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H.E. Mr. Constantine Economides

Greek Ambassador to Serbia

Secure Partnership

Brigadier General Ornello Baron

Chief of NATO Military Liaison Office Belgrade

Welcome to Sochi

H.E. Mr. Alexander Vasilyevich Chepurin

Russian Ambassador to Serbia

Feb ’14 / ISSUE No. 112

Regaining Confidence in the European Idea

interviews opinions news comments events PRICE 300 RSD focus

Getting Serbia’s Economy Back on Track Changes are Needed public Broadcasters

road to sochi

Sochi Olympic Games

Carl Bildt Swedish Minister for Foreign Affairs



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112 February 2014 | |

112 February 2014 | 3

COVER Carl Bildt, Swedish Minister for Foreign Affairs

Unfinished Business


Page 8


Few politicians in the EU understand Serbia and the Balkans like Carl Bildt. He was co-chairman of the Dayton Peace Conference in 1995 and spent many of the following years working in the region. So it’s no surprise that the current Swedish Foreign Minister retains an interest in the EU ambitions and future of Serbia and Bosnia-Herzegovina

P  ublic Administration Pivotal to Reform


Prof. Dr. ANA S. TRBOVIĆ, Dean, FEFA – Faculty of Economics, Finance and Administration



F  ACES & PLACES C  hanges are Needed Public broadcasters

U  nfinished BUSINESS


CARL BILDT, Swedish Minister for Foreign Affairs


February 2014

R  egaining Confidence in the EUROPEAN IDEA

H.E. MR. CONSTANTINE ECONOMIDES, Greek Ambassador to Serbia

S  ochi Olympic Games 2014 Preview guide


Y  our 2014 Travel CALENDAR



Global diary


G  etting Serbia’s Economy BACK ON TRACK




B  est Fitness GADGETS



Exercise gear


Comment page 6

T  ransfer Pricing: A Taxing Issue M  exico’s Reversal of Fortune

Profile page 86


P  ositive Change Through Industry

VUJADIN ŠĆEKIĆ, Director of Jugo-Impex d.O.O.


Na  ture’s Treasure

Božidar Aleksandrović, Director Of Aleksandrović Winery D.o.o.

Mak  ing Spring Cleaner

FASHION: Spring 2014


F  ruitful Results

MARINOS VATHIS, President of the Executive Board of Vojvodjanska Banka


editorial MANAGER: Tanja Banković PHOTOS: Zoran Petrović, Časlav Vukojičić

Copy Editor: Chris McDonald


How Others do it: Reforms


CONTRIBUTORS: Rob Dugdale, Mirjana Jovanović, Radmila Stanković, Steve MacKenzie, Zorica Todorović Mirković, Sonja Ćirić


ANASTASIA SAGIANNI, Transfer Pricing Advisor at Eurofast


ART DIRECTOR: Ilija Petrović

PROJECT MANAGERS: Biljana Dević, Svetlana Okanović, Marina Pilipović,


Business Dialogue

ASSISTANT EDITOR: Jovana Gligorijević

TRANSLATION: Snežana Bjelotomić

BRIGADIER GENERAL ORNELLO BARON, Chief of Nato Military Liaison Office Belgrade


EDITOR: Saša Marić

K  eep Cool with a Spring in your Step FASHION: Spring 2014


I n Love with the Law

JELENA GAZIVODA Senior Partner at law office JPM (Jankovic, Popovic & Mitic)

FINANCIAL DIRECTOR: Ana Besedić OFFICE MANAGER: Nataša Nešić, PRINTING: Rotografika d.o.o., Segedinski put 72, Subotica CorD is published by: alliance international media Makenzijeva 67, 11000 Belgrade, Serbia Phone: +(381 11) 2450 508 Fax: +(381 11) 2450 122 E-mail: ISSN no: 1451-7833 All rights reserved alliance international media 2014

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112 February 2014 |


Public Administration

Pivotal to Reform Much of the talk surrounding Serbia’s EU integration process has focused on the need for the country to align its laws with those of the European Union. But there are non-legal standards to which Serbia must aspire in order to smooth the country’s transition into a modern European state Prof. Dr. Ana S. Trbović, Dean, FEFA – Faculty of Economics, Finance and Administration


erbia’s accession to the European Union is not only a ards of the European Administrative Space indicates the level of matter of legal harmonisation; it assumes efficient imadministration’s aptness for efficiently implementing the acquis. plementation of these laws, as well as the development Public enterprises are an integral part of public administration of corresponding structures, personnel and management and should also implement these principles. skills. The European integration process is closely tied to public As we build institutional capacity, we also need to support sector reform and labour reform, because, in addition to the rethe private sector in dealing with stiff competition by simplifyquirement to build administrative (institutional) capacities, our ing business regulation and improving physical and educationeconomy also needs to comply with EU standards to prepare for al infrastructure. Although the EU does not have a common edmarket competition. ucation policy, it is extremely dedicated to upgrading the labour Building administrative capacities during the European intemarket for greater competitiveness in pursuit of the continent’s gration process entails creating a management system, training knowledge-based development. The EU has defined key compeand equipping a wide range of civil servants, public office holdtences, as described in the European Qualifications Framework: 1) ers and relevant stakeholders in the private sector – from judges reading literacy in the mother tongue; 2) communication in a forand financial inspectors, to environmental inspectors and stateign language; 3) mathematical literacy and basic competences in isticians. Although the body of EU law (acquis communautaire) science and technology; 4) computer literacy and digital compedoes not have a special chapter dedicated to public administration, strong and efficient public administraIn addition to responsible and efficient tion is pivotal to reforms implied by the European inpublic administration, the openness of the tegration process. Public administration is an instrueducation system and labour market mobility ment that government authorities use to fulfil their obligations. In order for administration to be effective are vital to economic development in an advanced democratic society, a number of requirements must be fulfilled: tence; 5) learning-to-learn; 6) interpersonal and civic competenc• separating politics from public administration; es; 7) a sense of initiative and entrepreneurship; and 8) cultur• developing personal accountability of civil servants; al awareness and expression. The following standards have been • a reasonable measure of job safety, stability and remuset with the aim of raising the quality of work at universities in neration, as well as distinct rights and obligations for civil the European Higher Education Area: accountability for quality; servants; and public interest in high standards; quality of the academic curricu• hiring and promotion on the basis of work merit. lum; efficient organisation, transparency and external quality asBy integrating these administrative principles common to surance expertise; accountability for private and government inall EU member states, the European Court of Justice has singled vestment; and receptivity to diversity, creativity and innovation. out the most important ones, namely: reliability and predictabilIn addition to responsible and efficient public administration, ity (legal security); openness and transparency; accountability; the openness of the education system and labour market mobiliefficiency; and effectiveness. In addition to the basic constituty are vital to economic development. Serbia’s challenge today is tional order, these standards are introduced by means of amendto overcome resistance to these reforms in order to capture the ments to administrative laws such as the Law on Civil Servants, momentum and convergence of economic development. That is the Law on Free Access to Information of Public Importance and why new EU members say that 80% of the negotiations are at so on. The level at which a candidate country applies the standhome, not in Brussels. ■

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112 February 2014 |


Carl Bildt

Swedish Minister for Foreign Affairs


Business Few politicians in the EU understand Serbia and the Balkans like Carl Bildt. He was co-chairman during the Dayton Peace Conference in 1995 and spent many of the following years working in the region. So it’s no surprise that the current Swedish Foreign Minister retains an interest in the EU ambitions and future of Serbia and Bosnia-Herzegovina



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112 February 2014 |

arl Bildt, the former Swedish Prime Minister, EU/UN Special Envoy to the Balkans and High Representative for Bosnia and Herzegovina, has had a busy week. There has been the EU Foreign Affairs Council, the Syria peace conference, the World Economic Forum Annual Meeting in Davos, Switzerland and the continued protests and destabilisation in Ukraine. All of which makes it remarkable that Sweden’s current Minister for Foreign Affairs found the time to grant an exclusive interview with CorD about Serbia’s EU ambitions, the Kosovo normalisation process, the ongoing political stalemate in Bosnia and Herzegovina, EU threats to curb the visa-free travel regime for Serbian citizens, the World War I centenary and more. Bildt unsurprisingly remains a passionate advocate of the EU and the benefits that come with membership. He is also quick to praise the progress made in the Balkans, in the last year especially, and reinforces the fact that ultimate sovereignty and responsibility for Serbia’s future remains


South Stream


The inclusiveness of the EU is enshrined in the treaties through Article 49 and commitment to the Balkans was affirmed with the Thessaloniki Agenda.

Energy sufficiency could become a security political issue. Since the pipeline will be constructed on EU territory, contracts must comply with EU regulations.

The unfortunate stalemate of BosniaHerzegovina is a result of the inability of the political leadership to address the country’s urgent need for reforms.

with Serbia. At the same time, he speaks in a to-the-point manner about the unresolved challenges facing the country and its neighbours. As he puts it, when it comes to Serbia’s EU ambitions, the speed of EU-ready reform is important, but just as important is that the process is “thorough, transparent and driven by a national consensus”. ■ You have been quoted recently as saying that Europe still had some “unfinished business” in the Balkans. Were you referring only to the EU accession process or do you think that certain territorial decisions from the 1990s failed to stand the test of time?

- The enlargement policy of the European Union has proven to be a success story and a source of peace, stability and prosperity. This is a door that remains open. The general inclusiveness of the EU is enshrined in the treaties through Article 49 and the specific commitment towards the Balkans was affirmed more than 10 years ago with the Thessaloniki Agenda. In that respect, Europe most certainly has unfinished business in the Balkans. We still have countries that remain in the EU waiting room. But it should also be noted that we have seen remarkable progress of enlargement in the last year, with membership for Croatia and the opening of negotiations for Serbia serving as two examples. ■ Serbian officials hope that Serbia

could become an EU member by 2020. Do you think this is realistic?

ment a great political achievement. However, its implementation has been anything but smooth. Kosovska Mitrovica mayor-elect Krstimir Pantić withdrew from his appointment, suggesting that Priština had been imposing certain aspects that were nowhere to be found in the agreement. Do you think this situation is more of a challenge for the EU than it is for Belgrade and Priština?

- The steps taken are no doubt an extraordinary achievement.

Europe most certainly has unfinished business in the Balkans. We still have countries that remain in the EU waiting room. But we have seen remarkable progress in the last year, with membership for Croatia and the opening of negotiations for Serbia

- With such a comprehensive process it is difficult to point out an exact point in time – but if Serbia remains committed, we will see continued results. I think that we have seen strong commitment during the last year, and that is what is required for a speedy progress. However, speed is not the only important factor; it is also important that the process is thorough, transparent and driven by a national consensus. ■ Both Belgrade and Priština have called the Brussels Agree-

The Belgrade-Priština dialogue is a showcase for solving disputes in this part of the world and beyond. But as with every difficult process we must also expect and be prepared for friction and tough decisions – there will be bumps on the road. However, the courage and political leadership we have witnessed are unprecedented. I am therefore confident that we will see more progress. Thus continued success will be important, for Sweden, for the EU, but most of all for the peoples of Kosovo and Serbia.

■ The possibility of reintroducing EU visas for Balkan countries is being spoken of once more. Is this possibility a whip that is being used to bring the Serbian authorities to submission? Do people in the EU think there is a real threat of fake asylum seekers coming from Serbia? - It is true that the EU suspension mechanism was entered into effect to ensure that there is no abuse. It would, however, be a mistake to believe it is directed towards a certain region |

112 February 2014 | 9

or country such as the Balkans or Serbia. The rules are applied equally for all countries – present and future – that benefit from visa-free travel and are to be used only as a measure of last resort. At the same time, the problem of unfounded asylum requests must be resolved. The flow of false asylum seekers causes severe difficulties in the asylum processes of the EU countries that are most affected. ■ You have been quoted as saying you did not believe the EU

■ Your comments about the Hague Tribunal’s rulings have been relatively cautious. You have even said that the Tribunal was taking the Balkans too far back into the past instead of working to reconcile the region’s nations. Serbian public opinion is that the Tribunal is far from being a court of justice, and that its main role is to perpetuate the stereotypical opinions people have of the Serbs as the only people to blame for the wars in the former Yugoslavia. Has your opinion changed since then?

- Politicians should always be careful when it comes to commenting on specific court rulings. Indeed, a cornerstone of our societies, founded on the rule of law, is the independence of the judiciary. My general view of the Hague Tribunal is that it has been vital to the process of helping the region to reconcile with its difficult past and thus paved the way for moving on and moving forward.

would explicitly ask Belgrade to

■ Do you have a rational explanation as to

why Vojislav Šešelj has been waiting for over a decade to be sentenced?

- I have full confidence in the handling of the case by the Hague Tribunal.

■ Does Serbian EU membership entail the country also joining NATO? Is Serbia’s choice to remain neutral an aggravating circumstance, given the country is surrounded by NATO members that are also part of the EU? recognise Kosovo’s independence. Still, many European MPs have been suggesting that Serbia normalising its relations with Kosovo, i.e. recognising Kosovo’s independence, would be the last step in a long negotiation process between Serbia and the EU. Is the choice to leave the most difficult negotiation topics until last part of the EU’s political strategy, and how much is it a validation of the fact that Europeans don’t all see eye-to-eye about this issue?

The Belgrade-Priština dialogue is a showcase for solving disputes in this part of the world and beyond. But as with every difficult process we must also expect and be prepared for friction and tough decisions – there will be bumps on the road

- The EU has not asked Belgrade to recognise Kosovo’s independence. Let us turn to what has actually been agreed. In December the negotiation framework of the EU was agreed upon by the member states. It explicitly states that by the end of negotiations there should be a “comprehensive normalisation of relations” between Serbia and Kosovo. I do not see how the EU collectively can ask Serbia to recognise Kosovo when five EU countries have not done so. What we have asked and will continue to ask is that relations are normalised to the benefit of all people concerned.

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112 February 2014 |

- On the contrary. Sweden together with Austria, Ireland and Finland are all examples of countries that are members of the European Union and only – just as Serbia – partners but not members of NATO. ■ Certain European officials have been vocal in

branding Serbia a ‘Trojan horse’ used by China to break into the European market. Others are bothered by the Russian-Serbian agreement for the construction of the South Stream gas pipeline. Why is this agreement a problem in the case of Serbia but not in the case of an EU member such as Bulgaria?

- It is not necessarily a problem. But ensuring energy sufficiency could always become a security political issue. Since the pipeline will also be constructed on EU territory, the European Commission has stated that contracts related to it must comply with EU regulations.

■ You are very familiar with the situation in the region. Bosnia

and Herzegovina has proven to be a dysfunctional creation, a place where it seems like the war ended only yesterday and animosity between the country’s peoples and entities are as

present as ever. Sarajevo is advocating changing the Dayton Agreement while Republika Srpska dreams of independence. Do you think the EU has failed in the case of Bosnia, and what is the country’s future in realistic terms?

- The unfortunate stalemate of Bosnia and Herzegovina is a result of the inability of the political leadership to address their country’s urgent need for reforms. This year an election will be held, hopefully with an outcome that gives the country a government that is ready to take the steps needed for the SAA agreement to come into force and able to hand in a credible membership application to the EU.

framework of enlargement – on economic reform early on in the process of negotiations. That way new members will have better conditions for an easier transition. However, just as we should not turn a blind eye to the initial difficulties of acceding, we must not forget the many benefits and opportunities that come with membership. Look at the Eastern Enlargement – celebrating 10 years now in May – and the outcome that has been made possible through hard work, openness and a readiness to change.

■ This year Europe is marking the cente-

nary of World War I. Certain Western historians have been quick to revise established historical facts in their publications; there is a new claim that there would have been no war if Gavrilo Princip hadn’t assassinated Archduke Ferdinand in Sarajevo. The average Serbian citizen sees this is as yet another example of Europe being unjust towards Serbia and the country again being portrayed as the usual suspect for everything. What do you think of this?

- There is no historically established truth that holds one actor or individual as responsible for the outbreak of World War I, nor is it likely that one will be identified during this year. However, for two reasons, I believe it is justified to criticise the actions of political leaders in the capitals of Europe at the time. Firstly because they did not exhaust all possibilities to resolve the conflicts peacefully when the outbreak was on their doorstep. Secondly, they lacked the ability to imagine the unprecedented suffering that would be unleashed with an all-out European war. There are lessons to be learned and hopefully the centenary can shed light on some of those. ■ Apart from open war wounds, the whole

I do not see how the EU collectively can ask Serbia to recognise Kosovo when five EU countries have not done so. What we have asked and will continue to ask is that relations are normalised to the benefit of all people concerned

region is also suffering due to poverty. Regional economies are so weak that even the EU’s staunchest proponents believe Western Balkan states would be treated as second class and a source of raw materials and cheap labour when (or if) they become EU members. How should Brussels respond to these claims?

- You are right in that the Balkans, just as Europe as a whole, is going through a rough patch. It is also true that with membership and access to the market follows initial difficulties in adapting to the new environment. Exactly for that reason I welcome the renewed focus of the Commission – within the

■ You have met many Serbian politicians. Which of them has impressed you most and why?

- In my opinion, several Serbian politicians from different political camps, since the fall of Milošević up until the opening of negotiations for EU membership, have shown impressive courage and commitment. ■ Serbia and other Western

Balkan countries are waiting to see who will replace Catherine Ashton as the EU’s High Representative for Foreign Affairs and Security Policy, and even wondering if you are a contender for the role. Many in Serbia think you would be a good choice given your familiarity with the situation in this part of Europe. What is your response to this?

- I am convinced that regardless of who is appointed as High Representative, the Western Balkans will remain a prioritised region. The credibility of the EU presupposes being able to ensure security and stability in its own neighbourhood. ■ |

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H.E. Mr. Constantine Economides

■ Photo: Zoran PETROvić

Greek Ambassador to Serbia

Regaining Confidence in the

European Idea Of the 28 EU member states, arguably none have had as rough a ride economically as Greece did post-crash. Austerity measures and structural changes have come at a heavy cost to citizens, but with a new year comes the country’s reascendency to the EU Presidency and the hope for better days ahead at home and in Europe

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reece, or the Hellenic Republic as it is officially known, has experienced a turbulent few years. As the country’s Ambassador to Serbia H.E. Mr. Constantine Economides points out, Greece saw 25% of its GDP wiped out following the global financial crash and its own economic collapse, which saw the country being bailed out by its EU peers ahead of extensive economic restructuring. Unemployment remains high and civil unrest has been an issue, with extremist political parties such as Golden Dawn coming to prominence. But Economides is quick to praise the hardiness of the Greek people in the face of such challenges, and insists that the country is now on the right

112 February 2014 |

track and ready to lead from the front as it assumes the EU Presidency for the fifth time.

■ The Hellenic Republic assumed the duties of the EU Presidency on 1 January. What will be the priorities during the Presidency?

- The Presidency of the EU is the fifth Presidency of the Council of the EU that the Hellenic Republic has assumed after its accession to the European Communities in 1981. It is noticeable that every Hellenic Presidency has been linked historically with significant steps in the European integration process, namely the enlargement of the European Union and efforts to adopt the European Constitution in 2003,




Greece lost almost 25% of its GDP and the average citizen saw their income reduced by 38%, while youth unemployment is in some cases close to 50%.

The Greek EU Presidency will focus on four areas: 1) growth, jobs, cohesion; 2) integration of the EU and eurozone; 3) migration, borders, mobility; and 4) an integrated maritime policy.

After six years of recession, in 2013 Greece achieved a primary budget surplus of €812 million and a return to growth in 2014 is forecasted.

which led to the adoption of a revised document entitled the Treaty of Lisbon, the institutional foundation of the EU. Our Presidency will focus primarily on four policy areas: 1) growth, jobs, cohesion; 2) integration of the EU and eurozone; 3) migration, borders, mobility; and 4) an integrated maritime policy. With respect to growth and employment, let me point out that 2014 will mark the start of a new sevenyear macroeconomic programming period, during which it will be of paramount importance to reverse negative employment trends at a European level, especially in the youth sector, and boost job creation with the adoption of growthenhancing policies. At the same time, the deepening of the new EMU (economic and monetary union) architecture remains a key priority for each EU rotating presidency, and the main focus will be on the improvement of economic governance, the promotion of the banking union and the establishment of the deposit guarantee mechanism. Integration of the EU and the eurozone means further promotion of the banking union. It means

effective implementation of EU economic governance mechanisms. Equally, it entails focusing on the social dimension of the EMU and promoting the strengthening of our European institutional structures, which will ensure transparency, accountability, national ownership and credibility towards the citizens of Europe. Our third priority comes hand in hand with the principle of growth. We need to protect the common European borders, to manage migration flows jointly by pursuing a fair distribution of burdens, and to facilitate mobility. Finally, the integrated EU maritime policy is our horizontal policy. We strongly believe that the seas and oceans are the driving forces of the European economy and we would like to revive the Union’s sea transportation policies and to explore new ways to cover needs in the areas of security and energy, including the exploitation of seabed resources. ■ How important is the EU Presidency for your country at a time when it seems like there may be a possibility for Greece



to emerge from its economic crisis?

- First of all, let me underline that under adverse economic circumstances and many sacrifices, this year we will achieve, earlier than predicted, a primary surplus, i.e. 0.6% of GDP. This surplus, in structural terms, is the highest in Europe. We are entering a growth phase and we have proven our commitment to abide by our promises. We have achieved the largest fiscal consolidation in the EU and managed to reduce our deficit by 13%. This did not happen without sacrifices and tremendous cost to the Greek people. We lost almost 25% of our GDP and the average citizen saw a reduction of his income by 38%, while youth unemployment is in some cases close to 50%. It is under these circumstances that we assume the Presidency of the Council of the EU. We are ready to assume our responsibilities and contribute through our priorities to further strengthen the EU. I would also like to stress that elections for the new European Parliament will be held during our Presidency, and discussions will commence on the nomination of the new European Commission, the choice of its President as well as that of the new President of the European Council. ■ One of the biggest challenges fac-

ing Greece’s Presidency is that it takes place at a moment when trust in the EU has been shaken. What is your view on this?

■ Although you only assumed your duties as Ambassador to Serbia a few months ago, do you think that Serbia is ready for the accession negotiations, and what do you think of estimates suggesting Serbia might become an EU member by 2020?

I think now more than ever we are experiencing a profound transitional period in Europe. The forthcoming European Parliament elections will be of great importance as we need to hold an in-depth and honest debate about the type of Europe we want

- I think that now more than ever we are experiencing a profound transitional period in Europe. The forthcoming European Parliament elections will be of great importance as we need to hold an in-depth and honest debate about the type of Europe we want. We believe that through the priorities of our Presidency we are contributing positively to this debate. We need a strong and economically stable European Union, we need to regain confidence in the European idea and we need to ensure that European citizens are actively and fully involved in this process.

■ As a country that is about to start official EU accession negotiations, how important is it for Serbia that the beginning of negotiations coincides with the Hellenic Presidency?

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led to the adoption of the ‘Thessaloniki Agenda’ during our Presidency in 2003. Our Presidency will implement the European Council’s decision to open accession negotiations with Serbia and will contribute to the decisive advancement of these negotiations. On 21 January, the first intergovernmental conference between Serbia and the EU will take place. This is an important – allow me to say – historic step for Serbia and the Western Balkans as a whole, and will contribute to the political and economic stability of the region.

- As you know, we have been keen supporters of promoting EU enlargement in the Western Balkans and our initiatives 112 February 2014 |

- I officially assumed my duties as Ambassador to Serbia in September 2013, but this is not my first time in Serbia, since my father served as Ambassador here in 1973. So let me say that I feel a special bond with your country and the Serbian people. As far as Serbia’s accession negotiations are concerned, as you already know, there is an established procedure which every candidate country for accession to the EU must undertake. At the same time, the negotiation process is subject to the fulfilment of relevant prerequisites. I believe that Serbia has the willingness and the capacity to quickly fulfil the accession criteria.

■ In terms of Greek internal affairs, how likely is it that the country will combat the economic downturn and how fast could this happen?

- In the midst of a sharp and socially painful recession, we are making important progress in overcoming deepseated structural problems. Progress on fiscal adjustment has been exceptional by any standards, labour market reforms are helping to realign nominal wages and productivity and the competitiveness gap has been reduced to about 50% since 2010. And all these sacrifices and difficult measures are yielding results: after six years of recession, in 2013 we achieved a primary budget surplus of €812 million and a return to growth in 2014 is forecasted. We are still facing important challenges, especially regarding structural reforms, but we feel confident that they will be overcome. |

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■ What are the key factors for Greece overcoming the recession? - We are trying to apply a new growth model and to place emphasis on exports and investment. This points to the importance of competitiveness and the existence of a friendly business environment. We still enjoy comparative advantages in economic areas, such as tourism, the maritime industry and transit trade, and I am sure that progress in these areas of the economy will further consolidate economic growth. Allow me to add some figures regarding tourism: based on the latest data available in 2013, Greece received 17.8 million tourists, among whom there were more than 700,000 Serbian citizens, with direct revenue amounting to €12.3 billion, i.e. an additional 1.5% of GDP compared with 2012. An upward trend in tourism will contribute substantially to overcoming the current recession.

■ In early January, at about the same time as the Hellenic Republic assumed the duties of the EU Presidency, Greek media reported heavily about Berlin’s attitude towards Greece, which has often been described as “strict, critical and unfavourable”. What are these views based on?

- I believe that these media reports are exaggerated. The Hellenic Republic and Germany are partners belonging to the European Union family. For someone to express an opposite opinion doesn’t mean that he is strict or critical or unfavourable. It is just a different approach to a problem. The important thing is that at the end of the day we all can agree on a solution and work together on its implementation.

■ Economic relations between Serbia and Greece were very strong in 2010. How would you rate them today?

The Hellenic Republic and Germany are partners belonging to the European Union family. For someone to express an opposite opinion doesn’t mean that he is strict or critical or unfavourable

■ The economic and political crisis in Greece has resulted in growing political extremism – both right-wing (Golden Dawn) and left-wing (Revolutionary Organisation 17 November). Can this be attributed to the crisis, or have other factors contributed to it?

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the economic crisis has, to a certain extent, contributed to a rise in populist and in some cases extremist politics. This is not only a Greek phenomenon. As far as Golden Down is concerned, our judicial authorities have pressed charges against its leadership for acts related to the establishment of a criminal organisation and they are now in prison pending trial.

- First of all, allow me to correct you regarding the so called Revolutionary Organisation 17 November, which was a terrorist organisation. Perpetrators and collaborators were arrested for acts of terrorism committed in the 1980s and were tried and sentenced according to the severity of their crimes. Referring to your question, it would be fair to say that 112 February 2014 |

- I would rate them as stronger than in 2010. Our excellent bilateral relations are reflected in economic terms. What I would like to stress is that despite the economic crisis, Greek companies have not left Serbia, and the Hellenic Republic continues to be among the largest investors in Serbia. Our bilateral commerce has increased in the years of economic crisis and I believe that this trend will continue over the next years. Last but not least, new investments were made in 2013. I was recently honoured to inaugurate an important Greek investment project in the town of Smederevo. Having close contacts with the Hellenic Business Association and businessmen in Serbia, I believe that the sustained Greek business presence in your country, which dates from the mid-1990s, proves the Hellenic Republic’s confidence in the prospects of the Serbian economy. ■ Noting the two nations’ traditionally strong relations, what is the foundation of the relationship between Greece and Serbia today?

- Bilateral relations between the Hellenic Republic and Serbia are based on solid foundations that were forged in the context of common historical, religious, cultural and societal ties and have stood the test of time. Our close relations will be further strengthened by Serbia’s European perspective, which we fully support. After all, “united we sail for our common quest” – a united Europe. ■ How important is World War I in Greek political history? - What is important is that we fully understand the reasons that lead to wars and are thus in a better position to avoid the mistakes of the past. ■ |

112 February 2014 | 17


global diary

“I’ve honoured several members of the gay community in this country, but for their personal achievements regardless of their sexual orientation.” — Vladimir Putin, President of Russia

Transforming Trash Into Art

Tim Noble and Sue Webster transform piles of objects most people wouldn’t even dare touch – mummified squirrels, animal bones, cigarette packets, discarded wood – into meticulously assembled figures, whose detailed shadows often depict the artists themselves. “A walk in the countryside is no different from a walk through the streets of London,” Webster says. “There are always plenty of dead animals and bones to collect, which we affectionately refer to as our ‘country trash’.” More than a decade ago, the artists had been working on a series of light sculptures and were frustratingly waiting for a shipment of supplies when the first shadow sculpture was born out of experimentation. Since then, the pair have gone on to combine larger piles of trash, menageries of dead animals and casts of items into a series of highly nuanced shadow sculptures with a particularly punk aesthetic. punishment

Apple to Pay Out for Apps Purchased by Kids

young children had racked up thousands of dollars in charges. Under the settlement, Apple must refund all unauthorised payments to customers. Those refunds should total at least US$32.5 million but could end up being much more, according to the FTC. If Apple’s payments don’t reach US$32.5 million, the FTC will collect the difference. auction

The US federal government has said that Apple has agreed to pay at least $32.5 million in refunds to parents who didn’t authorise hefty app purchases racked up by their children on their iPhones and iPads. The Federal Trade Commission’s (FTC) settlement with Apple is the first punishment handed to a major tech company over the handling of children’s apps. It comes amid growing concern that, as children clamour to use mobile devices, companies are doing little to protect their privacy or provide parents with the tools to supervise online behaviour. The FTC said Apple unfairly deceived consumers by allowing unlimited in-app purchases for a 15-minute period without telling users of the policy. Normally, any charges on Apple’s iOS operating system require users to enter a password to prevent accidental or unauthorised purchases. Some parents reported that their 18 |

Bottle of Macallan Whisky Sold for US$631,850

lion, with 99.7% of lots sold. Only four Imperiale ‘M’ Decanters have ever been made by the Macallan distillery, Sotheby’s said. support

an approach which is to support industry, to support the economy and to be very pragmatic. “We would like at times for other parts of Europe to have the same pragmatism and support.”

Britain Helps Lift Airbus to Record Sales High Not every day do you hear a Frenchman speak warmly about the UK and its government, but in the south of France the President and Chief Executive of Airbus, Fabrice Brégier, has done just that due to the UK’s industrial policies and support for his company. The 52-year-old head of Airbus, maker of the world’s largest passenger airliner, the double-decker A380, said: “I must say the UK has

In fact, so happy is he with the British government, that when asked if there was more the UK could be doing for Airbus, he replied: “No. I’m happy with the support. I have no specific requests.”

Italian Crime Groups Richer than Oil Producer Eni Sotheby’s sold a bottle of Macallan for US$631,850 in Hong Kong, setting a record for the most expensive bottle of single malt whisky ever sold at auction. The 6L Macallan ‘M’ Decanter by Lalique exceeded its US$600,000 estimated price and beat a previous record of US$460,000 set by Sotheby’s in New York in 2010, the auction house said in a press release. The Macallan sale, with proceeds to benefit Hong Kong charities, helped boost total sales at the 18 January wine auction to US$3.79 mil-

112 February 2014 |

Italy’s main crime groups – Sicily’s Cosa Nostra, Calabria’s ’Ndrangheta and the Camorra from Naples – have an annual turnover of €116 billion, according to the United Nations Office on Drugs and Crime. That is more than the annual sales of Italy’s biggest company, oil producer Eni. Last month, Italian police issued arrest warrants for 90 suspected members of a Naples mafia clan and seized assets worth millions of euros, including dozens of well-known pizza restaurants in Rome. The suspected ‘mafiosi’ are accused of involvement in drug trafficking, extortion and loan sharking, as well as laundering profits in 27 coffee bars and pizzerias around Rome, including Pizza Ciro, one of the city’s most popular chains, a police statement said. Also among the €250 million-worth of assets seized were 30 petrol stations in Naples, a wholesale food warehouse, a semi-professional football club, jewellery stores and dozens of properties, bank accounts and cars.

Angst “I feel there’s an existential angst among young people. I didn’t have that. They see enormous mountains, where I only saw one little hill to climb.” — Sergey Brin, co-founder of Google business

Bill Gates Much Richer in 2014 than in 2013

According to the Bloomberg Billionaires Index, Bill Gates increased his personal wealth by US$15.8 billion in 2013, bringing his total fortune to a whopping US$78.5 billion. Part of the reason behind that rise was the 40% uplift in Microsoft’s stock price last year. Gates still owns 4.5% of the company. However, Gates also has money in a number of other companies that were successful in 2013. One of them is Canadian National Railway, which saw its stock go up by 34% in 2013. Gates owns shares in Ecolab, which makes sanitising products and saw its stock price rise by 45%. Other tech company figures saw their personal fortunes increase last year, such as Facebook founder Mark Zuckerberg, who became US$12.4 billion richer, while Google co-founders Larry Page and Sergey Brin each added US$10 billion to their net worth.


Bolivia Urges Legalisation of the Coca Leaf Bolivian President Evo Morales has assumed the chairmanship of the Group of 77, a collective of developing nations, and said he would use his new international platform to have coca leaf, which can be refined into cocaine, removed from the list of internationally banned drugs. At a news conference Morales said, “Last year, we achieved recognition of the traditional consumption of the coca leaf,” a mild stimulant chewed to relieve altitude sickness and to ele-

vate the mood in Andean nations. A European Union-financed study released last November found that 58% of Bolivia’s coca crop is devoted to traditional uses, meaning the rest is processed into cocaine. Bolivia is the world’s numberthree coca producer after Peru and Colombia. More than 40,000 Bolivians depend on coca cultivation for their livelihood and it contributes 1.5%, or US$332 million, to Bolivia’s economy, according to UN figures.

Tamilnadu Bull Taming

Jallikattu is a traditional bull-taming sport played in Tamil Nadu, India as a part of Pongal celebrations on Mattu Pongal day. More than 350 bulls were registered in January 2014 to participate in the event, in additional to more than 210 registered for the Palamedu jalikkattu. At every place where jallikattu happens, the Tamilnadu (TN) government monitors the health of the animals through check-ups by the Animal Welfare Board of TN. Police provide protection for to the public to prevent rioting. More than 200 doctors are on hand to provide immediate medical attention to injured bull tamers. Injuries and even deaths occur at jallikattu events. In 2004, at least five people were reported dead and several hundreds injured in various villages. Two hundred have died over the past two decades. Unlike in Spanish bullfighting, however, the bull is not killed. business advisory firm Deloitte – it represents a financial blow for one of the sport’s most decorated clubs. Spanish giants Real Madrid came top for a record ninth consecutive year – despite winning no silverware last season – with a total revenue of US$702 million, US$47 million ahead of


Manchester United Drop Out of Top Three Richest Clubs Despite seeing a rise in revenue to US$574 million, for the first time in 17 years Manchester United can no longer be counted among the top three richest football clubs in the world. For an organisation that once spent eight years on top of the annual money table – compiled by

Manchester United manager David Moyes and Nemanja Vidić

domestic rivals Barcelona in second. German champions Bayern Munich, who won last year’s UEFA Champions League, have usurped Manchester United. Helped by a record Bundesliga broadcast deal, Bayern recorded a 17% growth in revenue to hit US$585 million.

Davos 2014

Just 15% of Davos Attendees are Women Last year, 17% of participants at the World Economic Forum (WEF) in Davos were women. This year, only 15% are. Organisers say it’s simply the reality of today’s world. Many participants are invited to Davos based solely on their job function. Business members of WEF get a certain number of invitations and can distribute them to their top employees as they see fit. The highest levels of the membership get four tickets, but if one of their tickets goes to a woman who is an executive or board member, the company is rewarded with a fifth ticket. The groups that consist of younger participants are more genderbalanced. Participants from Young Global Leaders and Global Shapers are comprised of about 50% men and 50% women. |

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Getting Serbia’s Economy

Back on Track

As well as the much-trumpeted commencement of EU accession negotiations, 2014 will also bring the adoption of several new laws to facilitate economic reform in Serbia. The government has warned citizens that life will become more difficult in the short term, but that this is the price to be paid for progress. With this in mind, CorD has asked a group of experts the following:

Which laws should Serbia urgently adopt to kick-start the implementation of long-awaited economic reforms? Ernst Bode CEO of Messer Tehnogas

Releasing Positive Energy Muddled implementation of anachronistic laws and overbearing red tape is strangling Serbia’s entrepreneurial spirit. If the government is to usher in a new era of growth, laws must be enforced properly and procedures must be simplified I believe the question is not which laws should be adopted, but which laws should be cancelled, which should be modified and what can be done to ensure that existing legislation is enforced properly. We have more than enough laws but they are confusing, complicated and, in part due to these reasons, not applicable and sometimes not enforced rigorously. Some crucial legal regulations and administration in Serbia are still far from efficient. They are confusing, sometimes even obstructive, which is one of the main problems that should have been tackled a long time ago. There are useless and anachronous regulations and bureaucratic procedures that slow down the country’s development and the implementation of the economic reforms, as well as preventing companies from developing and realising their plans and ideas. The existing Labour Law, which is an employment prevention law, is certainly high up on the agenda of obstacles to economic and employment growth. It needs to be changed to serve its real and intended purpose: to protect employees against despotism, to prevent exploitation and, at the same time, give employers more rights to reward the honest and

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hardworking ones and penalise the bad ones, along with more flexibility within the market environment in which a company operates. There are, however, optimistic indications that this government has started to realise its intended and promised reduction of regulations and the cutting down of suffocating administrative The Labour Law should be procedures. When changed to serve its real this process enters deeper into the and intended purpose: existing laws and to protect employees regulations, it will against despotism, to release positive prevent exploitation and energy, entrepregive employers more rights neurial spirit and to reward the honest and the strength of this hardworking ones and country’s people penalise the bad ones and its economy. The situation has also improved regarding the harmonising of bylaws with laws. However, there is still a long way to go to create a healthy and efficient business environment and to implement these absolutely necessary deep-rooted reforms, which would save the time consumed by bureaucracy and administration and instead utilise it to create concrete and important results.

Ljubodrag Savić Professor at the University of Belgrade’s Faculty of Economics

The Rule of Law for All The constant rush to pass new laws is meaningless if their implementation is flawed or doesn’t happen at all

The Speaker of the Serbian Parliament has kept the Serbian public informed regularly and in detail about the number of laws passed last year. If the work done by the Serbian Parliament were graded by this criterion, then the grade would be a high one indeed. At the same time, global institutions have been objecting frequently to the inefficient and indiscriminate implementation of the adopted laws. So, what’s the problem and why are laws rarely implemented in Serbia? The answer is because there is a huge abyss between the lawmakers, law implementers and law abiders. Each time a new parliament is convened, the parliamentary majority, namely the government and ministers, first insist on passing those laws that are closely related to their scope of work. Some ministers spend most of their term working towards passing a new law and, by default, rarely have the time or inclination to seriously implement the adopted laws. The governing parliamentary majority seldom listens to what opposition parties say and are largely uninterested in what ordinary people think about these laws, saying that they have been elected by the people to protect the interests of all Serbian citizens. If this is true, then why did then the Serbian National Parliament, for instance, pass the catastrophically bad Privatisation Law in mid-2001, which destroyed Serbian industry and left almost

500,000 people jobless, while at the same time making it possible for a small, very influential and wealthy business, political and intellectual elite to emerge? If Serbia truly adheres to the rule of law, which it does not, corruption would have long been under control. Instead of seriously fighting corruption, state authorities have often been accomplices in committing this most evil of social acts, one which has destroyed the very foundation of our system of values and annulled people’s efforts to secure their social status via honest and hard work. The state is to blame for wrongdoing and not doing at all. The state can arrest or acquit, imprison or release, accuse or abolish, punish or forgive; the government can write off tax for a selected few or all privileged

individuals. It can also write off electricity, water and utilities bills, provide work subsidies or secure a loan on favourable terms. The state is omnipotent and can do

There is a huge abyss between Serbia’s lawmakers, law implementers and law abiders

whatever it pleases. Countries differ by how much they adhere to the rule of law. Once Serbia starts to implement its laws equally for all citizens, we are going to become a European country. If this doesn’t happen, we will remain a corrupt state where laws are applied differently for the wealthy and powerful on one side, and all other Serbian citizens on the other.

Neoclis Neocleous Executive Board Chairman of Piraeus Bank

Transitional Challenges The Serbian economy is facing the consequences of the global economic crisis and needs to take urgent measures to accelerate growth

The package of economic measures set in late-2013 was necessary and constitutes a step in the right direction towards controlling the budget deficit. However, these measures alone, without broader reforms aimed at reviving the economy, will not be sufficient for long-term results; their effect will be limited unless immediate incentives for economic growth are implemented.

The importance of the economy is twofold: the economy has to be ready to compete on the common European market; and it must be able to attract investments internally. Without a favourable climate for investments, Serbia will not be attractive to the investors who are essential for the stabilisation of the overall situation in society. Finally, only a higher employment rate can create trust among citizens. All legal and political obstacles should be removed in order to attract international financial |

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institutions and investors. It’s very important to manage the remaining problems within the legal framework, particularly the Insolvency Law, where for example there is an issue with the right of creditors that have collateral but don’t have a direct receivable

Of course, it is difficult for every country to make progress with the same intensity in every sector, which is why it is important to prioritise towards the debtor. Further on, there is the Law on Protection for users of financial services, which, contrary to practises among European countries, does not allow the assignment of loans that individuals have to anyone other than a single bank. Along with this, let’s not forget the laws relating to the labour market, where

it is important to set the right package of measures to support working people in a correct and more effective way. Finally, the Law on Payment Deadlines, which limits payments between private entities to 60 days, is limiting the autonomy of parties in commercial transactions. This is what is called a transitional challenge in countries where each area should be reformed. Of course, it is difficult for every country to make progress with the same intensity in every sector, which is why it is important to prioritise. In this sense, judicial reform is a key reform, but it also goes hand in hand with economic reform and/or politics and a business strategy that takes care of the interests of each individual, ensuring above all else that people have jobs and can make a living from that job. These two processes are closely connected, as investors are not interested in coming to a country with open issues.

Gabor Bekefi CEO of Carlsberg Serbia Group

Fairness in Competition

Vladimir Gligorov Senior Researcher at the Vienna Institute for International Economic Studies

A Question of Will If Serbia’s lawmakers lack the will to implement the most basic structural changes, the consequences will be felt by businesses, workers and hinder the country’s EU ambitions The Ministry of Economy’s agenda covers practically all the urgently needed structural reforms, which should turn the economy around. They target: 1) the solvency and liquidity problems in the corporate sector (Law on Bankruptcy); 2) the restructuring and privatisation of public and state-owned firms (Law on Privatisation); and 3) the obstacles to investments (Law on Ownership of Land for Construction). In addition, there are: 4) changes to the Law on Corporate Debt and others that target the working of financial markets, and 5) changes to the Labour Law, which should increase the efficiency of the labour market. Reforms are needed for the Banking Law in order to deal with non-performing loans and thus support increased crediting, much strengthening the structure of governance. The key problem is not the lack of recognition of the need for regulatory reform, but the commitment of the government to adopt and implement these reforms. Right now, the will to

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reform is disappearing fast. This may be more consequential than is widely realised. Fiscal and financial sustainability depend on these changes to the regulatory framework. Both private businesses and the fiscal authorities have based their expectations and strateIf these reforms are gies on the assumption that not only delayed, there will be reforms, and they but shelved, the EU will push the potential growth accession process rate up. Put differently, ecowill also suffer nomic growth depends on the proposed changes and financial results of firms and banks, and the government’s fiscal revenues depend on growth picking up: no reforms, no growth, and all balances become unsustainable. That will be especially bad for the labour market. These are only the most basic reforms. A much larger regulatory agenda has yet to be faced through negotiations with the EU. Governments usually cannot borrow their political will from abroad. So, if these reforms are not only delayed, but shelved, the EU accession process will also suffer.

Serbia’s need for legislative modernisation and administrative strengthening remains its biggest priority. If unwieldy, non-performing state enterprises continue to limp along thanks to subsidies and special arrangements, there can be no true competition The opening of EU accession negotiations and the recent announcement of early parliamentary elections highlight both the future opportunity and the historical need for modernisation of several chapters of Serbia’s current legislation. However, before any law is changed or new laws created, the government should progress in two areas. One is strengthening the capacity of the state administration in order to enable the implementation of laws. This should include an increase in administrative capacity to produce and enforce by-laws related to new legislation, the solidification of the governance model through the introduction of transparent mechanisms and the fight against corruption on all levels of the administration. Second is reform of the judicial system to enforce the rule of law through building more capability in the court system, creating more coherence within current legislation and providing more clarity for new laws in the form of clearly defined by-laws. The government of Serbia has to modernise its laws related to

privatisation and its direct presence in the economy. Today, while the government should only deal with the legislative framework on a macro level, it is actively present in the market through stateowned large- and medium-sized enterprises, many of which are in bankruptcy, insolvency and/or require structural changes in order to become sustainable, competitive companies. As long as this situation is maintained through subsidies and special arrangements, the fairness of comThere has been a lot petition will be challenged. There has been a lot of of discussion about discussion about the need the need to reform the to reform the outdated Laoutdated Labour Law. bour Law. Events in recent Events in recent weeks weeks highlight the sensihighlight the sensitivity tivity of the topic and indiof the topic and indicate cate that a long-term soluthat a long-term solution tion can be achieved only can be achieved only through social dialogue. through social dialogue Finally, I want to mention one law that is closer to our business, namely the Law on Food Inspection and Food Safety. Instead of the current, cumbersome, time- and moneyconsuming processes, a new one is needed, making food producers liable for the safety of consumers. By implementing this change, significant working capital could be freed up and made available for investment in other areas. |

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Brigadier General Ornello Baron Chief of NATO Military Liaison Office Belgrade

Secure Partnership ■ Photo: Radovan POPOVIĆ

Serbia’s reform process is not just about economics and judicial matters. NATO has been working in collaboration with Serbia’s defence institutions to reform the country’s security sector, improving accountability and oversight at home and giving Serbia’s armed forces the chance to make a difference internationally gence agencies, which is one of the most challenging aspects in these reforms. I hope that NATO and member countries’ assistance through various projects, joint workshops and exchange of know-how has made a difference for Serbia in this matter. ■ During the recent period, Serbia and NATO have been work-


he NATO Military Liaison Office (MLO) Belgrade, based in the Serbian Ministry of Defence building, has been operational since 2006. The office functions as a hub to facilitate Serbian cooperation with NATO’s Partnership for Peace (PfP) programme, a bilateral initiative between individual Euro-Atlantic partner countries and the Alliance to strengthen international security through collaboration and shared know-how. CorD speaks to the MLO’s Italian chief, Brigadier General Ornello Baron, about the nature of NATO and Serbia’s cooperation and its long-term goals. ■ Over the last decade, Serbia has received strong support

from NATO to reform its security sector. This support entailed financial assistance as well as the transfer of know-how and use of resources. Considering this, how would you rate the quality of Serbia’s security sector reforms?

- Security sector reform is one of the greatest challenges for transitional countries, especially those with a recent history of conflicts. One of the important tasks of the NATO Military Liaison Office in Belgrade is to advise the Serbian authorities on the military aspects of security sector reform in order to promote the enforcement of good governance norms in all aspects of security policy-making and implementation. In the past eight years, Serbian institutions have made commendable progress in improving accountability over budgetary spending, democratic oversight over defence forces and respect for human rights. We are also seeing efforts to reform the intelli-

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ing on harmonising and implementing joint partnership goals. What are these goals and what do you think of the quality of the Serbia-NATO partnership?

- As an active PfP country, Serbia is using various mechanisms through which partners can reform their armies, adopt NATO military standards and achieve higher interoperability with its forces. The so-called Planning and Review Process (PARP), a negotiated document that sets out reform goals in which Serbia is seeking NATO’s assistance, has been our main tool in this process. At the moment, we are working on 41 partnership goals, ranging from defence planning, public information, personnel management and cyber defence, to medical support, gender perspective and language proficiency. Many joint meetings are conducted between experts from NATO headquarters, NATO member-and-PfP countries and a special team from Brussels, which is coming to Serbia quarterly to check the state of the reforms. In addition, we recently moved forward in our partnership with the recognition of the Chemical, Biological, Radiological and Nuclear (CBRN) Training Centre in Kruševac as a NATO Partnership Education and Training Centre, which will allow officers from Allied and PfP countries to come to Serbia to receive certified training in the field. We have also established a UK-led trust fund to assist Serbia with the safe storage and disposal of almost 2,000 tonnes of surplus ammunition at a facility in Kragujevac. So far several NATO member and partner countries, including Ireland, Switzerland, Turkey, the United States and Slovakia, have pledged funds. ■ Is an increase in peacekeeping activities by the Serbian Army related to the improvement of Serbia’s military standards?

- Serbia’s increasing participation in peacekeeping missions

is a good indicator that defence rebeyond military cooperation. In the case Serbia has made of Serbia, we are, for example, assisting in forms are producing results and that progress in improving hazard prevention and cooperating withthe Serbian Armed Forces (SAF), being interoperable with other armies, are in the framework of the NATO Science for accountability over capable of exporting security around Peace and Security programme. We are budgetary spending, the globe. In the past three years, SAF also, as you mentioned, supporting the democratic oversight members have been participating in the fight against corruption in the defence over defence forces and NATO programme Operational Capabilsector through the Building Integrity ities Concept Evaluation and Feedback human rights. We are also initiative. This programme seeks to raise awareness about this issue and provides (OCC E&F), designed to improve the seeing efforts to reform practical tools to help nations enhance interoperability of the some Serbian the intelligence agencies, integrity and reduce corruption risks in units for participation in peacekeeping which is one of the most the security sector. During the past three missions. During this year, almost 400 years, a dedicated NATO team has been Serbian soldiers belonging to infantry, challenging aspects visiting Belgrade on a regular basis to military police and medical teams will share the best practices in defence procurement, allowing the be NATO-certified and able to take part in any mission abroad. Ministry of Defence to successfully self-assess its anti-corrup■ One of most important areas of cooperation between NATO tion capacities and increase transparency. I believe that NATO and Serbian institutions is the fight against corruption in the expertise in this matter is valuable to the Serbian government, security sector. Considering that corruption is one of more imas it puts the fight against corruption at the top of its agenda. portant issues in regards to relations between Serbia and the EU, which anti-corruption tools have been implemented in the military and security sector in Serbia, and what do you think of the current situation in the country, corruption-wise?

- NATO’s partnership programmes involve many areas that go

■ The NATO office doesn’t only share joint goals with the Defence Ministry. What other ministries and institutions has NATO been cooperating with and in which areas?

- The Ministry of Defence is our main partner and the most im-

Driving Serbia

in the right direction

SLODES TRADE D.O.O. | 112 February 2014 | 25 Borska 92F, 11090 Beograd; +381 (0)11 35 81 782; +381 (0)11 35 92 882; +381 (0)11 35 81 777;;

portant interlocutor, but we also cooperate successfully with the Ministry of Foreign Affairs, the Ministry of the Interior, as well as with international organisations accredited in Belgrade. Since the opening of the public affairs department in 2012, the office has participated more actively in conferences, media engagements and cooperation with NGOs. The next step in SerbiaNATO relations, the so-called Individual Partnership Action Plan (IPAP), should also involve other ministries in its implementation, besides the Ministry of Defence. ■ How much are NATO-supported re-

- Defence, security sector reform and further modernisation of the SAF according to NATO standards will foster Serbia’s capacities to take part in the European Union’s security and defence framework as well. But defence reform is a long-term effort and is about much more than just modernising the infrastructure of the armed forces. Defence reform has very much to do with democratic institution-building, parliamentary oversight over the security sector, training civilian defence experts and budgetary transparency in defence spending. Serbia is making good progress in these areas. But a lot of work still remains to be done and NATO is ready to continue to assist in this process. NATO and the European Union are two separate organisations, but political, social and economic reforms introduced in the framework of cooperation with one organisation also have a positive impact on cooperation with the other. Clear examples are strengthening the rule of law and the fight against corruption and organised crime.

■ How important is it for NATO to have an office in a country such as Serbia, which has a complicated history with the Alliance?

- The NATO Military Liaison Office in Belgrade is primarily dealing with the military aspects of NATO-Serbia cooperation, and the fact that Serbia is not a member does not complicate our activities at all. The Alliance considers Serbia a reliable partner and a committed member of the Partnership for Peace, and our partnership is getting stronger. Many countries in the Balkan region have joined our Alliance and more countries have applied for NATO membership. But our position is clear: it is up to each and every country to determine its foreign policy orientation and what organisation it wants to join. So it is entirely up to Serbia to decide what kind of relations it wishes to have with the Alliance in future.

We face the same challenges: cyber attacks, terrorism, missile proliferation and piracy. No country or continent can deal with today’s challenges on its own. That is why NATO looks to work with countries that share the same values and security concerns as we do

- The opening of NATO’s mission here in Belgrade was a result of the agreement between the Alliance and Serbia to have a standing office that will facilitate our day-to-day cooperation. The fact that we are actually located in the building of the Ministry of Defence makes our work easier and our engagements more cordial and productive. I am especially glad that representatives of the Ministry of Defence actively take part in regular meetings of NATO officials and local defence attachés at the Slovak Embassy, which acts as a NATO contact point embassy for Serbia. I think this is a good way to further deepen the quality of our dialogue.

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Serbia is a member of the Partnership for Peace, the country actually joining NATO is not something that is likely to happen in the near future. How much does this complicate relations between the Alliance and Serbia, both in terms of military cooperation and security?

■ Photo: Radovan POPOVIĆ

forms connected to reforms the EU requires of Serbia, and can Serbia reap multiple benefits from them?

■ Although NATO’s office is up and running in Belgrade, and

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■ Today’s threats to global security (es-

pecially after 9/11) seem very different to those during the Cold War. Terrorism and terrorist attacks are no longer determined geographically, risk areas are now defined differently and attacks can occur anywhere in the world. How does NATO, as the biggest military alliance, respond to global security threats today?

- NATO’s core task remains to ensure the security of our transatlantic area. But today’s threats are global. We all face the same challenges: cyber attacks, terrorism, missile proliferation and piracy. No country or continent can deal with today’s challenges on its own. That is why NATO is looking forward to working more with partners, with countries that share the same values and the same security concerns as we do. It’s in our interest to do more with our partners to counter these threats.

■ In terms of security, can we say that the Western Balkan region is a stable area today?

Yes. Over the past decade, Slovenia, Croatia and Albania have become members of NATO. Slovenia and Croatia have also joined the European Union. Bosnia and Herzegovina, Montenegro and the former Yugoslav Republic of Macedonia have applied for NATO membership. Serbia is now an important NATO partner in the Balkans. And today all countries in the region have a clear interest in promoting regional cooperation and the wider integration process. ■

feb 2014 business leaders’ meeting point

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Anastasia Sagianni

Marinos Vathis

Transfer Pricing: A Taxing Issue

Fruitful Results

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Vujadin Šćekić

Božidar Aleksandrović

Positive Change Through Industry

Nature’s Treasure

Transfer Pricing Advisor at Eurofast

Director of Jugo-Impex d.o.o.

President of the Executive Board of Vojvodjanska Banka

Director of Aleksandrović Winery d.o.o. |

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Business Dialogue interview

Anastasia Sagianni, Transfer Pricing Advisor at Eurofast

Transfer Pricing: A Taxing Issue One of the means by which multinationals attribute profit and loss to different countries before taxation, known as transfer pricing, can have a huge effect on a company’s end of year figures. Having the appropriate TP documentation in place is a safeguard against potential noncompliance penalties and adverse tax consequences


ccording to the rulebook published in July 2013, the general principles of transfer pricing (TP) in Serbia follow OECD guidelines. And according Eurofast transfer pricing advisor Anastasia Sagianni, the philosophy remains the same and intercompany transactions should be priced in accordance with the ‘arm’s length principle’ as described in Article 9 of the OECD Model Tax convention: “A full transfer pricing study should include the following: analysis of the associated enterprises and taxpayer group; taxpayer industry analysis; functional analysis; selection of the most appropriate TP method; a conclusion; and appendices. The taxpayer should also choose and adopt one or a combination of the following pricing methods: the comparable uncontrolled price (CUP) method; the resale price method; the cost plus method; the transactional net margin method (TNMM); and the profit split method.”

- There are far more similarities than differences across the Balkan and European regions, as only a few deviations from OECD guidelines appear in most of these countries. These differences are identified mainly in reporting periods and in the transaction amounts, which do not need documentation. For example, in Hungary for transactions valued less than HUF 50 million, simplified documentation is required, while in Greece amounts below €20 million do not require any documentation. On the other hand, in Romania there is currently no minimum threshold for documenting controlled transactions or any simplified documentation rules. ■ What are the reporting deadlines in Serbia and the corresponding reporting deadlines in the region? - TP documentation is to be submitted to the tax authorities in Serbia together with the annual tax return within 180 days of the last date of the tax period. Deadlines in the region vary according to each country’s corporate income tax law.

■ How long has TP existed in the Western world? - Interesting question. TP has been around for more than 80 years now Companies should realise that in different shapes and forms, but transfer pricing is one of, if not the, ■ Which steps should companies operating in Serbia take to prepare themselves effectively the first general guidemost important tax issue on the lines were issued by the OECD back to comply with TP legislation and rules agenda of all financial authorities in Serbia? in 1979. Thereafter the first great step was what was called the ‘White - Companies should realise that TP is one Paper’ issued by the US in 1988, which led to the development of of, if not the, most important tax issue on the agenda of all financial authorities. Taxpayers should address with careful consideradetailed and comprehensive Transfer Pricing Guidelines (TPG) and tion the documentation of their related party transactions. Having ultimately converted to regulations in 1994. The OECD issued the appropriate TP documentation in place is in all circumstances a first draft of the current guidelines in 1995, and after more than safeguard against potential noncompliance penalties and adverse a decade of evolving interpretations of the arm’s length principle, tax consequences. A TP study is more than just a ‘read and write multiple draft papers from the OECD, consultation rounds and study’ and requires training in methodology and the obtaining of voluminous input from the business community, the ‘new transfer experience in the use of a comparable database such as Amadeus. pricing framework’ arrived in 2010. Companies should therefore seek out the right expert advice to eliminate tax risks, as well as to achieve harmonisation of their ■ What are the differences and similarities between different business structure with market conditions and TP regulations. ■ TP legislation across the Balkan region and Europe?

Eurofast Global, Belgrade Office Tel: +381 11 3241 484 • • |

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How Others Do It


Mexico’s Reversal of Fortune After years of stagnation and violence, a new reform government lead by President Enrique Peña Nieto is positioning Mexico for significant growth, leaving many emerging markets, including neighbouring Latin American countries, in its wake. Jobs are increasing, inflation is lower, growth is higher and the returns on Mexican equities are multiples of what they have been in Brazil ant Anheuser-Busch InBev’s acquisition of Grupo Modelo, which went through at the end of May and brought in about US$13 billion. Separately, Mexican state-run company Pemex signed a coexico may quickoperation memorandum with Russia’s ly swing from the renumber-two oil producer Lukoil on gion’s worst to best 25 January, according to Pemex Chief performer,” emergExecutive Emilio Lozoya. The deal sees ing markets economist David Rees of the country opening up its energy secCapital Economics wrote in a research tor in a bid to boost production. note to clients late last year. Meanwhile, Lozoya said that Pemex and Lukoil last month, during the World Economic would share information on the deepForum (WEF) Annual Meeting in Davos, water and shale deposits that Mexico PepsiCo, Nestlé and Cisco announced currently lacks the expertise to tap. major investments totalling more than The planned cooperation between US$7 billion in Mexico, where the govLukoil and Pemex comes after Peña ernment has pushed through a series Nieto signed a bill into law last month of economic reforms that aim to boost that ended the country’s 75-year-old oil foreign investment and growth. and gas monopoly. Under the legislation, Mexico has embraced free-trade which is still being mapped out, foreign policies in recent decades and has companies will be able to enter the endrawn growing investment interest afergy sector as Pemex seeks to bring in ter President Enrique Peña Nieto made expertise and boost efficiency. a landmark reform drive dur“There are dozens of new ing his first year in office, In Davos, PepsiCo, Nestlé and Cisco announced players who now come and pushing major telecommuniinvestments totalling more than US$7 billion look at the opportunities that cations, energy, banking and in Mexico, where the government has pushed are opening up in Mexico,” tax legislation through a dithrough a series of economic reforms that aim said Lozoya. vided Congress. Lozoya added that he had “It is very encouraging to to boost foreign investment and growth met with various companies in see the enthusiasm that has Davos, many of which expressed interment announcement at Davos, netbeen awoken by our country due to the est in exploration and production prowork equipment maker Cisco Systems structural changes that are happening,” jects, as well as the refining, petrochemInc said it would direct US$1.35 billion Peña Nieto said at the WEF in Davos. ical and transportation businesses that into Mexican manufacturing operations PepsiCo announced it would spend are now open to private investment. and a support centre this year. US$5 billion in Mexico over five years to As a private company, Lukoil is Peña Nieto has said that foreign strengthen its food and beverage busistruggling to obtain large new deposits direct investment (FDI) in Mexico toness, adding that it planned to expand in Russia, including offshore, and is intalled US$28 billion during the first local production capacity by introducstead actively pursuing foreign expannine months of 2013. FDI was boosting new manufacturing lines and exsion to maintain production levels. ■ ed last year by Belgian-based beer gipanding delivery routes. In all, the com-


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pany said the investment was expected to create 4,000 new jobs. The PepsiCo investment comes despite Peña Nieto’s tax overhaul including a new levy on soft drinks and junk foods. Nestlé is looking to invest US$1 billion in Mexico, also over five years, building two new factories and expanding by a third in its sixth-biggest market. The world’s number-one food maker said it would build an infant nutrition factory in Jalisco and a pet food factory in Guanajuato, as well as expanding an existing cereal factory. The investment would create 700 direct jobs, Nestlé added. The Mexican factories will produce goods for the wider region. For example, about 40% of the output from the company’s baby food factory will be exported elsewhere in Latin America and the Caribbean. In a third major Mexican invest-

112 February 2014 |


Marinos Vathis, President of the Executive Board of Vojvodjanska Banka

Fruitful Results In 2013, Vojvodjanska Banka became profitable after many, many years. Moreover, it happened in a period when market conditions were far from ideal, making the bank’s results even more positive. Now, the bank is planning to keep a tight rein on costs in order to maintain positive growth trends in 2014


ojvodjanska Banka is an institution with a long tradition and represents one of the most famous brand names in Serbia. At the end of 2006, the bank was acquired by the National Bank of Greece Group (NBG), which took a 99.4% equity share. The acquisition of Vojvodjanska Banka via a privatisation process that saw 11 European banks express interest is considered the largest and most significant sale of a state-controlled bank in Serbia to date.

tor to where it was many, many years ago, when control was in the hands of governments. In the 1990s and early 2000s we switched from government control to market control. Because of the European Union, we have a more centralised system. The reason for that has to do with the quality of the loan portfolios that all banks have. Because of the economic crisis, quality has deteriorated significantly. The next thing we will see in Europe are the results of the so-called stress tests that took place in recent years and will continue to take place, which,

■ How much has the environment in which banks operate changed lately, and how has this reflected on Vojvodjanska Banka? - For the past three or four years, we have undergone major restructuring, which comprised two things. One was a significant headcount reduction and a significant reduction of our network. When NBG bought Vojvodjanska, we had more than 200 branches. Today we have 109. That helped us to control costs. In an economy and a market that is not growing, you cannot expect meaningful growth results. The most cautious thing to do is to lower the costs.

■ What is your view of curTwo things that have helped us to succeed are ■ Which of your bank’s results rent trends in the bankcost control and prudent policy. Our portfolio would you like to single out, ing sectors of Serbia and is currently as healthy as possible. We have particularly those from 2013? - Today we can say what we Europe? very good control over our costs and a very did over the past three or four - There are two things we clear strategy for future growth years has borne fruit: in 2013 have seen in previous years the bank became profitable afthat have led to what is hapter many, many years. It is important on the surface, will cause many probpening right now. One is the banking to point out that this happened during lems for many banks – especially for crisis, which began in 2008. That is a period when market conditions were banks we thought could never have the root of the problem, which led the not positive, which makes our results such problems. sector to adapt to the new environeven more interesting. The first thing that has to hapment. Right now in Europe we see two Two things that have helped us pen in Serbia – and I believe it will things. One is consolidation – banks to succeed are cost control and pruhappen – is serious consolidation. are consolidated to a great extent. The dent policy. Our portfolio is currentSerbia is a small market and has a very number of banks and banking organly as healthy as possible. We have large number of banks. You have 30 isations has shrunk, and it continues very good control over our costs and banks today and I believe in the comto shrink. a very clear strategy for future growth. ing years we will either see banks exThe second thing we can see in We are planning very conservative and iting the market, merging or closing, Europe right now is a tendency to crecautious growth, which will help us but the number should be significantate a centrally controlled banking systo maintain the profitability that we ly smaller. My guess is that 10 banks tem. This centralisation or centralised gained in 2013. ■ should be enough. control in fact brings the banking sec- |

112 February 2014 | 31

local news

Business Dialogue

Stability “After the parliament is dissolved, the government will work in a technical mandate. This matter will not affect the political and economic stability of the country.” — Ivica Dačić, Prime Minister of Serbia


Via this application, Facebook users can perform a good deed with just a single click, supporting the fight against breast cancer by sharing invaluable information about this deadly disease with as many of their friends as possible. Statistical data shows that every ninth woman in Serbia is at risk from breast cancer, which is often the result of insufficient awareness about preventive check-ups. The ‘Click and Support’ app contains instructions for women on how to perform a self-examination so they can spot any potential problems


Vojvodjanska Bank

A Good Deed is a Click Away

Generation Next

With the aim of raising public awareness about prevention in the fight against breast cancer, Alpha Bank has activated a new Facebook application called ‘Click and Support’ on its Facebook ‘Thank you’ page

Vojvodjanska Bank is proud of its role in influencing the lives of disadvantaged young people via the Generation Next project, which provides training to children lacking in parental care

early and react accordingly should they detect any unusual changes in their breasts. ‘Click and Support’ users can also apply directly for the MasterCard Thank You Card, which has been created to raise funds for the Breast Cancer Foundation, while Facebook friends of Alpha Bank can become active participants by directly supporting the prevention and early detection of cancer among women in Europe. You can find the Facebook ‘Click and Support’ application via the following link:ži

International Fair of Technique and Technical Achievements

Step into the Future This year’s International Fair of Technique and Technical Achievements in Belgrade is looking to be the engine that drives Serbia’s reindustrialisation, boosting the country’s prospects for economic recovery As the most important specialised technical fair in Southeast Europe, the International Fair of Technique and Technical Achievements at the Belgrade Fair has contributed continuously to the development and modernisation of industry, as well as Serbia’s inclusion in the international market through the exhibition of Serbian products and technology for export. The 2014 Technique Fair holds special significance given the Serbian government’s declaration that its priority is industrialisation, modernisation and the restructuring of large systems via the implementation of an industrial development framework. This year’s Technique Fair programme encompasses the industrial branches considered of strategic importance for the country’s reindustrialisation and subsequent economic recovery. The National Council for Economic Recovery sees the preservation of large-scale industrial systems as the backbone of Serbia’s future development, reliant on a real economy, investments, implementation of know-how, creative ideas and new technology. So step into the future at the International Fair of Technique and Technical Achievements from 12 to 16 May. 32 |


Alpha Bank

112 February 2014 |


In collaboration with Dale Carnegie Training and under the patronage of the Serbian Parliament, Vojvodjanska Bank has given its support to the social inclusion project ‘Generation Next’, which in 2013 provided training for children who lack parental care. The project’s aim is to prepare these young people for the challenges they can expect to face in the modern world. Under the guidance of expert mentors, 232 children aged 15 to 19 took part in a series of training courses that provided them with the opportunity to acquire the skills and techniques required to overcome stress and become more effective decision-makers and problem-solvers, all with the aim of preparing them for their independence and increase their chances of finding employment. To commemorate the first year of Generation Next’s successful implementation, the Serbian Parliament has awarded certificates to children from Sremska Kamenica recognising their completion of five training sessions. International Building Trade Fair

Built to Spec The International Building Trade Fair is the biggest and most important event in Southeast Europe for exhibiting construction materials, equipment and machinery. This year, the event will take place between 8 and 12 April at the Belgrade Fair Every year, the International Building Trade Fair welcomes more than 1,000 exhibitors, a third of which come from abroad – with many coming from different continents. The fair is the most economic way to present products and services, and the best venue for meeting both existing and potential clients. Years of professional experience has made the fair a must-attend event for all sectors of the construction industry: research and design; construction and building maintenance; high-rise construction; civil engineering;

the latest materials, construction machinery, devices and tools; information technology; state-ofthe-art building systems; and furnishings and interior decoration. The company Roloplast Mošić is the event’s general sponsor. It is one of the most renowned manufacturers and exporters of PVC blinds and joinery components in Serbia. Welcome to the International Building Trade Fair, where your desires are built to spec!



“In the last four months the public sector in Serbia has increased monthly, on average, by 1,800 jobs, because 3,200 people went and 5,000 were employed, mostly in November and December.” — Lazar Krstić, Serbian Finance Minister

Placements & Postings


Mercedes-Benz Hits Record Sales

With 1,461,680 vehicles sold in 2013, MercedesBenz delivered more cars to customers worldwide than ever before, while the 2013 E-Class and CLA have been well received and the new S-Class was the best-selling luxury sedan in the world A hugely successful year for Mercedes-Benz ended with the highest December sales in the company’s history. During the past 12 months a total 1,461,680 customers worldwide opted for a vehicle bearing the three-pointed star. Dr. Dieter Zetsche, CEO of Daimler AG and Head of Mercedes-Benz, said: “We look back on the best year of the Mercedes-Benz brand and have surpassed sales of the previous year by more than 10%. Our growth strategy is working. “In 2013 we have charged, especially in the premium and luxury class. In the new E-Class we put a true top model on the road, and with the new S-Class we have delivered on our promise to build the best car in the world. Furthermore, we also set out again on a path of conquest in 2013: our sporty CLA coupé wins one out of every two customers from another brand.” In 2014 the company expects additional sales momentum from the full availability of the CLA and new E- and S-Class in all markets. Meanwhile, the product initiative continues: the new C-Class and compact GLA SUV will hit the market in spring. The successors will arrive at dealerships in the fourth quarter of the year. Mercedes-Benz plans to launch more than 30 new models by 2020. Strict customer focus Ola Källenius, member of Mercedes-Benz’s divisional board responsible for marketing and sales, adds: “Not just our new products will provide growth in 2014. With our marketing and sales strategy, ‘Mercedes-Benz 2020 – Best Customer Experience’, we focus even more strongly on what our customers want. In this respect, we have already achieved a lot in the past year: modern inner city concepts and an intensified digital presence have brought us even closer to the customer. We will continue persistently on this path this year.”


H.E. Mr. Denis Keefe New British Ambassador to Serbia

H.E. Ms. Julia Feeney New Australian Ambassador to Serbia

Mr. Keefe has been working for the Foreign & Commonwealth Office since 1982 and has spent most of his career developing UK and EU relations with Eastern and Central European countries. After a Cold War posting in Prague, he returned to the Czech Republic while the country was preparing to join the EU and NATO. As British Ambassador to Tbilisi, he worked on integrating Georgia into EuroAtlantic organisations while also being involved in resolving long-standing conflicts in the region. Following his appointment to Tbilisi, he moved to Moscow in the capacity of Deputy Head of Mission, covering a wide range of regional and international issues. He has also worked in Africa and the Far East, as well as the British Cabinet. Keefe succeeds H.E. Mr. Michael Davenport in this position. He will assume his new duties in June this year. H.E. Ms. Julia Feeney has been appointed Australia’s new Ambassador to Serbia with non-resident accreditation to Montenegro and Macedonia, replacing Dr. Helena Studdert as of December 2013. Feeney is a senior career officer with Australia’s Department of Foreign Affairs and Trade. She previously served as counsellor at the Australian permanent mission to the UN in Geneva and second secretary at the Australian High Commission in Nairobi. Until September 2013, Feeney served as assistant secretary of the Northern, Southern and Eastern Europe Branch. Prior to that, she was director of the UN Security Council (UNSC) campaign task force and also served as director of the Climate Change and Environment Section. She holds a bachelor’s in Economics with a double major in Political Science from Flinders University. She is married with one daughter and two sons.


World Bank Delays Decision on Loan The World Bank’s Board of Directors should decide on 27 February whether to grant Serbia US$250 million worth of loans as budget support. Serbia could make use of the funds as soon as the Serbian Parliament ratifies the agreement. In December, Director of the World Bank Office in Serbia Tony Verheijen said the condition for the loan to be granted was the adoption of the budget, the Law on Privatisation, the Law on Bankruptcy and the Law on Construction Permits. The laws are the grounds for the beginning of the work of the Transition Fund, which envisages that RSD 20 billion should be transferred as payment of overdue salaries and ensuring uninterrupted years of service for employees as well as redundancy pay for employees in restructured companies.

H.E. Mr. Leo D’aes New Belgian Ambassador to Serbia

Replacing the outgoing H.E. Mr. Alain Kundycki, new Belgian Ambassador to Serbia H.E. Mr. Leo D’aes can call upon more than 35 years of experience in the diplomatic service. His most recent assignment, from 2011 to 2013, was the role of Director for Sub-Saharan Africa at Belgium’s Ministry of Foreign Affairs. Prior to that, he served as Belgium’s Ambassador to Burundi and Romania (where he was also accredited to Moldova), as well as Consul-General in Jerusalem. Between his time in these roles he was also the head of the Management Unit at the Ministry of Foreign Affairs from 2005 to 2008. Elsewhere, he has held roles in the EU, NATO and UN. He has an MBA in Applied Economic Sciences from the University of Antwerp and has a master’s in International Relations from the University of Sussex in Brighton, UK. He is married. |

112 February 2014 | 33

Business Dialogue interview

Vujadin Šćekić, Director of Jugo-Impex d.o.o.

Paul Briggs (left), Chief Executive of the Thames Valley Chamber of Commerce Group, JOHN W.A.NETTING, Director General of the Europe Business Assembly, and Vujadin Šćekić during the Europe Business Assembly awards ceremony

Since its foundation in 1990, Jugo-Impex’s core business activity has been trading in non-ferrous metals. Today, the company’s main sectors are: purchasing and recycling waste materials; the processing and sale of non-ferrous metals; and project design, contracting and trading in heating and air-conditioning equipment


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Positive Change Through Industry of the Year at the Europe Business Assembly of the International Socrates Committee.

■ Could you elaborate on the award and its importance in the business world? - The Europe Business Assembly (EBA) in Oxford, Great Britain is an independent corporation for the development and management of economic, social and humanitarian collaboration. As a non-governmental organisation, the EBA promotes the transformation of state-of-the-art experiences and economic practices, the establishment of economic, educational, cultural and scientific ties and the creation of national business elites. Creating a positive image of dynamically developing regions, companies and individuals in the European and global business community − this is the main mission of the EBA institutions and representative offices, and of its strategic partners: the British Business Alliance, UK; the European Market Research Centre (EMRC), Belgium; the International Congress of Industrialists and Entrepreneurs (ICIE), Russia; and many others.

iš-based company Jugo-Impex d.o.o. has been in the business of recycling and producing non-ferrous metals for quite some time, having been founded 24 years ago. Last year, its daughter company Jugo-Impex ■ You have been awarded for your work with exE.E.R. opened a new facility for E-recycling, where electronic and electrical waste can be recycled. Equipmentpanded copper, i.e. non-ferrous metal processing. wise, it is one of the best Expanded copper is a We are an honorary member of the facilities in Europe. As well product your company as implementing modern European Business Assembly and, as such, was the first to produce in waste-management techSerbia. Could you tell us we have access to all of its investment nologies, Jugo-Impex has reports. We have also been awarded with something about it? also been increasingly - I received the prestigious a trademark licence for operating in the Manager of the Year award, manufacturing finished European market and in the UK products from secondary while Jugo-Impex was declared the Company of the raw-materials, reducing Year at the Europe Business Assembly of the International the exploitation of raw materials from natural resources. Socrates Committee. We have been awarded for our exLast year, the company’s work was recognised when director Vujadin Šćekić received the International Manager panded copper, a product we manufacture in our foundry, of the Year award and Jugo-Impex was declared Company which is used primarily in the chemical industry. We are

112 February 2014 |

an honorary member of the Europe Business Assembly and, as such, have access to all of its investment reports. We have also been awarded with a trademark licence for operating in the European market and in the UK. Thanks to that, we are going to market our foundry products to foreign buyers abroad much more easily now. We have been awarded mainly because of our achievements in the metallurgical area of our foundry, specifically a product that nobody had ever manufactured in our country.

exported. In terms of our other business activity – E-recycling – last year our daughter company Jugo-Impex E.E.R. opened a new facility called E-recycling where electronic and electrical waste is recycled. In terms of equipment, this is one of the best facilities in Europe. Also, in 2013 Jugo-Impex took part in a cost-saving programme endorsed by the Japanese government. This is the so-called Kaizen system, i.e. the Toyota Production System (TPS). Kaizen (the Japanese word for ‘good change’) is about constantly advancing both production and work processes.

■ What does the trademark licence for operating in the European market and the UK mean to the company? ■ As you are based in Niš, what do you think of the collaboration - A trademark licence is an agreement between a trademark owner and relations between local/state authorities and businesses, (the licensor) and another person (the licensee) in which the licenand how much do the authorities support the private sector? sor permits the licensee to use its - When we received the aforementioned prestigious award in December, trademark in commerce. Usually, a the mayor of Niš held a reception at trademark licence is expressed in a City Hall where we presented Jugowritten contract specifying the scope Impex’s work so far. On the occasion, of the licence. A licensor is required Mayor Perišić said that, in the upcomto exercise quality control over a licensee’s goods and services. ing period, he would try to improve Control is needed because a traderelations between successful businessmark represents the trademark ownpeople from Niš and the state. He also er’s reputation for goods and services said that his purpose was to service of a certain level of quality, and conbusinesses and be a link between sumers tend to rely on this reputation them and the ministries, adding that when making purchasing decisions. If the city authorities would always try In 2010, Jugo-Impex opened a foundry to recognise, help and react in a way a licensor does not exercise sufficient control over the quality of the goods for processing waste copper. The facility that benefits citizens of Niš the most. and services offered by the licensee, He outlined that the people who had is worth €1 million and has close to 20 the trademark may in some countries employees. Around 2,000 tons of copper decided to stay in the town and work – for example, the United Kingdom and there were the healthy tissue of Niš. is processed in the foundry annually and Canada – become vulnerable to attack almost all of its products are exported by the licensee or a third party. ■ E-recycling is another of your company’s business activities. Do ■ Apart from expanded copper, you think it is one of the businesses what other non-ferrous metallurof the future? gical company products are you - Through regular campaigns with especially proud of? NGOs, schools and other socially - Jugo-Impex d.o.o. was founded in Niš responsible companies, E-recycling in 1990. Since the very beginning, the raises awareness about this issue company’s core business activity has in the local community and society been trading in non-ferrous metals. overall. By constantly advancing and Today, the company is engaged in the perfecting know-how through education of our staff and the public, we are following basic sectors: purchasing contributing to a better understanding and recycling waste materials; the and are encouraging the development of useful ideas, innovation, processing and sale of non-ferrous metals; and project design, contracting and trading in heating and air-conditioning equipment. Our campaigns and all sorts of activities involving persons who are interregular product range also includes copper, copper sheets, strips and ested in this matter. The importance of the recycling industry is growing day-on-day, discs, electrolytic copper and copper alloy (cathode, bronze RG3), year-on-year. Despite this, only 200 grams of waste per capita is copper bars, brass rods, brass, lead, aluminium and zinc. recycled in Serbia, which is far below the European Union average of 40% or the Japanese average of 90%. The annual growth-rate of ■ What kind of technical equipment does Jugo-Impex have? electrical and electronic waste is 5%. Close to 4% of all utility waste - In 2010, Jugo-Impex opened a foundry for processing waste copper, which has close to 20 employees. Around 2,000 tons of copper is in the world is e-waste, which is both a global and national problem, processed in the foundry annually and almost all of its products are so there is plenty of room for recycling to grow. ■ |

112 February 2014 | 35

regional news

Business Dialogue 01


Stability “There is still a danger of states failing… Things can look stable on the surface, but sometimes that stability has shallow roots.” — Vesna Pusić, Croatian Foreign Minister


Adriatic Shipyard Goes to Tender

EBRD Adopts New Strategy

Montengro has announced an invitation for participation in an international public tender for the sale of 61.5% of joint stock company Adriatic Shipyard AD Bijela, published on 22 January. The tender process will be conducted in two stages. The first stage involves determining the fulfilment of the eligibility criteria, followed by the second phase to be completed in mid-April this year, during which participants in the tender process will submit proposals in line with the tender’s rules. The terms of the tender require an investment programme of a minimum €15 million in assets, with the aim of starting and developing business for the repair of yachts and mega-yachts over a three-year period. The investment must also include: facilities for the repair and maintenance of yachts, including a synchro/yacht/ship lift (500 net tons minimum); a travel lift (500 tons capacity minimum); a paint shed with specialised fans and air control; and a new floating dock or renovation of the existing one for the purpose of repairing and refitting yachts. Based on the preliminary interest expressed, it is expected that prospective investors will meet the qualification criteria of the first stage of the tender.


Bosnia and Herzegovina

The EBRD (European Bank for Reconstruction and Development) board of directors has adopted a new strategy for Bosnia and Herzegovina, setting out the bank’s priorities in the country over the next three years. The new strategy sees the EBRD looking to support private sector development, which is seen as critical for improving the country’s business environment. The EBRD will focus on the country’s internal economic integration and its integration within the region, and will continue to coordinate its activities with the EU and international financial institution partners. The EBRD also plans to focus on the restructuring and expansion of the local private sector, targeting local and foreign companies for investments and providing financing for the restructuring and expansion of smaller local companies. The EBRD will sup-



Adria Airways to Suspend Flights to Belgrade

port private investments, increased trade flows and infrastructure improvements, deepening regional integration. The bank will encourage greater private sector involvement in public infrastructure upgrades and put a strong emphasis on improvements of standards towards EU norms. Promoting a more efficient and sustainable use of resources, the EBRD will provide financing for energy and resource-efficiency improvements for large corporate clients in the private and public sectors, as well as for the restructuring and commercialisation of municipal utility companies. To date, the EBRD has invested more than €1.6 billion in some 110 projects in Bosnia and Herzegovina.


International Companies Interested in Oil Exploration At least 20 international oil companies have expressed interest in extracting fossil fuels

Slovenia’s Adria Airways is planning to temporarily suspend its six weekly flights from Ljubljana to Belgrade starting 5 February. Adria is expected to announce whether flights will be resumed from the start of the 2014 summer season on 30 March, though tickets can be booked via the airline’s website from that date onwards. The airline has faced declining passenger numbers on the route over the past year. In 2013, Belgrade was Adria’s least busy service and since December the airline has faced added competition from Air Serbia, which launched daily flights to the Slovenian capital. 36 |

Croatia might have struck gold in the form of significant offshore oil and gas fields, Economy Minister Ivan Vrdoljak told reporters aboard the Seabird Northern Explorer, a Norwegian survey ship the Croatian government hired in September to comb its share of the Adriatic Sea. Citing “strong and concrete evidence” that such fields are to be found within the 15,000km surveyed, Vrdoljak said at least 20 international oil companies have expressed interest in extracting the fossil fuels. “We will have the exact numbers on the extent and location of the fields after another survey cycle,” Vrdoljak added.



Foreign Experts to Help with Reforms The Albanian government has decided to seek foreign experts to help carry out the country’s reforms on its path to EU membership, with a specific focus on crime and corruption. Albania did not receive EU candidate member status last month, with the EU asking the country to undertake additional reforms with an emphasis on these two issues prior to a review of its candi-

112 February 2014 |

dacy status in spring. Officials said assistance from foreign experts will increase the pace of reform and provide much needed expertise to bring about positive change. 

Source: Turkish Weekly




“The power of women in politics is a soft power. It is a positive change that our country and other countries in the region… are making by giving a chance to women.” — Atifete Jahjaga, President of Kosovo

Credit Agricole to Sell Bulgarian Division

Credit Agricole has agreed to sell its Bulgarian division to Bulgarian bank Corporate Commercial Bank AD for an undisclosed sum, Reuters reports. The French bank said the sale would lead to a €160 million reduction in its riskweighted assets while lowering its solvency ratios by less than one basis point. The transaction still requires approval from regulators and consultation with staff representatives, Credit Agricole added. Corporate Commercial Bank, the Balkan country’s fourth largest lender, said in a separate statement that Credit Agricole Bulgaria will be rebranded following the deal with new focus on retail and financing for SMEs.  Source: Reuters


FYR Macedonia

Johnson Controls Opens Second Plant

A new investment in a plant for the production of car seat covers and upholstery by world-renowned company Johnson Controls is the first industrial facility in FYR Macedonia’s Štip-based technological and industrial development zone. The new plant was inaugurated in mid-January at a ceremony attended by PM Nikola Gruevski. Speaking at the event, Gruevski said that by opening its second Macedonian investment, Johnson Controls was the first foreign company to launch in the industrial zone in Štip following the company’s initial investment in Skopje’s development zone.

Placements & Postings

H.E. Mrs. Ivana Hlavsová New Czech Ambassador to Serbia

Ljiljana Kovačević New Coordinator and Acting Director of Serbia’s Tax Administration

Following four years, from 2009 to 2013, as the head of the South and South East Europe Department at the Czech Republic’s Ministry of Foreign Affairs, Mrs. Ivana Hlavsová has been appointed the country’s new Ambassador to Serbia and to Montenegro. Hlavsová has worked at the Ministry of Foreign Affairs since 1993, first in the role of Chief of Diplomatic Protocol, before being made General Consul in Los Angeles, head of the United States Department, Executive Director of the Czech task force for the Prague NATO summit, General Director for Human Resources and finally Ambassador to Slovenia until 2009. She has a master’s in Automatic Control Systems from the Czech Technical University and her background was in computing prior to her diplomatic career. Hlavsová speaks five languages and has two children. The Serbian government has appointed Ljiljana Kovačević to the role of coordinator and acting director of its Tax Administration. Kovačević has been working for the Tax Administration since 1999, and since 2001 has held management positions in the organisation. In 2004, she was appointed assistant director of the Tax Administration and director of the Centre for Large Taxpayers (CLT). In 2012 and 2013, she also assumed the duties of director of the Tax Administration. The International Monetary Fund (IMF) has declared the CLT, under Kovačević’s management, an example of international best practice.


Office/warehouse premises in Belgrade PRICE


The hall is suitable for all kinds of activities and is located in the industrial area of the municipality of Palilula, just 3km from Belgrade city centre. The building is finished, including wall insulation. Building height is 4.5m, it has a truck entrance, industrial electricity and has a registered area of 610m². All paperwork is available on request. The warehouse is located in Slanački Put 26, Belgrade.

Phone +381 (0) 63 222 919 or email |

112 February 2014 | 37

Business Dialogue interview

Božidar Aleksandrović, Director of Aleksandrović Winery d.o.o.

Nature’s Treasure cessing and ageing technologies, producing everything from fresh and full-flavoured white wines, to fruity and strong red wines; from wines that are consumed in the first year after the grapes are picked, to wines that have been ageing for years in barriques – huge barrels made of premium oak. The winery’s Triumph Wine has been declared one of the best Serbian wines ever. Although mindful of this honour, Aleksandrović Winery knows all too well that creating a wine for the future means never forgetting the past. Apart from wine-making, the winery also engages in topclass wine tourism. Some 15,000 wine connoisseurs visit every year, either individually or in groups, where they experience vineyard and wine-cellar tours with a guide, as well as the obligatory traditional wine tasting.

Wines produced in Serbia have a growing international reputation, a fact best represented by the recognition Aleksandrović wines have received both at home and abroad. By mixing traditional wine-making methods with modern techniques, the winery has become synonymous with quality and tradition

■ Today, Aleksandrović Winery is a leading company that uses the latest equipment and technology. What characterises your wine production technology? - The Aleksandrović Winery has 72 hectares of its own vineyards and produces wine only from grapes we have cultivated. A lot of work is invested in vine-growing in orith a deep respect for the local climate, Božidar der to achieve the highest quality possible. Quality, based Aleksandrović, owner of the Aleksandrović on the latest scientific achievements in vine-growing and wine cellars, has restored old family vineyards wine-making, is our production imperative. We also have and grown new ones in the latest grape processing The Aleksandrović Winery has 72 hectares equipment, as well as the the age-old vineyards of of its own vineyards and produces wine state-of-the-art equipment Oplenac and his village of Vinča, which the Romans only from grapes we have cultivated. A lot for fermenting, bottling and named after the Latin of work is invested in vine-growing in order storing wine. word for wine (Vincea). Our wines are known to achieve the highest quality possible According to old folk for their character, which tales, these sites are the best suited for making the finest originates from the grape variety, land and climate. Our Oplenac vine. Aleksandrović’s wine cellar and state-ofwines reflect the region from which they originate. We are the-art winery uses both classic and modern wine-proalso very mindful of nurturing our own style, incorporat-


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■ The Aleksandrović family has been involved in the business of vine-growing and wine-making since 1903. Could you tell us more about your family’s history in the wine business? - In late 19th and early 20th century, my great-grandfather Miloš Aleksandrović was one of the founders of the Venac wine cooperative, which, at that time, assembled the most forward-thinking vine-growers in the Oplenac area. Our family tradition of vine-growing and wine-making is more than 100 years old. In the 1990s, following my graduation from the Faculty of Agriculture in Zemun, I came back to Vinča, to my vineyards and continued our wine business.

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ing into it emotions that stem from the experiences of our vine-growing ancestors, the famous tradition of wines from Oplenac and the dedication we show in their production.

■ In 2013, Aleksandrović Winery received 20 international quality awards. What kind of awards are these and which one are you most proud of? - In the last seven to eight years, the Aleksandrović Winery has been winning awards for quality at the most renowned global competitions. The awards are a result of our recognisable style and the exotic feeling our wines have. Our wines are exceptionally fruity, full-bodied and fresh, and these are qualities which obviously do not leave international judges indifferent. Decanter London, the International Wine Challenge (IWC), Mundus Vini and recognitions from Germany are the most

valuable awards to us. These awards have made our wines recognisable all over the world and our wines are included in the menus of the most prestigious hotels and restaurants around the world.

■ How big is Serbia’s vine-growing and wine-making potential, and how much is this potential utilised? - Back in the day, before World War II, Serbia had 50,000 hectares of vineyards. Today, this number is much smaller, barely 20,000 hectares. Our climate and our land make it possible for Serbia to produce wines of the highest quality. The biggest problem is that we lost production continuity during communism, which had huge consequences on the vine-growing and wine-making industry in our country.

■ Wine-making is one of the economic branches in Serbia that has been developing rapidly in the last decade. Private wineries are popping up all over. How do you deal with the competition? - In the last 10 years, there has been a renaissance in production of top quality wines based on family vine-growing and winemaking businesses. Today Serbia has over a hundred private wineries, which are the backbone of the future development of this business. I can see new wineries springing up in wine re-

gions such as Negotin, Aleksandrovac, Oplenac and Fruška Gora, and their reputation will transcend Serbian borders. There is no competition in the wine business because every wine is different – it reflects the climate and area in which it was produced and the wine maker who produced it, so we could say that each bottle of wine is a mini piece of art. What we should underline is that it is very important to appeal to the consciousness of the Serbian consumer in future, for people in Serbia to drink Serbian wines and for them to be proud of these wines as the most valuable thing that nature has given us. This leads to new vineyards and new wineries.

■ Your wines are often served at exclusive events and gatherings. Who are your most important business partners? - Quality is what helps any product find its place under the sun and reach a target group that recognises this quality. Wines produced by Aleksandrović Winery have found their place in the premium product category, which is all about quality and continuity of quality. ■ Could you tell us something about your distributors? Where can we buy Aleksandrović wines and do you export? - Today, our wines can be found at the most prestigious hotels, restaurants and wine stores, both in our and in neighbouring countries. We

It is important to appeal to the consciousness of Serbian consumers in future, for people in Serbia to drink Serbian wines and for them to be proud of these wines as the most valuable thing that nature has given us export a third of our wine production to China, Russia, Great Britain, Switzerland, Germany and even to Chicago and California. Our business partners are importers who appreciate quality and exotic feeling that Aleksandrović wines have. Our wines have been our pride and joy abroad.

■ Aleksandrović Winery also engages in wine tourism. What do you offer to visitors of your winery and what kind of activities do you provide for them? - Between 12,000 and 15,000 people visit the winery each year. We are located in the winegrowing region of Šumadija, in a village that was named after vine and grape. Apart from Oplenac and the Royal Cellar, the Aleksandrović Winery has become a gathering place for people who love history, nature, vineyards and wines. At our winery, you can see how vines are grown and wines produced. You can taste the wines and experience all the flavours and tastes that are incorporated into them at the very source. ■ |

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world news

Food Security

Business Dialogue 01

“Innovations that are guided by smallholder farmers, adapted to local circumstances, and sustainable for the economy and environment will be necessary to ensure food security in the future.” — Bill Gates, US business magnate, inventor and philanthropist



Reform or Decline British Chancellor of the Exchequer George Osborne has warned the EU that it is falling behind India and China and must reform to halt the bloc’s decline

Less Than €5.8 billion for Ailing Banks

George Osborne British Chancellor of the Exchequer

“We can’t go on like this… [there is a] simple choice for Europe: reform or decline,” said Osborne. “The European economy has ‘stalled’, and in the same time, India has grown by a third and China by half, and over the next 15 years Europe’s share of the global economy will halve. The biggest economic risk facing Europe doesn’t come from those who want reform and renegotiation; it comes from a failure to reform and renegotiate. It is the status quo which condemns the people of Europe to an ongoing economic crisis and continuing decline.” In a sign that he believes spending on social security is too high, not just in the UK but across Europe, he added: “Europe accounts for just over 7% of the world’s population, 25% of its economy and 50% of global social welfare spending.” The speech marks a serious toughening of the UK government’s stance on Europe and follows more than 90 Conservative MPs sending a letter calling on Prime Minister David Cameron to demand the power for Westminster to veto any EU laws deemed unacceptable to Britain.


Investment Sought

Abdulla Al Saleh, Trade Undersecretary of the UAE Ministry of Economy

Gulf state UAE, which is pushing for the easing of international economic sanctions against neighbour Iran and hoping to benefit from that, is keen to attract new foreign direct investment (FDI). The Trade Undersecretary at UAE’s Economy Ministry, Abdulla Al Saleh, told Euronews: “The UAE is one of the major attractive markets for FDI, and if you look at the UAE, it is considered to be one of the 10 top countries that will attract investments in 2014 and 2015, according to UNCTAD.” Brussels and Washington are set to ease some sanctions against Iran in return for inspections of its nuclear facilities. Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum has said that “everyone will benefit” from such a deal. Trade between UAE and Iran has fallen dramatically because of the sanctions.

Austria will not exceed the €5.8 billion limit it has set for helping its ailing banks, despite the toxic assets racked up by national lender Hypo Alpe Adria

Michael Spindelegger Austrian Finance Minister

The bank used guarantees from its home province of Carinthia to fuel unbridled expansion in the years leading up to the financial crisis that brought it to the brink of insolvency. Hypo Alpe Adria now has some €18 billion of bad loans and non-performing investments. Asked by the Austrian newspaper if the €5.8 billion bank aid cap would suffice, Finance Minister Michael Spindelegger said: “We most seriously assume this and want to spend even less.” But he declined to indicate which course of action he preferred. To clean up Hypo, the govern-

ment is considering either creating a ‘bad bank’ that would be majority owned by healthy banks so its debts remain off state books, or parking the toxic assets in a public vehicle, pushing state debt up to 80% of economic output. Austria’s healthy banks, such as UniCredit unit Bank Austria, Erste Group and Raiffeisen Bank International, have shown little appetite for taking on Hypo’s ‘bad bank’ unless the government provides enticements such as cutting a bank levy that is now slated to go up by €90 million a year.



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Shell to Sell Assets Worth US$15 billion Shell and its peers in the oil industry are facing increasing investor pressure to keep down spending as costs rise and the prospect of greater oil prices wanes. According to reports last month, Royal Dutch Shell could Ben van Beurden, Shell Chief Executive look to sell US$15 billion worth of assets over the next two years, expanding on its existing guidance that divestments would accelerate this year. Shell, whose new Chief Executive Ben van Beurden took over at the start of January, will sell some of its North Sea oil fields as well as parts of its refining portfolio and some early-stage projects, reported London’s Financial Times, citing a person close to the company. The company, the world number-three among investor-controlled energy firms, declined to comment on the report.



Apple and China Strike iPhone Deal

Apple will finally launch its iPhone on the China Mobile network, the world’s biggest carrier. China has proved to be a problem for Apple, where it trails Samsung and local handset makers. The company should get a short-term sales jolt from the deal, which has taken five years to negotiate. The reason for the delay was due to Apple and China Mobile’s inability to agree a revenue-sharing deal on handset sales. China Mobile has now agreed to subsidise the iPhones so customers pay less with a contract. State-owned China Mobile has upwards of 750 million subscribers. Distant rivals China

112 February 2014 |

Telecom and China Unicom have slashed their iPhone prices to compete, offering a range of cut-price deals on contracts. Analysts said Apple hopes for a bigger sales boost later this year, when it is expected to release its next model, the iPhone 6, particularly if it gives China Mobile exclusive rights to the handset upon release.




“Globalisation has rendered the world increasingly interdependent, but international politics is still based on the sovereignty of states.” — George Soros, Chairman of Soros Fund Management

Placements & Postings

Production to Begin on New Superjet

Vip Mobile has appointed Dejan Turk as the company’s new Director/CEO. Turk will assume his new duties on 1 March and will join CFO Andreas Graf and CTO Dejan Kastelic on the managing board. He graduated from the Vienna University of Economics and Business Administration and joined McDonald’s Slovenia as a restaurant manager in 1995 before his promotion to CEO of the entire chain in Slovenia and Croatia. Turk became head of marketing and sales at Si.mobil in 2004, and in 2006 was appointed to the managing board before becoming chairman of Si.mobil’s managing board from 2007 to February 2014. At Si.mobil, Turk was awarded Manager of the Year in 2009 and the Biggest Achievement in Slovenian Business and Economy award in 2013. He is also president of the Slovenian Managers Association and chairman of the managing board of the UNICEF Foundation in Serbia.

Russian aircraft maker Sukhoi is planning to start production of a stretched version of its Superjet 100 passenger aircraft in 2016 The plane, dubbed the Superjet Stretch, will seat 115 passengers, while the baseline Superjet 100 has up to 110 seats. The model is seen as an interim solution in the development of the Superjet family until the 130-passenger Superjet NG is developed by 2020. “We are working on a schematic design of the plane at present,” said Andrei Kalinovsky, head of Sukhoi Civil Aircraft. He said the company’s long-term business goal of building 830 Superjet-family planes could be achieved only through the introduction of improved versions of the aircraft to be positioned in various parts of the market. Russia is planning to invest some 4.8 billion rubles (US$143 million) over the next five years for additional research and development of its Superjet 100 passenger twinjet.


Dejan Turk New Director/CEO of Vip Mobile

Martin Navratil has been appointed Telenor Banka’s new Managing Director and is responsible for the design and implementation of the bank’s strategy. Previously, he was the head of Telenor Serbia’s Financial Services Division, leading the company’s efforts to enter the financial services sphere. Earlier still, he was the Executive Committee Member and Chief Financial and Risk Officer of KBC Bank in Serbia for two years. Before coming to Serbia, Navratil worked in various managerial roles within KBC Group across Europe, he was a consultant at PricewaterhouseCoopers and also worked in the strategy department of one of the Czech Republic’s largest banks. He holds an MBA from French business school INSEAD, a master’s degree in Business Economy and Banking from the University of Economics and is an ACCA-qualified chartered accountant.


Restoring Energy Stability Julio de Vido Argentinian Planning Minister

Argentinian Planning Minister Julio de Vido said the state will spend 3.95 billion pesos (€430 million) in an effort to secure a power distribution system hit by outages and soaring temperatures. The funds will be directed to

areas covered by distributors Edesur and Edenor, and the initiative will be partly financed through Argentina’s power distribution and expansion fund Focede, according to a Planning Ministry statement. The announcement comes after record power demand caused outages during the early part of summer in Argentina.

Martin Navratil New Managing Director of Telenor Banka

09 08

Subsidy Reductions


No More Free Gas Supply

Tu r k m e n i s t a n President Gurbanguly Berdymukhamedov said last month that his government will start work on installing gas meters in households, ending the unlimited supply of free gas to citizens. The move follows signs that Berdymukhamedov’s government sees the subsidised domestic energy market as too heavy an economic burden, with profitable energy exports


Gurbanguly Berdymukhamedov Turkmenistan President

set to become a bigger priority. Gas, electricity and water have been supplied free to Turkmenistani households since 1993. But in recent months the government has made it clear that domestic subsidies are too costly, coming to an annual cost of US$5 billion.

Cash-strapped Morocco is under pressure from the IMF and the World Bank to cut spending and reform subsidies, taxation and its pension system. The demands are linked to a two-year, US$6.2 billion precautionary credit line agreed by the IMF in 2012. Morocco has ended subsidies for gasoline and fuel oil, and has started to cut diesel subsidies significantly as part of its drive to repair its public finances. The country is the most advanced among its North African peers in its reform of public subsidies and last year started to partially index energy prices to international market levels. Morocco has budgeted for 30 billion dirhams (€2.7 billion) of food and energy subsidies for 2014, down from €3.7 billion last year and more than €4.7 billion in 2012. But the subsidy reductions could hurt Morocco’s fragile economy, which is heavily reliant on tourism, agriculture and remittances from Moroccans living abroad. |

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faces & places 18.12.2013

Reception at the Serbian Defence Ministry Serbian Defence Minister Nebojša Rodić and Chief of Staff of the Serbian Army General Ljubiša Diković hosted a New Year and Christmas reception at the Crystal Hall of the National Guard House in Topčider. The overriding message of the reception was that Serbia was thoroughly dedicated to peace, tolerance and cooperation with all nations and countries. The reception was attended by Serbian President Tomislav Nikolić, political and public figures, diplomats and military attachés.

Tomislav Nikolić, President of Serbia, Nebojša Rodić, Serbian Defense Minister, and Ljubiša Diković, Army Chief of Staff 24.12.2013

Austrian Companies Surveyed on Serbian Business Environment The economic affairs section of the Austrian Embassy has conducted a survey about business conditions in Serbia in 2013. Survey participants were Austrian companies doing business here, with the results highlighting the advantages and flaws of Serbia as a business environment, which in turn will serve as a basis for suggestions to be made to the Serbian government on how it can improve conditions for both domestic and foreign companies.


SCC Annual Meet and Greet for Journalists

The survey was presented by Mr. Andreas Haidenthaler, Councellor at the Austrian Chamber of Commerce in Belgrade

President of the Serbian Chamber of Commerce (SCC) Željko Sertić hosted an annual meet and greet for journalists at the SCC’s premises. Sertić thanked journalists present for their exceptional collaboration and contribution to the SCC’s successful operations in 2013. He also summed up the year’s results. Following a successful 2013, the SCC has been declared a leader of economic progress and the most dynamic chamber in the region.


‘Street of the Open Heart’

Aleksandar Antić, Serbian Transport Minister, and Ivica Dačić, Prime Minister of Serbia

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The traditional post-New Year ‘Street of the Open Heart’ event took place in downtown Belgrade’s Svetogorska Street. The event was officially opened by Serbian PM Ivica Dačić, who said that citizens should aim to have as many children as possible and to treat the elderly with due care and attention. The PM also wished the best possible 2014 to everybody.

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Željko Sertić, President of the Serbian Chamber of Commerce (SCC)


Christmas Reception for Serbian Orthodox Church Representatives

Mrs. and H.E Mr. Alexander Chepurin, Russian Ambassador to Serbia, welcome Serbian Patriarch Irinej

The Russian Embassy in Belgrade held a Christmas reception for representatives of the Serbian Orthodox Church. The reception was attended by Serbian Patriarch Irinej, Bishop of Bačka Irinej, Serbian MP Dragomir Karić, Director of the Government’s Office for Cooperation with Churches and Religious Communities Mileta Radojević, the commander of the Serbian Interior Ministry’s AntiTerrorist Unit Goran Dragović, Protopresbyter-saurophor Vitaly Tarasyev, Dean of the Podvorye of the Russian Patriarchate in Belgrade, Hieromonch Ignatius of the Moscow Monastery of the Meeting of Our Lord, and various other representatives of the Orthodox Church and Orthodox NGOs in Serbia. ■ Photo: TANJUG


Serbian Government’s Reception for Diplomatic Corps Prime Minister Ivica Dačić and the Serbian government organised a reception at the Palace of Serbia in Belgrade for the heads of diplomatic missions in Serbia. Dačić said negotiations between Serbia and the EU requires the involvement of all of society to establish a system of values, the rule of law and the development of human rights and freedoms in accordance with European standards. The assessment among foreign embassies was that it is up to the Serbian government to decide how to most effectively fulfil its obligations to the EU, through its dialogue with Priština and implementation of reforms, and whether to hold snap parliamentary elections or not.

Ivan Mrkić, Serbian Foreign Minister (left), Ivica Dačič, Prime Minister of Serbia, and H.E. Yossef Levy, Israeli Ambassador to Serbia


Winners of VIRTUS Corporate Philanthropy Award Aleksandar Antić, Ministry of Transport (left), Lazar Krstić, Minister of Finance, Dragan Glamočić, Minister of Agriculture, Forestry and Water Management, and H.E FranÇois-Xavier Deniau, French Ambassador to Serbia

Aleksandar Vučić, First Deputy Prime Minister of Serbia (left), and Ivica Dačič, Prime Minister of Serbia

The Trag Foundation announced the winners of the annual VIRTUS Corporate Philanthropy Award at the Hyatt Regency Hotel in Belgrade. There were eight award categories in total, with awards given to companies that had contributed the most to the common good, either by financial and other sorts of assistance to non-profit campaigns. Oil and gas company NIS won the evening’s main award for its contributions at national level. Other award recipients were Eurobank for its contributions to the local community, the Pirot Free Zone in the small and medium enterprises category, Telekom Serbia for longterm partnerships between business and the civil sector, Delta Holding for its contribution to social inclusion, Bambi Concern for most innovative project of the year, Banca Intesa for volunteering, and E-kapija for media contribution.


Manojlovic’s Smart Breakfast

Maja Piščević, Executive Director of the American Chamber of Commerce, and actor Miki Manojlović

Famous Serbian actor Miki Manojlović was the guest of honour at the Smart Breakfast event organised by the American Chamber of Commerce (AmCham). Manojlović talked about his life and experiences in theatre and film, as well as teamwork, professionalism, courage, curiosity and other values that have guided him throughout his artistic life, with special emphasis placed on his socially responsible Integration Workshop artistic project. |

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faces & places 22.01.2014

Nureyev Documentary Premiere in Belgrade

Andreas Graf, CFO of Vip Mobile, and Aja Jung, Director and Founder of Belgrade Dance Festival

Belgrade Dance Festival and Vip Mobile held a premiere of documentary film ‘Rudolph Nureyev’, directed by Patricia Foy. The premiere took place at the Yugoslav Film Archives. Beforehand, guests attended a cocktail party at which the programme for this year’s 11th Belgrade Dance Festival was officially announced.


Third Anniversary of Egyptian 25 January Revolution Marked Mrs. Aya Saad, Minister Counsellor and Charge d’Affaires of the Embassy of Egypt celebrated the third anniversary of the Egyptian 25 January Revolution. Addressing guests from the diplomatic corps, Egyptian community and Serbian public figures, Mrs. Saad noted that the anniversary of the revolution saw the first important step on the roadmap for the country endorsed by the Egyptian government – adoption of a new constitution – and confirmed that those who gave their lives to enable Egypt’s transition to a modern democratic country have not and will not be forgotten by its people.


Mrs. Aya Saad, Charge d’Affaires of the Embassy of Egypt

H.E. Dr Falah Abdulhasan ABDULSADA (left), Ambassador of Iraq, H.E. Mr. Abdelkader MESDOUA, Ambassador of Algeria, Mr. Almamy Kobélé KEITA, Charge d’Affaires of Guinea, Mrs. Aya SAAD, Charge d’Affaires of Egypt, H.E. Mr. Abdellah ZEGOUR, Ambassador of Morocco, Mustafa Jusufspahić, of Vojvodina and Belgrade Bajrakli mosque imam, H.E. Mr. Mohammed K. M. NABHAN, Ambassador of Palestine, and H.E. Mr. Majid HAMLAOUI, Ambassador of Tunisia

An Evening of Iraqi Music The Embassy of the Republic of Iraq in Belgrade, in cooperation with the Serbian National Assembly, organised an Iraqi music event featuring a performance by Iraqi group Baghdad. The audience was introduced to the ethereal beauty of Iraqi maqam, which has been preserved for hundreds of years in both secular and religious settings.

Nebojša Stefanović, President of the National Assembly of Serbia, and H.E. Dr Falah Abdulhasan ABDULSADA, Ambassador of Iraq


Politika Marks 110th Anniversary

Ljiljana Smajlović, Editor-in-Chief of Politika, Ivica Dačić, Prime Ministar of Serbia, and Ivan Tasovac, Minister of Culture

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Daily newspaper Politika officially marked its 110th anniversary with a concert by the Belgrade Philharmonic Orchestra. At a reception before the concert, Serbian PM Ivica Dačić expressed his satisfaction that the paper would soon be sold in a European Serbia. In her foreword, Politika Editor-in-Chief Ljiljana Smajlović said the establishment of Politika, one of the country’s most important institutions, had made Serbia into a real political nation. “In this part of the world, we cannot picture Serbia without Politika as a large national publication,” she said, adding that all of Politika’s staff are proud of the newspaper and its founders’ legacy.

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Matija Bećković, Serbian writer and poet (left), Emir Nemanja Kusturica, Serbian filmmaker, actor and musician

culture calendar CONCERTS


Sava Centre, 8 February @ 20.00

the Kombank Arena in Belgrade and on 8 March at Spence in Novi Sad. Over the last 30 years, Dragović has delighted audiences with her music and charm. Her rich career has been marked by numerous albums, performances at festivals and two appearances at the Eurovision Song Contest.

Amira Medunjanin Sava Centre 21 February @ 20.00


Magic Flute Legende have been playing shows at the Sava Centre for 20 years, making their 8 February gig the group’s 52nd concert at the venue. It has become a tradition for fans to anticipate and enjoy these performances at the beginning of each year. And this, like every previous Sava Centre show, guarantees a wonderful evening of emotions and hits. The group will perform older songs but fans should also expect to hear new material for the first time. Legendary.

Madlenianum, 1 February @ 12.00 A shorter version of famous opera Magic Flute, adapted for children.


Josipa Lisac Sava Centre, 14 February @ 20.30

National Theatre, 1 February @ 19.30

Carmen National Theatre, 5 February @ 19.00

Love Drink Diva Josipa Lisac will play a very special Valentine’s Day show at Belgrade’s Sava Centre. “We look forward to meeting again in Belgrade on 14 February, the day when people come in twos, when people celebrate their love and their lives,” says Lisac. “I feel very grateful to all who come to my concert because it means that people have chosen me, that their lives are in that romantic moment tied to what I do.”

Madlenianum, 15 February Gaetano Doniceti opera Love Drink will premiere at Madlenianum on 15 February, followed by another performance on 21 February.


performances will be accompanied by a variety of children’s music, from songs by local composers to Disney, classical and songs from well-known musicals.


FEST 2014 Sava Centre, 28 February-9 March

The Lady of the Camellias National Theatre, 6 February @ 19.30


Doris Dragovic Kombank Arena, 14 February @ 20.00 Dragović, one of the best vocal soloists in the former Yugoslavia, will hold two major solo shows entitled ‘Malo mi za sriću triba’ on 14 February at

Sava Centre, 9 February @ 12.00 Ballet studio Adagio will take the Sava Centre stage on 9 February, with more than 300 participants aged 2.5 to 25 years performing 30 choreographies showing their ballet skills. The

Deep Purple Kombank Arena 18 February @ 20.00 One of the most legendary hard rock bands of all time will play the Kombank Arena for the first time on 18 February. Deep Purple first visited Belgrade back in 1975 followed by two big shows at the Belgrade Fair Hall in 2003 and 2006. This time, the band are coming as part of a new world tour in support of their latest album ‘Now What?’, which fans and critics have labelled as one of the best in the band’s career. The Kombank 46 |

Singer Amira Medunjanin, known worldwide as the ‘Balkan Billie Holiday’, will hold her first big concert in Belgrade, organised by promotion house Long Play, on 21 February at the Sava Centre. “The Sava Centre is a music hall from the time of the former Yugoslavia and has always had special status,” says Medunjanin. “For me it is a big challenge, because of which I am preparing very seriously for the concert. I sincerely hope that together we will be joking, laughing a lot, singing a lot, crying a little, and then all over again – I expect that together we will heal our souls.”

Arena gig is the only one the band are playing among former Yugoslav countries, so expect an audience of fellow hard rockers from all around the Balkans!

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On her recent albums, the Sarajevo singer has performed her own inspired versions of old songs from Bosnia and Herzegovina, Serbia and Macedonia, such as ‘Ah šta ćemo ljubav kriti’, ‘Kradem ti se u večeri’, ‘Kaleš bre Andjo’, ‘Mito bekrijo’, ‘Marijo deli bela kumrijo’, ‘Kafu mi draga ispeci’, ‘Zajdi, zajdi’, ‘Jano mori’ and ‘Što te nema’. In 2012, she was awarded the prestigious ‘La belle voix feminine Plue’ (Best Female Vocalist) by Foundation Orange in France.

longest-running show is, of course, director Soja Jovanović, who had the courage and skill to present ‘Some Like It Hot’ to Belgrade audiences after the movie and Broadway show had proven to be such hits with audiences and critics. The story of two musicians who cross-dress to hide their identity, a blonde beauty who dreams of a ‘millionaire’ and a bona fide millionaire who falls for a man is a story about the triumph of love and beauty. This classic Hollywood story is complemented by glamorous scenery and costumes, great musical arrangements and choreography, and a keen sense of comic timing by the performers onstage.

Zona Zamfirova Terazije Theatre, 5 February The first FEST, under the slogan ‘A Brave New World’, opened on 9 January 1971 at Dom Sindikata in Belgrade with a screening of Robert Altman’s ‘MASH’. Envisioned as an annual review of the best films of the season, the Belgrade International Film Festival – FEST – evolved to become one of the most important film festivals in Europe and a pillar of Belgrade’s cultural life. Over the years, FEST has become an indispensable element in the coming of age of generations of local cinephiles and filmmakers. For more information about this year’s FEST, please visit


Some Like It Hot Terazije Theatre, 1 February The ‘culprit’ behind Terazije Theatre’s

For a long time it wasn’t known that Stevan Sremac based his best work on true events that took place in Priština in the late 19th century. Sremac heard the story from Branislav Nušić, who in 1895 was the Serbian consul in Priština. After his arrival from Priština, Nušić met with Sremac on a summer evening at Kalemegdan in Belgrade and told him the story. A delighted Sremac asked a friend to let him retell the story and thus ‘Zona Zamfirova’ was made.

culture news

Cigani Lete u Nebo


Wild In The Street by Nenad Rackovic

Terazije Theatre, 7 February This musical, directed by Vladimir Lazić, combines beautiful Russian songs with memorable choreography by Krunoslav Simić in a love story between a gypsy woman and a horse thief.

Terazije Theatre, 25 February The premiere of musical ‘Grease’ sees Terazije Theatre re-establish a connection with its recent history. In a certain way, the return of ‘Grease’ to the Terazije stage will highlight how far the ensemble has improved in the meantime, not to mention the improvements in the show’s production. ‘Grease’ is the story of non-conformity and a generational rebellion, a kind of social divergence whose main weapon is sugar water for hair. The story’s birthplace and inspiration is the experience and tradition of America in the 1950s, a time of great hope and renewal in the US and around the world, a time when faith in a better life was growing. It tells the tale of a group of high-school students from different social backgrounds who share the same aspirations, retold in the same spirit as Jim Jacobs and Warren Casey managed in the early-1970s.

Gallery 12 Hub 18 January—8 February

Zorba the Greek Terazije Theatre, 9 February

Based on Nikos Kazantzakis’ 1946 novel ‘The Life and Adventures of Alexis Zorbas’, in 1964 Greek director Michael Kakojanis made a GreekAmerican film adaptation, ‘Zorba the Greek’, with fine performances by Anthony Quinn, Alan Bates, Irene Papas and Lila Cedar, and a memorable musical score by Mikis Theodorakis. The film was hugely successful, picking up three Oscars. Particularly notable was Theodorakis’ music, which promoted traditional Greek music and the folk dance Sirtaki, which subsequently became popular around the world.

Rebecca Madlenianum, 17 February Directed by well-known Serbian director Nebojša Bradić, musical ‘Rebecca’ will have its first performance in 2014 on 1 February at Madlenianum.

Nenad Racković’s long-time work has made him a symbol of the Belgrade artistic scene. Navigating the city’s urban structure, Racković documents the different subcultures that have existed at different periods, from the rock-and-roll underground to modern clubbing and skate culture. From a position of rebellion and a refusal to adhere to imposed values and social norms, whether coloured by nationalism and the destruction of the 1990s or the consumerism of capitalist society over the last decade, Racković’s own appearance, body and life creates situations that induce an alternative space for individual liberty. Performances, events, situations, objects, novels, films, videos, collages

Magic by Dunja Pantic WORKSHOPS

From Idea to Movie Dom Omladine, 9 February, 22-23 February @ 15.00

Čekaonica, 3-18 January Dunja Pantić is a multidisciplinary artist, born in Serbia, raised in Zimbabwe and educated in Italy and France. Upon completion of her Design and Technology master’s programme at Parsons in New York in May 2008, and while studying Set Design in Florence, Italy, Pantić has been working as a freelance graphic designer and illustrator in

Vocal Tradition

Halo Beograd Madlenianum, 19 February Musical cabaret ‘Halo Beograd’ will have its guest appearance at Madlenianum on 19 February.

Dom Omladine, 21 February @ 15.00 Belgrade’s Dom Omladine youth centre is intensifying its educational programmes for young people. Free of charge, primary- and secondary-school students will have the opportunity to participate in numerous workshops and lectures on various topics. Application for these workshops must be made via email: The maximum number of participants for the film workshop is 20, while the maximum for the vocal workshop is 25. For more information, please visit www.

Chicago Terazije Theatre, 4 February ‘Chicago’ is one of Broadway’s most popular musicals, mixing passion, lust, intrigue, murder, showbusiness and bribery of judges and lawyers. Through its variety of musical hits such as ‘All That Jazz’ and expressive, high-quality choreography, ‘Chicago’ tells a satirical tale about the America of the turbulent 1920s. The story begins when unfulfilled actress and singer Roxie Hart, who dreams of success

New York. Some of the companies and organisations she has worked for include WWF, Weiden & Kennedy, Nailgun, Arxview, Blacklist, Audiobrain and CBRE, and she is the illustrator and designer for The House of Books in Zimbabwe. Her work has been exhibited during Belgrade Design Week in collaboration with Mikser and her photography and illustrations have been published in magazines in New York and Belgrade.

and skating around the city are just some of Racković’s artistic gambits. The ‘Wild in the Street’ exhibition, which opened Gallery 12 Hub’s 2014 season, comprised material from over the last few years, including fluorescent objects and installations, the artist’s living space turned into a background image of the artist’s consciousness and collaborative works that show the potential of the artist as an incubator of social networks – and not just those that develop online, but the alternative social networks that artists generate within a city’s daily life.

tion of Serbia’s collection. The association has more than 2,000 original works from between 1946 and 2000. The exhibition presented the different tendencies throughout the history of Serbian photography, with particular attention paid to innovative and unusual approaches to the medium. The exhibition offered a crosssection of members, with original approaches based on experimentation and photographic research, with the aim of promoting and recognising photographic research. The Photo Association of Serbia is a non-profit organisation founded to foster and promote photography at all levels. It has 30 clubs and more than 900 members from all over Serbia, as well as members from abroad.

Strauss Festival Orchestra & Ballet Ensemble Sava Centre, 22 January

EX – Experiment and Explore SKC, 11 January The EX – Experiment and Explore project was based on photographs from the Photo Associaon the stages of Chicago, kills her lover. In prison she meets her idol, the famous Velma Kelly. The two of them will stop at nothing to reach their goals, which is where corrupted lawyer Billy Flynn steps in…

Belgraders experienced the dazzling spirit of 19th-century Vienna through the unforgettable waltzes, polkas, marches, operettas of the ‘Waltz King’. The Sava Centre audience had the rare opportunity to enjoy the magical sounds of the great Strauss last month, enjoying majestic pieces such as ‘On the Beautiful Blue Danube’, ‘Tales from the Vienna Woods’, ‘Emperor Waltz’ and ‘Radetzky March’. |

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Public Broadcasters

Changes are


partners. Some 2,700 people were to be suspended from their jobs until the company could be reopened. Then, in September, similar news came from another, wealthier part of Europe. James Harding, the newly appointed Director of News and Current Affairs at the BBC in the UK, announced to staff that they would have to work harder for less money and that 75 of them would have to leave because of cuts to the British public broadcaster’s budget. Budget cuts are just some of the measures introduced in 2011 when a plan was devised to reduce the BBC’s total budget by £700 million, with the number of BBC News employees cut by 600 until the fiscal year 2016-2017. According to the head Serbian public broadcaster RTS of Regulatory Legal can only dream about the quality of Services at the European programming and work conditions Broadcasting Union, the BBC enjoys, despite these seriRichard Burnley, the best ous budget cuts. When Greece shut funding model for a public down its public broadcaster, quite a few people believed RTS would share broadcaster is one that the same fate. They argued that the uses multiple sources Serbian public broadcaster had been

Serbia’s public broadcasting services are in desperate need of reform but the last media law passed in the country was 11 years ago. This illustrates how much Serbia lags behind when it comes to putting together a legislative framework that would correspond to the industrial and technological changes that have affected the media in recent years


vents in Europe in the second half of 2013 gave us reason to seriously question the future of public broadcasting services. First, in June, the Greek conservative government announced it would temporarily shut down the state-owned TV and radio station due to austerity measures, despite the serious objections of trade unions and coalition

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constantly failing to proveloped on the back of new and innovative media platduce quality programming, and had refused to search forms. The new economic for a sustainable financial reality, which has shaken the traditional media informat, with the broadcaster being kept alive by dustry, has contributed artificial means. significantly to expediting “This year in Serbia is these processes and redea sort of transitional pefining existing concepts. Such quakes also affect riod during which public James Harding Saša Mirković public broadcasters, given broadcasters will continue subscription collections fell by almost half compared with to receive money from the budget,” says Radio Belgrade five years ago – a result of both the economic downturn and 1 Editor-in-Chief and long-standing BBC Serbian correan imperfect collection model. spondent Djordje Vlajić. “I do hope that the budget funding “Considering the aforementioned, it has become very won’t last long, i.e. until a set of new media legislation is clear that something has to be changed in the existing passed. One of these laws is the Public Broadcasting Law.” operational formats, both in state and provincial public Vlajić thinks the law would serve as a foundation for debroadcasters,” Mirković says, adding: “A huge change, in fining the role and conditions under which public broadcastthe shape of RSD 7.5 billion worth of budget money set ers work and would secure much-needed independence. In aside for them by the Ministry of Finance this year, will terms of funding, Vlajić believes that subscription should be lead to great changes.” the main source of income for public broadcasters, in addiThis budget money is only a temtion to commercial revenue, with budget aid available should subporary measure to help RTS and “This year in Serbia is a sort RTV to survive the year, marking the scription collections fail: “The govof transitional period during beginning of the restructuring and ernment has the important task of which public broadcasters counterbalancing of overheads and securing adherence to the law and will continue to receive real income. Mirković adds that the efficient subscription collection.” transitional period will be used for Saša Mirković, Assistant Culture money from the budget,” Minister in charge of information says Radio Belgrade 1 Editor- finding a new sustainable format for funding public broadcasters based issues, suggests public broadcastin-Chief Djordje Vlajić on good practices from abroad, ers in Serbia still have potenmeasures promoted by a potial. “Public broadcasters could have a bright future in Serbia litical and social consensus that if they modernise and respond both RTS and RTV need reformto the challenges set by their ing and modernising. new management,” he says. “We Vlajić adds to these calls, are going to need experience, suggesting that tough times are knowledge and the will to make ahead: “It has become very clear the brave decision that would that both public broadcasters result in editorial independhave to be reformed. With the completion of digitalisation, ence, sustainability and the demodernising the organisation velopment of equally important and business has become inevipublic broadcasters (RTS, RTV – Radio and Television of Vojvotable, especially laying off surdina), which is something the plus workers with the help of Ministry of Culture and Inforthe social programme.” International standards mation has been both verbally imply that every public broadand practically advocating.” The last media law passed caster must have stable funding. in Serbia was 11 years ago. All Richard Burnley, head of Reguother legislative changes pertained only to amending the latory Legal Services at the European Broadcasting Union, existing law. This fact is sufficient enough to illustrate how said recently: “Funding depends on individual countries, much Serbia lags behind when it comes to putting together their cultures and adopted laws. The best thing would be a legislative framework that would correspond to the new for public broadcasters to have safe revenues from subindustrial, technological and creative solutions that have description. However, that is sometimes very difficult to |

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was an important ally in tain in Southeast Europe.” promoting freedom of exBurnley adds that in order to have consistent and pression and praised the role independent media safe revenues, the state services play in modern should set aside a fixed European democracies. amount to cover some of The EBU partnership prothe subscription. According to Burnley, gramme has been implethe best funding model for menting an action plan a public broadcaster is one co-funded by the European Richard Burnley DJorDJe Vlajić that uses multiple sources. Commission to strengthen One of the solutions is subscription and broadcasting comEBU members in Western Balkan states that are preparing to become EU members. mercial content as much as possible. Burnley’s biggest Our interlocutors believe that Serbia’s public broadconcern is Bosnia and Herzegovina, where the Regulatory Communication Agency intends to curtail marketing revecasters will not suffer the same fate as their Greek counnue for public broadcasters. He also says that another probterparts. “I am not sure whether it is appropriate to talk about the end the public media broadcasters in Serbia delem is politicians in the region pressuring public broadcasters: “That’s why we have been encouraging regional spite both public broadcasters – RTS and RTV – having huge public broadcasters to comply with European standards, funding difficulties caused by the economic crisis,” says namely the EU’s Vlajić. “Let me Audiovisual remind you that Media Services public broadDirective. The casters exist only way to because they reduce politihave a very imcal influence is portant role to to set aside a play, not only fixed amount in providing from the budginformation but in society’s et (for public education and b ro a d c a s te r s ) culture. Puband make that legal. Only in lic broadcastthat case would ers are the only politicians not true safeguards be able to exert of the social significant influcultural matrix. Fulfilling their ence over public specialised role, broadcasters.” which is defined In terms of by laws, entails programming, ediimplementing European standUnlike state and provincial ards, it is paradoxical that, as BBC torial and business autonomy. In public broadcasters, News announces new cuts, both in turn, this autonomy greatly deregional public broadcasters pends on the way they are funded. terms of its funding and number of employees, the European ComThere is no one-format-fits-all in are definitely not going Europe, but the general consensus mission and European Broadcastto survive is that subscription is the best way ing Union (EBU) have agreed to to ensure this autonomy for public broadcasters.” extend their cooperation to strengthen media services However, unlike state and provincial public broadcasters, in the European environment. regional public broadcasters are definitely not going to surOn 1 September, Enlargement and European Neighbourhood Policy Commissioner Štefan Füle met with the Presivive. “The future media laws are not going to even deal with regional public broadcasters, because from the moment the dent and Director-General of the EBU, Jean-Paul Philippot media strategy was devised it became very clear that there and Ingrid Deltenre, to discuss cooperation stipulated by is no overwhelming political will, professional support nor the Memorandum of Understanding signed in July last year funds for this kind of project,” Mirković concludes. ■ focusing on pre-accession countries. Füle said that the EBU

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road to sochi

Sochi Olympic Games 2014 Preview Guide

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Sochi Olympic Games 2014


H.E. Mr. Alexander Vasilyevich Chepurin

Russian Ambassador to Serbia

Welcome to Sochi This month hundreds of thousands from around the world will come to Russia to enjoy a spectacular Winter Olympics, with millions more watching on television. On behalf of the Russian Federation, the Russian Ambassador to Serbia welcomes everyone to Sochi and thanks the Serbian workers who helped make it possible


isters will attend the opening ceremony. This number is three and he city of Sochi four times greater than the number of foreign state officials who has been choattended the opening ceremonies of the 2010 games in Vancouver sen to host the and 2002 games in Salt Lake City respectively. We are really lookWinter Olympic ing forward to having Serbian President Tomislav Nikolić in Sochi. Games thanks to its remarkable geographical position. The city We view this as a gesture of respect towards Russia. lies on the shore of the Black Sea at the foot of the Caucasus Any large-scale sporting event encourages people, particularMountains and is known for its Mediterranean/Alpine climate. ly youngsters, to take up sport, which has many benefits for the This year, what in Russia is a typical summer resort will be transhealth of the nation, generates interest and makes sport fashionaformed into a winter one. There are several records the Winter ble. We wish the Serbian Olympic team great success. Olympiad in Sochi could break. A total of 6,000 athletes and 1,650 I would like to underline the fact that our Serbian partners, Paralympic athletes from 85 countries will participate. The upnamely Serbian construction companies, experts and construccoming Games will also be known as the most compact Games evtion workers, have participated in the construction of Olympic er, with every venue a stone’s throw from each other. The Sochi venues. Putevi Užice Company was the leading Serbian contractor Olympics will be record-breaking in terms of media coverage too in Sochi and Serbian experts have participated in the construction – more than 3 billion viewers will be able to watch the events and of more than 500,000m² of business and residential quarters, as opening and closing ceremonies. A total 98 sets of medals across well as hotels such as Radisson, Mercury and Pullman. Sochi will seven sports will be awarded, 12 sets more than the 2010 Winter have 43,000 hotel beds available during the Olympic Games. As Olympics in Vancouver. The Olympic venues in the Mountain well as the aforementioned, Serbian companies and experts took Cluster can house more than 120,000 spectators at once – anothpart in building a huge complex called ‘Olympic University’, which er record-breaking figure. spans 92,000m² and is situated in the exclusive Black Sea zone. Thanks to the diligent work of 70,000 people using 5,000 pieces In the last three-to-four years, close to 5,000 Serbian architects, of construction equipment, 206 modern and environmentally safe construction specialists and workers have been involved in buildvenues have been built. Thirty of those are solely sports facilities, while others belong to engineering and tourist infrastructure and are to be used to boost Any large sporting event encourages people, particularly Sochi’s development into one of the leading youngsters, to take up sport, which has many benefits for mountain resorts in Russia. Over the last few the health of the nation, generates interest and makes sport years, Sochi has been the biggest construcfashionable. We wish the Serbian Olympic team great success tion site in the world. Architecture from the Olympic village in ing the new Sochi. Many of the constructed facilities are furnished Sochi has been presented at a special exhibition at the Russian with furniture and equipment produced in Serbia. House in Belgrade, which is open to visitors. In a sense, the Olympic Games are a country’s business card. The Olympic Games have provided a great development incenThe Games demonstrate a country’s capabilities, achievements, the tive for southern Russia, particularly in terms of infrastructure. diverse beauty of the landscape and the nation’s creative abilities. Thanks to the construction of a gas pipeline, gas heating system Russia has invested great effort into making guests feel comand gas energy, the town’s environment looks much improved, fortable and safe in Sochi. Thousands of volunteers from all over and Sochi has become an environmentally clean city. Exceptional Russia will be largely responsible for this as well as helping to orfacilities that have been built for training top-class athletes will ganise the Games. last for several decades to come. Welcome to the XXII Winter Olympic Games in Sochi, which Sochi 2014 is not a political summit. It is purely about the will undoubtedly be the most innovative, spectacular and memoWinter Olympic Games. This is not a competition among politicians rable Winter Olympics ever. ■ but among athletes. However, 33 heads of state and 10 prime minSochi Olympic Games 2014

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Road to Sochi


Eighty-five countries are expected to bring 6,000 athletes and team members to Sochi this month for the first ever Winter Olympic Games organised in Russia. Over 17 days from 7-23 February, they will compete in 98 events in seven winter sports

Sochi Winter Olympics 2014 Guide As well as being the first Winter Olympics contested in Russia, Sochi 2014 will also be one of the most compact in Winter Olympic history, where, for the first time, a purpose-built Olympic Park – referred to as the Coastal Cluster – will be home to all indoor ice competition venues, each within a short stroll of each other. Sochi 2014 will be the first Games presided over by the recently elected ninth IOC President, Thomas Bach. In total, the programme features a total of 98 events over seven sports, including 12 events that will be making their Olympic debut.

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Alpine skiing Dates: 9-22 February Medal events: 10 Athletes: 320 Alpine skiing first appeared on the Olympic programme in 1936, when men’s and women’s combined events were held. Now, the Olympic programme features 10 medal events, with men and women both contesting downhill, super combined, super-G, giant slalom and slalom. The Sochi 2014 Alpine skiing events will open with the men’s downhill on 9 February, with Norway’s Aksel Lund Svindal looking to improve on the silver medal he won in Vancouver in 2010.

Biathlon Dates: 8-22 February Medal events: 11 Athletes: 220

Biathlon debuted at the Winter Games in 1960, when the only event was the men’s 20km individual race. The relay was

added in 1968, while the 10km sprint debuted in 1980 before women’s events were added in 1992. Pursuit and massstart events were added in 2002 and 2006 respectively, while Sochi 2014 will see the mixed relay make its Olympic debut. Reigning women’s 15km champion Tora Berger of Norway will be eyeing more gold in Sochi, having enjoyed a superb 2013 World Cup season. New competition: Biathlon mixed relay – mixed Teams will comprise two men and two women. Women will open the relay, completing the first two 6km legs. The men then complete the next two 7.5km legs.

Bobsleigh Dates: 16-23 February Medal events: 3 Athletes: 170

A four-person bobsleigh race took place at the first Winter

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Games in 1924, with a two-person event added to proceedings at St. Moritz four years later and the women’s two-person event debuting at the 2002 Games in Salt Lake City. Swiss duo Beat Hefti and Thomas Lamparter have already tasted success in Sochi, having won the two-person event at the World Cup in February 2013. The home crowd, meanwhile, is sure to get behind Alexandr Zubkov as he aims to lead the Russian four-person team to Olympic success at the Sanki Sliding Centre.

Olympic champion Marit Bjørgen is again expected to challenge for medals in the women’s events, while her compatriot, Olympic gold medallist Petter Northug, will look to dominate the men’s events.

Curling Dates: 10-21 February Medal events: 2 Athletes: 100

Cross-country skiing Dates: 8-23 February Medal events: 12 Athletes: 310

Cross-country skiing has been contested at every edition of the Winter Games dating back to 1924, and Sochi 2014 will feature 12 events (six for men, six for women) ranging from a 1.5km sprint to the 50km (men) and 30km (women) massstart races. Norway’s reigning sprint and individual pursuit

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After featuring at the 1924 Games, curling did not re-appear until 1998, when the men’s and women’s titles were won by Switzerland and Canada respectively. Canada won the men’s title in 2006 and 2010, while Sweden’s women, led by skip Anette Norberg, topped the podium in 2006 and 2010. With Norberg retired, Sweden will look to new skip Margaretha Sigfridsson to help them complete a hat-trick of titles.

Figure skating Dates: 6-22 February

Medal events: 5 Athletes: 148 In addition to the singles, pairs and ice dancing events, a figure skating team contest will also be held in Sochi – marking the event’s debut on the Olympic programme. Three-time world champion Patrick Chan of Canada will be aiming to win his first ever Olympic medal in the men’s singles after placing fifth in 2010, while South Korea’s Yuna Kim will be hoping to defend her women’s singles title. Russian hopes are likely to rest on world pairs champions Tatiana Volosozhar and Maxim Trankov.

Ice hockey Dates: 8-23 February Medal events: 2 Athletes: 468

New competition: Figure skating team event – mixed Featuring teams made up of six skaters: one male, one female, one pair and one ice-dance couple. Points will be awarded for each routine and the team with the highest number of aggregate points will win gold.

Freestyle skiing Dates: 6-21 February Medal events: 10 Athletes: 282

Ice hockey has been played at every edition of the Winter Games, with the women’s event making its debut in Nagano in 1998. In Vancouver in 2010, hosts Canada enjoyed a fairytale ending to the men’s tournament as Sidney Crosby scored the gold-medal-winning goal seven minutes and 40 seconds into overtime to secure a 3-2 win over the US. The Canadian women also delighted the home crowd by winning their third successive Olympic title with a 2-0 win over the US.

Luge Dates: 8-13 February Medal events: 4 Athletes: 110

The Sochi Winter Olympics will see four new events join the freestyle skiing programme, with both a men’s and a women’s event in ski slopestyle and a men’s and a women’s event in ski halfpipe joining established events such as ski cross, aerials and moguls. Great Britain’s James Woods is the reigning World Cup champion in the men’s ski slopestyle and will be aiming to win his country’s first ever Winter Olympic skiing medal in Sochi, while Switzerland’s two-time world champion Virginie Faivre will be the woman everyone wants to beat in the ski halfpipe. New competitions: Ski halfpipe – men’s and women’s Each athlete will perform an array of big airs and other tricks in the halfpipe before being judged on technical difficulty, style, flow, variation and execution. Ski slopestyle – men’s and women’s Skiers combine airs and tricks on a course featuring rails and a variety of jumps before being scored on execution, difficulty of line, landing and their use of the course.

Luge first featured at the Olympic Winter Games in Innsbruck in 1964 and has remained on the programme ever since, with Sochi 2014 marking the debut of the mixed team relay event. Germany enjoyed a clean sweep of 2013 World Cup titles, with reigning Olympic champion Felix Loch and 2013 world champion Natalie Geisenberger claiming the men’s and women’s crowns respectively, while Tobias Wendl and Tobias Artl topped the doubles standings. Sochi Olympic Games 2014

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New competition: Luge team relay – mixed Each country will field a men’s singles sled, a doubles sled and a women’s singles sled. All three will slide down the track, one after another, with the clock stopping only after the third sled has crossed the finish line.

Nordic combined Dates: 12-20 February Medal events: 3 Athletes: 55

one relay event for both men and women. Additional individual distances were added in 1994, before men’s and women’s 1,500m events joined the programme in 2002. In Sochi, men and women will contest the 500m, 1,000m and 1,500m, while there will also be a 3,000m relay for women and a 5,000m relay for men.

Skeleton Dates: 13-15 February Medal events: 2 Athletes: 50

Men’s skeleton featured on the Olympic programme at the 1928 and 1948 Winter Games, both of which were held in St. Moritz, where the sport originated on the famed Cresta Run. Following a 54-year absence, skeleton reappeared on the programme at Salt Lake City in 2002, when a women’s event was also added. The Olympic skeleton competition consists of four heats run over two days, with the gold medal going to the competitor with the fastest aggregate time.

Nordic combined, which features ski jumping and a crosscountry skiing race, has appeared at every Winter Games since 1924. The results of the ski jumping element determine the starting places for the cross-country race, with the jumping points converted into time penalties. France’s Jason Lamy Chappuis, who won the individual normal hill/10 km event in Vancouver in 2010, will be among the medal favourites again after finishing second overall in the 2013 World Cup.

Ski jumping Dates: 8-17 February Medal events: 4 Athletes: 100 Ski jumping has been contested at every Winter Games, but Sochi 2014 will mark the first time that women will also compete at the Games. From 1924 to 1960, only the individual large hill event was held at the Games, with the individual normal hill being added in 1964, followed by the team large hill event

Short track speed skating Dates: 10-21 February Medal events: 8 Athletes: 120 Short track speed skating was added to the Olympic programme at the 1992 Winter Games, with one individual and

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New competitions: Snowboard slopestyle – men’s and women’s Athletes will be scored after descending a course consisting of rails and a variety of jumps, as they combine big airs and technical tricks into one run. Snowboard parallel slalom – men’s and women’s Riders will race two at a time down the same slope on two parallel courses, outlined with gates and triangular flags.

in 1988. Austria’s Gregor Schlierenzauer won the men’s overall World Cup title in 2013, while Japan’s 2012 Youth Olympic champion Sara Takanashi took the women’s World Cup crown. New competition: Ski jumping – women’s The women’s normal hill event will mark the first time that women have competed in ski jumping at the Winter Games.

Snowboarding Dates: 6-22 February Medal events: 10 Athletes: 252

Speed skating Dates: 8-22 February Medal events: 12 Athletes: 180 Snowboarding is the newest discipline on the Winter Games programme, having first been held in Nagano in 1998 when giant slalom and halfpipe events were contested. Snowboard cross was added in 2006, while Sochi 2014 will see slopestyle and parallel special slalom events make their first appearance. The last two men’s Olympic halfpipe titles have been won by American Shaun White, who wowed crowds at Vancouver 2010 by scoring an Olympic record 48.4 points out of 50. schedule


Ceremonies Alpine Skiing Biathlon Bobsleigh Cross-Country Curling Figure Skating Freestyle Skiing Ice Hockey Luge Nordic Combined Short Track Skeleton Ski Jumping Snowboard Speed Skating








Speed skating has been part of the Winter Games since 1924, with women’s events added to the programme in 1960. In Sochi, men and women will each race over 500m, 1,000m, 1,500m and 5,000m. Men will also contest the 10,000m, while women will race over 3,000m. Since 2006, men’s and women’s team pursuit events have also been held. The Netherlands’ Ireen Wüst and Sven Kramer are the athletes to watch in the women’s and men’s events respectively. ■ 13

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Improving Results from Vancouver

Vlade Divac, President of the Serbian Olympic Comittee, and Vanja Udovičić, Minister of Sport, with the Serbian Winter Olympic team

University Games biathlon and cross-country champion Milanko Petrovic will be the star of the Serbian Winter Olympic team in Sochi, leading his countrymen and women on the Russian coast as they attempt to establish the country’s wintersport credentials


t the XXII Winter Olympic Games in Sochi, Serbia could easily have more athletes representing the country than at the 2010 Games in Vancouver, when the country participated at the Winter Games for the The star of the Serbian very first time. Winter Olympic team In Vancouver, Serbia is 25-year-old Milanko had 10 athletes competing Petrović, who competed in four sports (Alpine skiin two sports at the ing, cross-country, biathWinter University Games lon and bobsleigh). Fifteen days ago, head of the Serbian Olympic team Damir Štajner said the country could have 12 athletes competing in the same sports, but in more disciplines. This way, Serbia’s winter athletes will have great60 |

Sochi Olympic Games 2014

er opportunity to improve on their best results. The Serbian national team is still not complete, with the team’s formation hinging on the allocation of continental quotas by the international bobsleigh and Alpine skiing federations, as well as the result of a quiet war that has been brewing between two factions of the Serbian Ski Federation. The following athletes are definitely competing at Sochi: Milanko Petrović (biathlon, cross-country), Ivana Kovačević (cross-country), Nevena Ignjatović and Marko Vukićević (both Alpine skiing). Damir Ristić or Rejhan Šmrković joining Petrović in cross-country competitions depends on the Serbian Ski Federation, while the International Ski Federation will decide whether Andrija Vuković will compete in Alpine skiing alongside Vukićević. The Serbian Olympic Committee expects the two-man bobsleigh team to receive an invitation from the International Bobsleigh and Skeleton Federation, while the chances of Serbia’s four-man bobsleigh team competing are now far smaller than at the start of the season. The star of the Serbian Winter Olympic team is 25-yearold Milanko Petrović, who competed in two sports at the Winter University Games (Winter Universiade) in Trentino and won gold in cross-country and gold and bronze in biathlon. Petrović has become an international sensation since, but back at the Winter Olympics in Vancouver he placed 81st and 87th respectively. Although competition at the Universiade is not as tough as the Olympics, competition at the Games will

Photos: TANJUG

Milanko Petrović

Nevena Ignjatović

Marko Vukićević

Photos: TANJUG

not be as stiff as at the World Cup, where Petrović has also Committee, but the bobsleigh team failed to qualify for the Games. It has been suggested that there was too much experscored points. As a result of investments by the Olympic Committee and imentation when choosing team members, with Radjenović Ministry of Youth and Sports, Petrović has made a great pro- and team coach Boris Radjenović – Vuk’s father and a former gress during this Olympic cycle, especially in skiing (his best Olympian himself – having the main say. An idea was floatresults apart from those at the Universiade were 9th at the ed for Bulgarian athlete Veselin Pankov to compete for the European Biathlon Championship and 31st at the World Cup). Serbian team, but his sprinting skills didn’t translate to bobPetrović and coach Tihomir Milosavljević have promised that sleigh. Having Slovenian-born Damjan Zlatnar competing for the he will at least make the first 30, but are hopeful that the results will be much better. The Serbian team is incomplete, with its formation Like Petrović, Serbia’s best skier Nevena hinging on the allocation of quotas by the international Ignjatović enjoyed the biggest success of her career bobsleigh and Alpine skiing federations, as well as the at the Universiade in Trentino. She won gold in the result of a quiet war that has been brewing between slalom, although Ignjatović hasn’t made as much two factions of the Serbian Ski Federation progress in other disciplines as Petrović. She debuted at the Vancouver Games, placing 32nd in the slalom and 38th in the giant slalom, failing to make the second Serbia also didn’t produce results, so – assuming the team round. Despite missing out on a top-30 spot over 16 races dur- gets the green light – Radjenović and Miloš Savić could coming the World Cup, in Sochi the 24-year-old will be attempting plete the four-man bobsleigh team in Sochi, alongside Nikola Milinković and Stefan Vujanić. to turn her fortunes around. By winning 18th place in Vancouver, Radjenović and Savić Serbia’s bobsleigh team also has a chance to get good results, providing team pilot Vuk Radjenović gets his Olympic secured the best results of the Serbian athletes competing at ‘visa’ – be it for the two- or four-man bobsleigh. There was op- the Winter Olympics. However, if only a two-man team goes to timism and encouraging statements prior to the new season, Sochi, Radjenović will pilot with Milinković the breakman. And not to mention financial assistance from the Serbian Olympic if this happens, then making the top 10 would be a real feat. ■

Vuk Radjenović

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Vladan Stamenić

Director of Putevi Užice’s Sochi branch office

A Measure of Our Ability The successful transformation of Sochi into an Olympic-ready city is in no small part thanks to the work of Serbian construction skills and know-how. Putevi Užice, in collaboration with other Serbian partners, has led the way, constructing a significant number of the hotels Olympic visitors will be using, as well as the Olympic University

Actor Galaxy


n the Russian Federation, Putevi Užice has been constructing residential and business buildings, hotels and university facilities, as well as manufacturing products made from natural stone, black metal, stainless steel, glass and aluminium. The company’s branch office in Sochi currently has 100 highly educated employees, mostly engineers. The office in Moscow is engaged in coordinating the work done on construction sites in various Russian regions, finding new projects, establishing business contacts and planning strategy. The Užice company has been operating in Russia for 20 years and has been recognised as one of the most successful Serbian construction companies there. The town of Krasnodar is the capital

For the Olympics, we have built almost a million square metres of facilities. The most important are eight hotels for journalists, four hotels in Krasnaya Polyana and luxury hotels Camellia Swissotel, Pullman and Mercure

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of the Kuban region and the ‘granary of Russia’. In 2005, Putevi won a tender to design, construct and furnish the region’s Supreme Court. Work started in summer 2006 and resulted in the most modern facility of its kind in Russia, perhaps even Europe. Putevi’s partner on the project – Jedinstvo – should

Sochi Olympic Games 2014

also take credit for the realisation of a well-designed project and the work done on the complex internal installation systems. Thanks to the trust of Russian investors, which Putevi earned by its successful implementation of a number of projects across Russia, the company was commissioned to construct a substantial number of major facilities for the Winter Olympic Games in Sochi. “During the preparatory stage for the 2014 Winter Olympics, we have built almost a million square metres of facilities,” says Director of Putevi Užice’s Sochi branch office Vladan Stamenić. “The most important of them are eight hotels for journalists, four hotels in Krasnaya Polyana, the luxu-

Camellia Swissotel

ry hotel complex Camellia Swissotel, which will accommodate the team belonging to Games sponsor Coca-Cola, and luxury hotels Pullman and Mercure. We would like to single out the successful construction of the Olympic University, together with hotels and apartments, which was officially opened by President Vladimir Putin, and for which we have been especially commended.” Putevi reciprocated the recognition it was given for the quality of its work and ability to implement complex projects in Sochi and across Russia by performing to the highest quality and adhering to deadlines, as well as making substantial financial donations to the city of Sochi. The company donated to several monasteries and churches, including to the monument of Archangel Michael, which stands in the centre of Sochi.

Olympic University in Sochi

national markets too. “In the last 20 years, we have built more than 100 facilities for various purposes, from airports and bridges, to university buildings, banks and residential buildings,” says Stamenić. “The best validation of our high level of competitiveness is that we keep on working. We are currently engaged in implementing new projects such as designing and constructing a five-star hotel complex spanning more than 150,000m². The complex is located near the popular Russian resort of Anapa, southwest of Sochi, and this is the first in a series of facilities built for a casino that will cover 800 hectares of land and is already being called the ‘Russian Las Vegas’. “Apart from these projects, we have been commissioned to design and construct a complex of 12 buildings with a total surface of 135,000m², which will be located at the Skolkovo Innovation Centre in Moscow. This is an urban area built specifically for young people, consisting mostly of scientific laboratories, study rooms and amphitheatres.” To honour the successful completion of proSupreme Court in Krasnodar

“We are exceptionally proud of the Over 20 years, we have built more than 100 facilities for various huge work we’ve done in Sochi,” says purposes, from airports and bridges, to university buildings, Stamenić. “The opportunity to take part banks and residential buildings… We are currently designing a in the construction of facilities for the five-star hotel complex spanning more than 150,000m² Winter Olympiad was a unique challenge for us and an opportunity to demonstrate jects related to the Winter Olympics, an exhibition entitled just how much we can do. For the same reason, we decided to in‘Architecture of Sochi – the Capital of the 2014 Winter Olympic clude many Serbian companies in the work here, companies that Games’ opened at the Russian House in Belgrade on 23 January. by our assessment could meet high quality standards. Russian Ambassador to Serbia H.E. Mr. Alexander Chepurin offi“Now we have finished our work here, we are happy to be able cially opened the exhibition, which showcases the work of archito say that a total of 30 companies from Serbia worked on the fatects from Sochi, artistic photographs of Sochi buildings by archicilities in Sochi and that they supplied around 50,000 tons of vartect Oleg Komisarov and the Olympic facilities. Putevi Užice was ious products, from bricks to furniture. Of course, none of this an honoured guest at the exhibition’s opening. would have been possible if we didn’t have enough good work“We would like to thank the professionals, particularly the ers. We made the decision to hire workers from Serbia and we are architects from Sinteza Association and the independent artists proud of the fact that close to 10,000 Serbian construction workwho have publicly shown the works by Russian and Serbian archiers, who have been working here with us for the last few years, tects that changed the image of Sochi,” Stamenić concludes. “We can share in this success with us.” were honoured guests at the exhibition as a company that left its Although Stamenić points out that the job Putevi has done in mark in Sochi, not only in respect to the Olympic facilities and doSochi is just a drop in the ocean, he also notes that giving an opnations, but also in respect to facilities for other purposes.” portunity to the Serbian construction industry to show its knowOne of the residential buildings that Putevi is about to finhow and ability on such important projects is hugely important to ish is Actor Galaxy, a 116m-high skyscraper in downtown all Serbian construction companies. The Russian market welcomSochi. The building has 26 floors above ground, four undering Serbian construction workers is a validation of their quality ground levels and spans 132,000m². The building is not linked and ability to respond to the most demanding projects while adto the Olympic Games, but is a project within the framework of hering strictly to set deadlines. This is also the most efficient way the general urban modernisation of one of Russia’s summer to promote the competitiveness of Serbian construction workers tourism destinations. ■ and companies, not only in the Russian market, but in other interSochi Olympic Games 2014

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Road to Sochi


The Most Compact Olympic Winter Games Sochi is being promoted as the most compact Olympic Winter Games ever. Eleven athletic venues have been built for the Games and are split between two clusters located within 48km of each other. A new railway means it will take less than 30 minutes to travel from the Coastal to the Mountain Cluster, with each cluster containing its own Olympic Village to house the athletes


he Coastal Cluster will include five ice sport venues, with the stadium for ceremonies centred in an Olympic Park. The park’s design means that travel time from the Olympic Village to each competition venue will last for no more than five minutes. Also among the facilities located in the Coastal Cluster will be the international broadcast centre and the main press centre. The Mountain Cluster in Krasnaya Polyana will include five venues for snow and sliding sports. There is an average distance of 4km between the Olympic Village and the competition venues, putting travel time at less than 15 minutes.

Fisht Olympic Stadium Named for one of the most famous mountains in Russia, it will host the opening and closing ceremonies as well as victory ceremonies. Its transparent roof will allow spectators to see the entire mountain from foot to peak. 64 |

Sochi Olympic Games 2014

Bolshoi Ice Dome

With a name that literally means ‘big’, the Ice Dome is the larger of the two ice hockey venues and its design is based on the image of a frozen ice drop.

This is also a temporary site. One of several moveable venues, it will be possible for the building to be dismantled and shipped to another Russian city for post-Games use. The simplistic design is said to symbolise democracy.

Ice Cube Curling Centre

Shayba Arena Shayba, meaning ‘washer‘, is the name of the second site for ice hockey. The arena holds 7,000 and, according to its designers, its look invokes the image of a snow whirlwind. After the Games, the arena may be moved to another region.

Iceberg Skating Palace The home of figure skating and short-track speed skating is another moveable venue. The name is truly international, sounding the same in a number of languages including English, Russian and German. Sochi Olympic Games 2014

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Adler Arena Skating Centre

This skiiing venue is named for a turbulent mountain river, which has its name based on the legend of a young girl who ran away from an old prince she did not love and jumped into the river to die. Her true love followed her and their bodies were never found. Locals say that the gods were so moved that they took them to the heavens at the summit of the sacred Mt. Elbrus.

Laura Cross-Country Ski and Biathlon Centre

Rosa Khutor Alpine Centre

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Sochi Olympic Games 2014

The oval that will host longtrack speed skating will have walls that are as transparent as possible to allow spectators to see the scenic mountain views to the north and the seascapes to the south.

Part of a resort in the Northern Caucasus region, the Alpine skiing venue features slopes designed by the worldrenowned ski architect and 1972 Olympic downhill champion Bernhard Russi.

Sanki Centre of Winter Sports

The name of the ski jumping venue plays on the English slang word for a Russian person. Its location at a junction of two ridges was chosen specifically to protect jumpers from side winds and to allow the jumps to blend into the local landscape.

The venue that is to be used for bobsleigh, skeleton and luge events carries an appropriate name, as the word ‘sanki’ means ‘sled’ in Russian.

RusSki Gorki Jumping Centre

X-treme Snowboard Park and Freestyle Centre

As its name suggests, this venue will be host to the Sochi Games’ freestyle skiing and snowboarding events.

Photos by: The Olympic Winter Games in Sochi in 2014

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7-23 February 2014, Sochi date 07/02 08/02 09/02 09/02 09/02 10/02 10/02 10/02 10/02 10/02 11/02 11/02 11/02 12/02 12/02 12/02 13/02 13/02 14/02 14/02 14/02 14/02 14/02 15/02 15/02 15/02 16/02 16/02 16/02 17/02 17/02 17/02 17/02 17/02 17/02 18/02 18/02 19/02 19/02 19/02 20/02 20/02 20/02 21/02 21/02 21/02 21/02 22/02 22/02 22/02

tv coverage (RTS)

time 17:00-20:00 15:20-16:55 07:50-09:00 16:00-19:00 18:25-20:15 07:50-09:00 12:00-13:00 14:55-16:00 15:50-16:50 18:55-20:15 10:30-11:20 13:30-14:15 18:25-20:00 07:50-09:00 16:45-20:03 18:00-20:33 13:30-16:00 14:50-17:00 07:50-09:00 12:20-13:43 14:40-15:50 16:00-20:28 18:25-19:30 07:50-09:00 13:30-16:00 18:25-20:00 07:50-10:00 15:50-17:00 18:00-20:33 07:55-09:00 10:25-11:30 14:40-15:50 16:00-19:38 18:10-20:00 18:25-19:15 07:55-09:30 11:25-13:03 07:55-09:30 11:25-13:00 09:00; 13:30 13:00-15:30 16:00-20:13 18:00-21:00 13:00-15:33 18:00-20:33 13:40-15:03 17:10-18:15 13:40-15:15 16:00-19:00 17:10-18:30

event Opening ceremony 10km biathlon (M. Petrović) (k4) Alpine skiing (m) – downhill (k1) Figure skating – team pairs free skating (m, w) (k1) Ski jumping (m) (K4) (15 minute break, 19:30-19:45) Alpine skiing (w) – downhill (k1) Alpine skiing (w) – slalom (k1) Freestyle skiing (m) (k3) 12.5km biathlon (m) (k2) Freestyle skiing (m) (k3) Nordic cross-country (w) (k2) Nordic cross-country (m) (k2) Ski jumping (w) (k1) (15 minute break) Alpine skiing (w) – downhill (k2) Figure skating – team pairs free skating (k1) Ice hockey (M) – czech republic vs. sweden (k3) Ice hockey (M) – slovakia vs. usa (k6) 20km biathlon (m) (k1) Alpine skiing (m) – downhill (k1) Alpine skiing (m) – slalom (k1) Freestyle skiing (w) – jumps (k1) Figure skating – free programme (m) (k4) Freestyle skiing (m) – jumps (k1) Alpine skiing (w) – super combined (K1) Ice hockey (M) – uSA vs. russia (k3) Ski jumping (m) (k3) (15 minute break) Alpine skiing (m) – super combined (k1) 15km biathlon (k1) Ice hockey (M) – finland vs. canada (k1) Snowboard cross (m) (k3) Snowboard cross (m) (k3) Freestyle skiing (m) Figure skating – free programme (m) (k3) Ski jumping (m) (k5) (15 minute break) Freestyle skiing (m) (k3) (recorded footage) Alpine skiing – downhill (w) (k1) (nevena ignjatović) Alpine skiing – downhill (w) (k1) Alpine skiing (m) – downhill (k2) (m. Vukičević) Alpine skiing (m) – downhill (k2) Ice hockey (M) – quarter final (two matches) Ice hockey (w) – bronze medal match (k3) Figure skating – free programme (w) (k1) Ice hockey (w) – gold medal match (k3) Ice hockey (M) – semi final 1 (k6) Ice hockey (M) – semi final 2 (k4) Alpine skiing (w) – slalom (k2) (nevena ignjatović) Alpine skiing (w) – slalom (k2) Alpine skiing (m) – slalom (k2) (m. Vukičević) Ice hockey (M) – bronze medal match (k1) Alpine skiing (m) – slalom (k2)

(If M. Vukičević gets to the final of the Alpine skiing, the transmission will be live, if not, recorded footage of bobsleigh will be shown)

22/02 22/02 23/02 23/02 23/02

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Sochi Olympic Games 2014

17:25-20:00 17:30-20:00 10:25-13:00 13:00-15:58 17:00-19:33

Bobsleigh – four-man (k3) Figure skating – exhibition (k5) Bobsleigh – four-man (k4) Ice hockey (M) – gold medal match (k2) Closing ceremony (k6)

Sochi 2014 by numbers

Athletes: 6,000 from 85 countries (plus 1,650 Paralympians from 45 countries)

Cost: At least US$50 billion, including infrastructure work in and around Sochi

Volunteers helping at the Games: 25,000

Expected television audience: 3 billion

Chefs, cooks, waiters, bartenders and cashiers working the Games: 7,000

Olympic Park capacity: 75,000

Average temperature in February: 8.3째C

Borscht soup expected to be served: 265,000L Sochi Olympic Games 2014

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Your 2014 Travel


If 2013 was an uncharacteristically busy year for you, you’ll no doubt have made resolutions to try to enjoy life and the world around you a little more in 2014. We all deserve a holiday from time to time, but should you be so inclined (and wealthy), why not treat yourself to 12? OK, so perhaps that might be a little unrealistic – we all have bills to pay, after all


till, we recommend following CorD’s guide to the top 12 travel destinations over the next 12 months, taking in different continents, scenery, activities and climates. We live in a diverse world and enjoy diverse tastes. For the sports fanatics out there, 2014 will give us the Winter Olympics and the football World Cup in Russia and Brazil respectively. For those seeking new culinary tastes, emerging gas-

tronomic destinations such as Cape Town and Hensinki might be more to your liking. Those looking for blissed-out relaxation can be whisked away to the beaches and quiet of Greece or French Polynesia. Music fans and hard-partiers, meanwhile, can stay local and dance the night away at this year’s Exit Festival double-header in Serbia and Montenegro. Whatever your preference, just get out there and enjoy the world. |

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Sochi, Russia The XXII Olympic Winter Games in Sochi (7-23 February) will be the first ever Winter Olympics in Russia. The Games are organised into two clusters: a coastal cluster in Sochi for ice events and a mountain cluster located in the Krasnaya Polyana Mountains, with around 30 minutes travel time between each. The Sochi Olympic Park has been built along the Black Sea coast in the Imeretinskaya Valley, while the mountain venues are an average 4km from the mountain sub-village. Apart from the Winter Olympics, Russia has prepared a huge cultural programme to be held at various locations around the Olympic Park. The programme includes a diversity of Russian culture: exhibitions, literary evenings and film screenings, with some of the world’s top orchestras and singers also scheduled to perform. These events will culminate in a performance by famed Russian conductor, violinist and violist, Yuri Bashmet. March

Cape Town, South Africa There’s never been a better time to visit Cape Town thanks to its proliferation of edgy boutiques, independent galleries and forwardthinking restaurants such as The Test Kitchen, where biltong (cured meat) is topped with plum-cured foie gras. Cape Town is fast becoming one of the world’s most intriguing holiday destinations, generating interest among tourists worldwide. The city has been designated the World Design Capital for 2014, with more than 450 events in the works. It also provides an opportunity to pay tribute to the late Nelson Mandela and visit Robben Island, where he spent 18 of the 27 years he was a political prisoner.


Prague, Czech Republic From 5 April until the end of the month, the Prague Easter Markets take place at the Old Town Square and Wenceslas Square. Beautifully decorated wooden huts display local handicrafts and all manner of food and drink. Stalls offer wooden toys, intricate glassware, candles, jewellery, metalware, embroidered lace, puppets, dolls in traditional costume and brightly coloured hand-painted Easter eggs. There are hot sausages and large hams on spits, along with delicious local pastries to sample, plus ice-cold Czech beer and mulled wine. The markets are open daily.


Little Corn Island, Nicaragua For starters, the fresh lobster is cheap, the hammocks plentiful and the pace blissfully slow. This bite-size island (just over 1.5km²) is located some 90km off the Nicaraguan coast and can be easily walked or cycled around, making it a breeze to reach snorkelling beaches such as Cocal. The new Yemaya Island Hideaway & Spa offers 16 ocean-facing cabanas sandwiched between two stretches of sand and morning yoga sessions. If you’re awake, that is. And as you’re already in the region, extend your stay in the Americas by popping to Brazil for the World Cup… 72 |

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Rio de Janeiro, Brazil All eyes are on the host of this year’s football World Cup (12 June-13 July), where a citywide rejuvenation effort has infused Rio’s neighbourhoods with newfound energy. Once-derelict Lapa, for instance, now reverberates far into the night with samba’s percussive beat at venues such as Carioca da Gema. And the artsy district of Botafogo, with its views of Sugarloaf Mountain, has become a gastronomic hub. “My go-to place for modern Brazilian cuisine is Iraja Gastro, run by chef Pedro de Artagao,” says furniture designer Sergio Rodrigues, whose studio is in Botafogo. “Get the pirarucu fish with sautéed banana.” On the football side, 12 host cities have been selected, with Rio de Janeiro’s famous the Estádio do Maracanã, which holds the attendance record for a World Cup Finals match (199,854), staging the final. July

Novi Sad, Serbia & Budva, Montenegro One adventure, two countries, seven days, countless memories. If you love music festivals, four days are not enough to celebrate the 15th edition of the Exit Festival in Novi Sad, Serbia. Instead, Exit is inviting revellers on a seven-day adventure in two different countries! The first part will be held, as ever, at the Petrovaradin Fortress in Novi Sad on 10-13 July, after which the party moves on to one of the Adriatic’s most beautiful beaches in Montenegro (15-17 July). With the main stage and campsite at Jaz Beach, the festival finally gets its ‘sea’ edition, officially named Sea Dance Festival. So, get ready for a road trip and enjoy a diverse range of artists over seven unforgettable nights spent with your pals in the sizzling hot Balkan sunshine.


Helsinki, Finland Finland’s thoughtful aesthetic tradition has influenced Helsinki’s recent wave of innovative thinkers and avant-garde landmarks. In May 2013, Kulttuurisauna, the first public sauna to open in decades, made its debut on the Helsinki waterfront. With a minimal carbon footprint and sturdy tree-trunk columns, the building is a spare, primitive temple to communal bathing. Finland hasn’t received the same attention Denmark and Sweden have for New Nordic cuisine, yet Helsinki’s chefs and foragers are every bit as active and adventurous. Splurge on a multi-course journey at Olo restaurant and prepare for fresh seasonal dishes such as cauliflower with Finnish caviar, lamb and beetroot, and organic liquorice, white chocolate and black currants for dessert.


Pelion Peninsula, Greece The hilly Pelion peninsula confounds every preconceived image of Greece with its abundant fruit trees, dense forests and water gurgling up from fountains and aqueducts. Summer temperatures here can be a good 5°C cooler than on the baking plains nearby. Pelion is very popular with Greek tourists and more discerning foreign visitors drawn to its pretty villages, excellent beaches and hiking routes. The peninsula is dominated by Mt. Pelion (1651m), below which lie villages linked by cobbled paths. The far south, relatively low-lying and sparsely populated, has just two major resorts: Plataniás and Milína, places where you can find real peace, clear waters, friendly hosts and plentiful fish caught just hours before serving. |

112 February 2014 | 73


Palermo, Italy While Sicily’s allure is undeniable, its capital is less universally loved. But some recognise Palermo as a European destination on the rise in 2014. Here are five compelling reasons to visit: 1) Wine tasting is surprisingly sophisticated; 2) Some of Italy’s best street food can be found at the joyfully chaotic markets Ballarò, Il Capo and the legendary Vucciria; 3) The western suburb of Mondello, with one of Sicily’s most idyllic seaside villages and probably its best seafood restaurants; 4) Low-key, independent hotels are the rule, not the exception; 5) There’s art to see that’s not 500-plus years old – for example, at GAM, 19th- and 20thcentury Italian masters are mixed with high-profile living artists.


Tetiaroa, French Polynesia Just 60km northeast of Tahiti, the atoll of Tetiaroa has 12 motus (islets) so gorgeous they were once a retreat for Polynesian royalty. And then came Hollywood: Marlon Brando filmed ‘Mutiny on the Bounty’ there in the 1960s, fell in love and bought every last bit of sand. Privacy is still the priority on 78-hectare Onetahi, which is now a Brando resort. In keeping with the late actor’s wishes, the 35-villa property also focuses on conservation, with its EcoStation, sustainable energy systems and an organic orchard. Charter a sailboat to explore the 4.5km-wide lagoon, then strand yourselves for a few hours on one of the 11 uninhabited islets. December

Iceland The Ion Hotel’s proximity to Thingvellir National Park means you can fish on Iceland’s largest natural lake and then let the hotel’s chef cook your catch. The bar has dimmable lights and wraparound windows for aurora borealis viewing – and 2014’s promises to be spectacular. According to NASA, the Northern Lights will reach the peak of an 11-year solar cycle in December 2014. This year, storm chaser George Kourounis will lead travellers on an eight-day Kensington Tours itinerary, which includes volcano hikes, glacier treks and zodiac safaris. January 2015

Kopaonik, Serbia Once you’ve toured the globe and returned to Serbia, the place where you’ll want to meet your friends is Kopaonik. This mountain resort gets better every year. All of the mountain’s tracks are well connected, so there’s no need for walks or skibuses to see a familiar face from the office or your neighbourhood. Ski from one slope to another or circle the whole mountain, enjoying its beautiful evergreen forests or, if the sky is clear enough, the amazing scenery found on the horizon. 74 |

112 February 2014 |

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112 February 2014 | 75

chill out a state-of-the-art, US$280,000 McLaren MP4-12C. It joins the Dubai police’s garage, which is filled with the world’s most expensive patrol cars: a Lamborghini, an Aston Martin, a Bentley, a Ferrari and a Chevrolet. Every one of these cars can comfortably exceed 300km per hour, making them almost impossible to outrun.

World’s Most Expensive Police Car Fleet The latest version of the Dubai police fleet is so impressive, people are begging to be arrested and taken for a ride. Civilians are even stopping to take photographs of the police cars as they pass by. The latest addition to the fleet is

Niagara Falls Freezes Tourists have been flocking to Niagara Falls after the polar vortex gripping North America caused the natural wonder to partly freeze. It might not have frozen over entirely, but Niagara Falls has become an icy spectacle thanks to the blast of cold weather that sent temperatures plunging across the US at the start of last month. The larger Horseshoe Falls continues to flow unimpeded.

Giant Squid Found off Japanese Coast Fisherman Shigenori Goto was surprised to find the 4m beast swimming in one of his fixed nets some 70m underwater off the coast of Sadogashima island. After it was brought to the surface, the giant squid – later found to be male – died. It was then taken to the local government marine research institute in Niigata for study. Giant squid are rarely seen due to the depths at which they live. The first footage of a live adult was not taken until 2002 and the largest one recorded by scientists was almost 13m long.

Cows Squeezed into Back of Car Four cows were squeezed into a car after a gang of rustlers went on a bizarre cattle drive. The drivers used a blowpipe to drug the animals before loading them into the rear and boot of their getaway vehicle. But they must have come up with the plan on the hoof 76 |

112 February 2014 |

because the car soon broke down under the weight of their quarry. The vehicle was found abandoned just 10km from a cattle farm in Bukit Mertajam, Malaysia, with the animals still dazed and confused in the back. Deputy Police Chief Chin Soo Song said: “The men drove away from the farm but their car broke down, forcing them to abandon the vehicle and its booty.” The rustlers are still on the run.

Woman Runs 500km in 86 Hours without Sleep Mother-of-four Kim Allen, a 47-year-old ultra-distance runner from New Zealand, has broken the world record for running the longest distance without sleep. She surpassed the previous record of 486km (set by American Pam Reed in 2005) by running for a whopping 500km. It took her 86

hours, 11 minutes and nine seconds of nonstop running to complete the challenge. After completing the feat, she said: “It’s all a bit surreal at the moment.” This wasn’t Allen’s first attempt; she tried to beat Reed’s record last year but could only manage 370km before she had to stop. This time, however, she achieved her goal at a cost of blistered feet and swollen ankles.

Island Made Almost Entirely of Clam Shells Joal-Fadiouth is a small fishing village located at the far end of Petite Côte, a stretch of coast in Senegal. Joal is situated on the mainland and Fadiouth is a special island just off the coast – special because it is almost entirely covered by clam shells. For centuries, inhabitants of Fadiouth have been harvesting molluscs. They scoop out the meat and use the shells to construct almost anything, even the island itself. The millions of shells accumulated over the years have been held strong by the roots of mangroves, reeds and giant baobabs. Empty shells even litter the streets, meaning you can hardly step anywhere on Fadiouth without hearing a cracking sound underfoot.

Computers Change the Way We Learn Researchers claim that computer users’ regular pointing and clicking (the average user performs 7,400 clicks per week) changes the way the brain generalises movements. “Computers produce this problem that screens are of different sizes and mice have different gains,” says Konrad Kording of Northwestern University and

Actor Bernard Hill with developer Su Shaojun

China to Build Titanic-themed Theme Park

A new Chinese Titanic-themed theme park will include a life-sized replica of the ocean liner that will simulate the doomed ship’s sinking. Su Shaojun, Chief Executive of Seven Star Energy Investment Group, which is funding the project, says the attraction will give visitors a harrowing sense of the 1912 disaster. The theme park is to be built in landlocked Sichuan province, 1,500km from the nearest ocean. The replica ship will cost US$165 million to build and simulation technology will allow several hundred people at a time to experience what the shipwreck was like. Actor Bernard Hill, who played Captain Edward Smith in the 1997 Oscar-winning movie about the disaster, flew to Hong Kong to show his support for the replica. It is expected to open in 2016.  Source: Tanjug the Rehabilitation Institute of Chicago. “We want to quickly learn about these so that we do not need to re-learn all possible movements once we switch to a new computer. If you have broad generalisation, then you need to move the mouse just once, and there you are calibrated.” According to the researchers, computer use affects the neural representation of movement. These findings might have important real-world implications for people undergoing physical rehabilitation. |

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Exercise gear

Best Fitness


Believe it or not, in a few weeks you’ll find the mornings getting brighter, temperatures rising day by day and greenness emerging in the parks. All of which can mean only one thing: spring is coming. This is the time for you to kickstart a new fitness routine – after all, it’ll be summer before you know it. It might seem a little early to be talking summer bodies, but as far as fitness is concerned, too early is better than too late. Here is CorD’s guide to the latest fitness gadgets for 2014, whether you’re looking to shift a few kilos or just stay in shape

Griffin Adidas MiCoach Armband Price:€24.00 If you’re using your smartphone while you exercise, whether it’s to track your activity or just listen to music, it’s worth getting an armband to keep it in. Having a phone strapped to your arm might feel a little awkward at first, but it makes it easy to see the screen, change songs or check your exercise statistics without fumbling in your pocket. This one from Griffin works nicely and is available for a range of devices.

Jawbone UP Price:€110.00 The UP helps you understand how you sleep, move and eat, so you can make smarter choices. The new UP app displays movement and sleep details from your UP24 or UP band and delivers insights, celebrates milestones and challenges you to make every day better. You can also share accomplishments with friends via the app. 78 |

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Sportline HydraCoach Intelligent Water Bottle Price:€19.00 It’s common knowledge that staying hydrated is key when working up a sweat. To be sure you’re getting just the right amount of H2O your bod needs, the Sportline HydraCoach Intelligent Water Bottle measures your daily consumption and then ensures you’re getting the energy boost that only agua can provide.

Reebok CrossFit Lifter Price:€110.00 The CrossFit geniuses at Reebok have taken their technology to the next level with a shoe that easily customises to your feet. Simply pop the Reebok CrossFit Lifter in an oven preheated to 200 degrees (yes, you read that right) and heat for three minutes until the U-Form tab turns red. Then take the shoes out of the oven, lace up as you would normally and wear the kicks while seated for eight minutes. Even with this crazy customisation, the shoe weighs in at just 380g.

Nexersys Home Unit for Boxing Price:€1,180.00 Step out of the ring, boxing champs, because this stateof-the-art fitness gadget will have you knocking ’em out in the middle of your living room. The Nexersys Home Unit for Boxing has seven strike pads and a trio of axis accelerometers, so you can jab and hook with ease. The monitor stays on top of your accuracy, power and strike counts, so you can keep improving your pugilistic skills. A real KO.

Amiigo Fitness Bracelet Price:€200.00 A fitness app and lightweight plastic bracelet (with detachable shoe-clip) that can identify the type of exercise you’re doing and tell you how well you’re doing it as you’re doing it, all thanks to a variety of sensors that analyse how your body responds as you run, bike, swim (yes, it’s waterproof) or any other exercise you might care to partake in.

Pioneer SE-D10E Headphones Price:€71.00 Pioneer has launched two new headphones with a flexible and durable build quality ideal for most extreme sports. Either of the SE-D10E STEEZ or SE-E721 headphones are the ideal exercise accessory for anyone who desires robust on-the-go music-playing capabilities with high-quality audio. Built with movement in mind and available in a variety of styles, the two pairs are designed to deliver great sound no matter how rough-and-tumble your sport is. |

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Garmin Edge 800 GPS Cycle Computer Price:€400.00 This touchscreen cycling computer has GPS navigation with built-in maps and is designed to withstand bad weather as well as bumps and knocks. As well as helping with navigation, the Edge 800 tracks data about your ride, including distance, speed and elevation. It’s also compatible with many heart rate monitors, power meters and cadence sensors for those who want more detail.

Hapilabs Hapifork Price:€72.00 The Hapifork tracks how quickly you’re gobbling up your dinner and alerts you using indicator lights to notify you on your speed. It even tallies how long it takes you to finish a meal, how many servings you’re opening wide for, and takes note of the intervals between each bite. Stick a fork in your days of overactive eating: they’re officially done.

J-Fit Digital Jump Rope Price:€11.00 The old-school skipping rope gets a makeover, and it’s no longer just for the playground. The J-Fit Digital Jump Rope measures how many skips you’ve taken, meaning you can save your breath from counting them out loud. Just focus on your rhythm and you’re on your way to beating your last high score. Jump to it!

Nike+ Sportwatch GPS Limited Edition Price:€123.00

Fitbit Aria One Price:€122.00 After connecting this scale to your home wireless network, your weight is recorded on your Fitbit account as well as being shown on the display. Its glass surface contains electrodes that send a pulse through your body to measure your fat percentage, from which it can calculate your Body Mass Index. All information can be viewed on the Fitbit Dashboard via your web browser or the dedicated iOS app, and up to eight people can register an account and share the same set of scales. 80 |

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The Nike+ Sportwatch GPS Limited Edition offers all the features of its TomTom-powered brethren, including tracking your time, distance, pace, heart rate, calories burned and NikeFuel, as well as the ability to upload your accomplishments to

BMC Alpenchallenge AC01 Deore/SLX 700c Hybrid Bike Price:€1,370.00 The BMC Alpenchallenge AC01 Deore/SLX 700c 2012 Hybrid is for riders looking for a bike to take with them everywhere – fast enough for the road and strong enough for the mountains. Frame: iSC alloy, triple-butted, hydroformed; Fork: Alpenchallenge disc concept alloy; Gears: Shimano Deore shifters, Shimano XT front mech, Shimano SLX rear mech, Shimano T551, 2-piece external BB chainset with 48-36-26 tooth chainrings, Shimano HG62, 11-34 cassette, 30 gears.

Kangaroo Water Bottle with Storage Compartment Price:€9.00 Convenient one-handed drinking at the push of a button and storage for your stuff by Contigo. No spouts to open or lids to remove – simply press the button to drink and release again to seal automatically. If you’re running or hiking, there’s no need to bring extra gear, this has you covered for keys and a credit card or two.

Venture Canoes Ranger 14 Price:€760.00 Serbia has many beautiful rivers and lakes, so here is the ideal purchase for those who enjoy exercising on water. The Ranger 14 canoe can be used both on moving and flat waters and is best enjoyed on lightweight trips when used tandem. But it can also be paddled easily as a solo canoe, and on longer journeys as well.

MotoActv Price: (from) €108.00 Motorola’s Actv is a little touchscreen square that looks like a sixth-generation iPod Nano – and it acts like one too. Not only can it track your location and keep tabs on your heart rate and activity level, it can also store and play MP3s, send texts and check for weather updates. The Actv uses built-in GPS to determine your distance travelled during runs or bike rides, and sensors to measure calories burned during any workout.

Blue Goji Price:€72.00 Sometimes finding motivation to work out is harder than the actual workout itself. If you would rather play videogames instead of walking on a treadmill, pedalling on a stationary bike or an elliptical machine, the Goji Play from Blue Goji will get you moving and burning calories as you have fun playing games on your iPad, iPhone or iPod Touch. |

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Spring 2014

Making Spring Cleaner

After several seasons of riveting bold colours and experimental silhouettes gone awry, good taste is back in style. Garish trims are gone, as are fussy, frivolous, far-out shapes. Spring’s silhouettes are easy and comfortable – much like your favourite sportswear. A major trend for next spring, both sophisticated and practical, will see people taking a sporty bottom and wearing it with a structured jacket. Next spring is shaping up to be a fresh start for fashion with effortless yet interesting, modern clothes, finally laying to rest those traces of over-produced, over-hyped retro rehashes.



Butterfly Scarf A vibrant vortex of colour mesmerises the eye on this silky scarf finished with eyelash fringe.

Burberry Brit Copford Quilted Jacket

Bow Keeper Loop Belt




With classic quilting, the Burberry Copford jacket lends iconic style that goes hand in hand with practicality. In a timeless silhouette, this piece maintains staple status.




MCM Large Zip Wallet Beautifully finished in rich, textured leather, finished with polished metal hardware. A chic accessory to complement an MCM handbag.

Armani Jacket With a look fresh off the runway, Armani Collezioni’s striped jersey jacket flaunts a high-fashion, forwardfeeling silhouette.

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Armani Collezioni Pants – Straight Leg Armani Collezioni reinvents the essential LBP in a super-sleek, straight leg silhouette with easy-fit fabric.

82 |

This adorable waist belt features bow loop details across the body. The piece features a metallic buckle fastening.









Vince Tunic Dress

Marc by Marc Jacobs Hobo Marc by Marc Jacobs’ lush leather hobo is daytime ready. Boasting a chic shape and ample square footage, this bag is designed to handle the essentials, plus plenty more.

A geometric print exaggerates the fluid drape of a V-neck tunic generously cut from pure silk.

Rolled Skinny Jeans



Warm winter white relax-fit skinny jeans finished by laidback cuffed hems.

Chan Luu Five Wrap Bracelet Paint the town red in this brown leather wrap bracelet from Chan Luu, flaunting beautiful crystals and metallic nuggets for a shot of sparkle.

Crystal Cat Eye Sunglasses



Esthwaite Snakeskin Sandal

Demi Sweater

In exotic snakeskin and multi-jewel colours, Nicholas Kirkwood’s Esthwaite sandals will make an alluring addition to your footwear collection.



These chic sunglasses from Bvlgari have been inspired by the label’s extraordinary jewellery design. In black acetate with metal arms, their beautiful finish features crystal flowers at the temples.

A smart knitted long-sleeve sweater with crew neck and contrast sleeves.

price: price:



Chloé Multi Bouclé Sweater A short, slouchy knit that comes styled with a wide neck and long raglan sleeves. Pull on with jeans or softly tailored trousers for an effortless daytime look.



Max Mara Blazer – Basco Suit up with this menswearinspired Max Mara jacket in a rich burgundy hue.

Maiden Blouse The Maiden Blouse is a long-sleeved chiffon top with wrist cuffs and fabriccovered buttons. |



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Keep Cool with a Spring in your Step price:

€ 125

Polo Ralph Lauren Shirt

This timeless dress shirt is a wardrobe essential. Classic features include long sleeves with barrel cuffs, a pointed collar and a button placket, for a shirt that will never go out of style.

Most men’s collections this spring have gone for a look that is casual, athletic and preppy. Elsewhere, there are also printed pants, leather jackets and suits thrown into the mix, suggesting that men’s style will be a lot more relaxed as the sun starts to shine once more. Walk the line between the two approaches with a few items and styles available for purchase in Belgrade or elsewhere in Europe.


Salvatore Ferragamo Abramo Suede Wingtip Oxfords

€ 727

Exceptionally crafted in colourful suede, this striking wingtip balances tradition with modern trends. Another step in the right direction from the inimitable Salvatore Ferragamo.

price: price:

€ 35

€ 47

Paisley-Patterned Tie

Premium Cotton Shirt

Paisley-patterned tie with V-shaped ending.

Tateossian Silver Click Leather Bracelet


€ 190

A long strand of coloured leather cord wraps around the wrist to create this handsome bracelet from Tateossian. Finished with a rhodium-plated silver click clasp, it will lend subtle polish to every look.

Leather Oxford Shoes Lace-up leather Oxford shoes with rubber sole.

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Slim-fit cotton shirt: spread collar, button fastenings through front, long sleeves and two-button notched cuffs.

Tweed Suit Waistcoat



€ 35

€ 72 price:

€ 120

112 February 2014 |

A premium tweed suit waistcoat crafted in a wool-blend fabric. Button fastenings through front, three welt pockets and adjustable strap at back.

Leather Suit Belt

Leather suit belt with buckle fastening and double keeper.

Leather Satchel


Made from premium smooth-grain leather, this is a classic design with a two-buckle closure, adjustable strap and front and profile pockets.

€ 191


€ 358

Kevin-brooks Wool Blazer Tommy Hilfiger midnight blue blazer, fully lined, with two-button placket, side vents and flap pockets.

Printed Handkerchief


€ 54

Slim-fit cotton shirt, button-down collar, button fastenings through front, patch pocket at chest, long sleeves and two-button rounded cuffs.


Printed Handkerchief

€ 47

Twin pockets on the sides, coin pocket and twin welt button pockets at back, with belt loops, hook and zip fastening. price:

€ 12

Georg Jensen Koppel Leather Watch

Slim-fit cotton shirt, button-down collar, button fastenings through front, patch pocket at chest, long sleeves and two-button rounded cuffs.

Double-Keeper Belt Suede adjustable belt with buckle fastening and double-keeper.


€ 35


€ 1184

Georg Jensen’s Koppel watch is a standout piece with a brown leather strap and polished stainless steel case. Chronograph sub-dials lend increased functionality, while Swiss-made three-hand quartz movement ensures quality is never sacrificed for impeccable style.

Leather lace-up blucher with brogueing details and rubber sole.

Slim-Fit Pocket Oxford Shirt

Premium Cotton Chinos

Paisley print pocket handkerchief in a fluid fabric.

Brogueing Leather Blucher

€ 54



€ 119


€ 1663

Dolce & Gabbana Leather Moto Jacket Ruggedly textured leather and stitched shoulder patches beef up an Italianmade jacket with lean biker style. |

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In Love with

the Law

Practising law is an all-consuming affair. To work as a attorney at law means to want a dynamic, demanding and stressful – but also incredibly interesting – job and career


Jelena Gazivoda Senior Partner at law office JPM (Jankovic, Popovic & Mitic)

began my career as an intern at Belgrade County Court, lifestyle too. To be a attorney at law means really wanting to followed by my research and development work and posthave a dynamic, demanding and stressful but also a very ingraduate studies at the University of Cambridge’s Faculty teresting job. of Law. I have been a member of task forces in charge of draftThis job has many personal aspects: clients need to trust ing business, economic, insurance and bankruptcy laws, as me, and I must have a thorough understanding of their probwell as an associate in drafting several law commentaries. lems. Sometimes you can just feel what is about to happen I have also worked in consultancy and have been a consultant and what they are going to ask you to do. You need to be there for the EBRD. I joined law firm Law Office Jankovic, Popovic & for clients all the time, whenever they need you most. You Mitic in 2006 and was made partner and subsequently senior need to be a good listener, measured when asking questions, partner in 2008 and 2012 respectively. I practise corporate and never keep mum on important things and know to sometimes contract law, mergers and acquisitions (M&A), energy, insurpick your words carefully. Having intuition is expected of you. ance and PPP. I am also a certified bankruptcy administrator. In negotiations, being intuitive is your most powerful weapWhen I started practising law, some older and wiser peoon. You need to feel the moment when you can turn things in ple told me that practising law was a ‘blind alley’. I didn’t fully comprehend the meaning of Being successful at one’s job also depends on this phrase as I had been so in love with law, the people you work with, the way you cooperate having decided I wanted be a attorney at law at with them, bring the best out in each other and very young age in order to continue a severalencourage each other to do more and better generations-long family tradition. I have challenged myself in every job I have had, which is typical of youth, ambition and my inquisitive spirit. your client’s favour and seize upon it. Being a attorney at law is a complex vocation. It requires Although practising law is a job for an individual, the comseveral things to be done simultaneously and continuously: plexity of the tasks I am involved in at Law Office Jankovic, you have to be dedicated to your work; accountable for what Popovic & Mitic always requires teamwork. Being successful you do; closely follow amendments to regulation and court at one’s job also depends on the people you work with, the practices; understand the system we live in and the direction way you cooperate with them, bring the best out in each othin which we are heading; understand client needs; think on er and encourage each other to do more and better. I think your feet; be cautious in what you do; observe deadlines; have our expectations of others should not be bigger than the exan open mind; be tolerant towards people; be inventive when pectations we have of ourselves, as that is only fair. At work, seeking solutions; exercise flexibility and determination; conapart from being consummately professional, it is equally imtinuously improve yourself, both privately and professionalportant to be a good human being because that is reflected ly; foster good relations with your associates and opposing upon everything you do. Continuous personal growth is as counsel; and, of particular importance, understand that every important as professional growth. new day brings an opportunity to learn something new, to do In life I draw balance, stability and energy from fine arts, something and become someone better without feeling the painting, travelling, learning foreign languages and the ‘databurden of things that happened yesterday nor fearing what base’ of wonderful people I have met all over the world. I also tomorrow brings. Practising law is not only a vocation, but a like to find true happiness in small things. ■ 86 |

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CorD Magazine 112  
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