selling off non-strategic public enterprises and restructuring any enterprises deemed strategic; regulatory changes to increase bank and non-bank financial institution finance to business; streamlined inspections, tax administration, and court administration; and reduction of other unnecessary red tape.

A clear communication about this package of reforms - made by all of the key leaders together - would also make it clear to each Minister and his or her staff that they are responsible to get certain priority reforms finished in a set period of time. The Government deserves credit for starting these difficult reforms, but without clear communication it will not get that credit, nor will it get credit when they lead to growth and employment.

Actually, Serbia needs sustained growth of 5% plus, and this is achievable in the medium term if the Government reduces the red tape that is strangling businesses and increasing their risk. The Government has started many important business environment reforms that will enable private sector led growth, and Minister Dinkic mentions two of the important ones.

Since the Government is asking certain interest groups like trade unions to compromise their positions, it is important to present the reforms as a package. So the Government should include other important pro-growth reforms such as selling off non-strategic public enterprises and restructuring any enterprises deemed strategic; regulatory changes to increase bank and non-bank financial institution finance to business; streamlined inspections, tax administration, and court administration; and reduction of other unnecessary red tape.

A clear communication about this package of reforms - made by all of the key leaders together - would also make it clear to each Minister and his or her staff that they are responsible to get certain priority reforms finished in a set period of time. The Government deserves credit for starting these difficult reforms, but without clear communication it will not get that credit, nor will it get credit when they lead to growth and employment.