The Economic Reform Program (ERP), as one of the most important strategic documents in the economic dialogue between the European Union (EU) and candidate countries, its role, implementation and improvement in Serbia, was the topic of a meeting held in Belgrade today as part of the project “Prepare for Participation” conducted by the Center for European Policies (CEP), NALED, the Center for Contemporary Policy (CSP) and the EWB.
The coordinator of the National Convention on the European Union (NKEU), Natasa Dragojlovic, pointed out on this occasion that the ERP is the most important instrument for monitoring the situation in the economy, to see all sectors, as well as how the government intends to develop them and what budget funds are intended.
She mentioned that Serbia does not have a development strategy that would be an umbrella document and a guideline for all departments and sectors on how to set and create their goals, and to strengthen the performance of our economy and accelerate economic development, significantly increase the rate of economic growth and protect some vulnerable groups.
– It is important that we have as many such documents as possible that the public can follow and that make the economy certain, but that document is by no means a substitute for the development strategy of Serbia that should be adopted and harmonized with EU strategies – Dragojlovic pointed out.
Dragojlovic also pointed out the importance of the civil sector in the development of the ERP, whose job, as she says, is to measure the effects of measures, “which will be a challenge in 2020 because the fact that some of the crisis measures are caused by the Covid virus must be taken into account”.
– The Convention prepared a special report only for the period of the state of emergency when the Government of Serbia created special incentive measures for the economy, and it will be seen what the effects of those measures are – she states.
She added that it is important to “harmonize strategic goals when it comes to the economy, ecology, innovations, digitalization with the EU, which is the largest and most important economic partner of Serbia.”
As announced at the meeting, the publication of the ERP monitoring report for 2019, which should be published immediately before the EC report on the candidates, is expected on October 6.
Jelena Rancic from NALED said that 13 reforms were analyzed within the monitoring for 2019, and noted that two more are being worked on.
As she points out, since this year was marked by a pandemic, in the new cycle of ERP development, the emphasis will be on structural reforms that minimize or mitigate the negative effects of the Covid crisis.
– The greatest emphasis must be on ensuring public health, then employment, assistance in the sector of small and medium enterprises, as well as structural reforms related to digitalization and greater accessibility of eGovernment to citizens – said Rancic.
Verica Ignjatovic, Assistant Minister from the Ministry of Finance, pointed out that “ERP reflects what is happening in the EU” and that the program coincides with the “European Semester” which coordinates economic policy in the EU.
She also points out that structural reforms are the most important for fulfilling the basic goals of the ERA, such as strengthening competitiveness, economic growth and employment growth.
Let us remind you, ERP was adopted by Serbia for the first time in 2015, and it is a “rolling” document, in which each new development cycle should to some extent represent continuity in the area of priorities.
The ERP is adopted every year, with development projections for the next three, and the seventh development cycle is currently underway, for the period from 2021 to 2023.
The drafting of the ERP begins in June, when the European Commission gives guidelines to the candidates, and ends in February next year, when the document is adopted by the government and sent to the European Commission. The EU Economic and Financial Affairs Council (ECOFIN) is reviewing the ERP and adopting recommendations for a new one.
The line ministries and institutions gathered in the Working Group for drafting and monitoring the implementation of the document participate in the drafting of the ERP. Representatives of civil society, the professional public, the business community and members of the National Assembly can comment on the drafting of the ERA.
Due to the pandemic in May this year, ECOFIN gave Serbia numerous recommendations, including measures to preserve employment, increase capital spending to accelerate growth, provide support to micro, small and medium-sized crisis-affected countries, strengthen the health system, and continue implementing public sector wage reforms, eKapija reports.
