{"id":13403,"date":"2014-10-24T10:23:09","date_gmt":"2014-10-24T10:23:09","guid":{"rendered":"https:\/\/libek.rs\/?p=13403"},"modified":"2021-07-30T10:32:01","modified_gmt":"2021-07-30T10:32:01","slug":"way-out-of-abyss-serbian-public-sector-is-the-most-inefficient-in-central-and-southeast-europe","status":"publish","type":"post","link":"https:\/\/libek.rs\/en\/news\/way-out-of-abyss-serbian-public-sector-is-the-most-inefficient-in-central-and-southeast-europe\/","title":{"rendered":"Way out of abyss: Serbian public sector is the most inefficient in Central and Southeast Europe"},"content":{"rendered":"<p>At Way Out of Abyss panel, first one at \u201eFreedom and Reform\u201c conference held at hotel Metropol, catastrophical condition of Serbian public finances was noted and an appeal was made for an urgent reform. Research done by Libek was presented, concerning public sector efficiency. Panel was moderated by Biljana Stepanovi\u0107, from\u00a0<em>Nova Ekonomija<\/em>\u00a0magazine.<\/p>\n<p><strong>Mihailo Gaji\u0107<\/strong>, program director of Research Department at Libek, presented the research on public sector efficiency in (post)transitional countries. Countries that have become members of EU since 2004 were processed, candidates and potential candidates from the Balkans, as well as Turkey. \u201eSerbia with 0.74 percentage points, in regard to 1 which is average \u2013 finishes last concerning public sector efficiency among specified countries\u201c, stated Gaji\u0107. Research which is available at our website also shows that by increasing public sector efficiency major fiscal savings are possible without reduction in quality of public services currently provided to citizens.<\/p>\n<p><strong>Vladimir Vu\u010dkovi\u0107<\/strong>\u00a0from Fiscal Council stated that in 2014 budget deficit will be around 8% of GDP, public debt will go over 70% GDP, and that no fiscal consolidation occured. \u201eRole of the state is to reduce bureaucracy and increase capital investments. Public companies are a major problem on which all savings from reductions in payroll will be spent\u201c, said Vu\u010dkovi\u0107 and added that everything from solidarity taxes was spent for penalties that state has to pay for outstanding liabilities.<\/p>\n<p><strong>Joe Lowther<\/strong>, director of USAID for Business Enabling Project said that economic growth is indispensable for increases in income side of the budget and employment. \u201eGrowth comes from the private sector and from increase in productivity. Good business environment is very important for increase in productivity in private sector. In Serbia regulation is at a high level on all indexes \u2013 Serbia is at 140 of 144 by WEF index of state regulation, and by USAID BEP model 3,7% of GDP of Serbia is wasted due to regulations and bureaucracy\u201c, stated Lowther.<\/p>\n<p><strong>Du\u0161an Korunoski<\/strong>, special adviser to the Minister of Economy stressed that labour levies directly effect economy\u2019s competitiveness, and with it employment. Korunoski announced that in mid-term the Ministry will publish an action plan for cutting down labour taxes.<\/p>\n<p>Representative of NALED,\u00a0<strong>Jelena Bojovi\u0107<\/strong>, presented results of researches that they have conducted. \u201eAttitude of businessmen is that every second employer in their sector does not register their employees. This shows a complete lack of trust in the state, judiciary and other institutions. Eighty percent of businessmen think that the state is not managing its resources in a proper way. Thirty percent had to lay off workers in the previous year. There is a tendency of constant fall of productivity and growth of grey economy.<\/p>\n<p>Economist\u00a0<strong>Aleksandar Stevanovi\u0107<\/strong>\u00a0assessed that the state is incompetent in its own basic functions, such as judiciary and policing, let alone investing or solving other problems, as well as that it is very troubling when the state endures as an instrument of satisfying its clients and friends of the authorities.<\/p>\n<p><strong>Bojan \u0110uri\u0107<\/strong>\u00a0from the Reform Council said that people in Serbia constantly vote for big government on elections. \u201eCompetent people have no motivation to work in the public sector which is immensely bizarre at every step. Chaos in the public sector is spilling over to the political sector\u201c, stated \u0110uri\u0107 and added that insisting on pay reductions for politicians and experts in the public sector is demagogy \u2013 \u201eYou cannot expect that competent, motivated people can come to those positions if they are underpaid\u201c.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>At Way Out of Abyss panel, first one at \u201eFreedom and Reform\u201c conference held at hotel Metropol, catastrophical condition of Serbian public finances was noted and an appeal was made for an urgent reform. Research done by Libek was presented, concerning public sector efficiency. Panel was moderated by Biljana Stepanovi\u0107, from\u00a0Nova Ekonomija\u00a0magazine. Mihailo Gaji\u0107, program [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":12442,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[161],"tags":[],"class_list":["post-13403","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v16.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Way out of abyss: Serbian public sector is the most inefficient in Central and Southeast Europe - Libek<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/libek.rs\/en\/news\/way-out-of-abyss-serbian-public-sector-is-the-most-inefficient-in-central-and-southeast-europe\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Way out of abyss: Serbian public sector is the most inefficient in Central and Southeast Europe - Libek\" \/>\n<meta property=\"og:description\" content=\"At Way Out of Abyss panel, first one at \u201eFreedom and Reform\u201c conference held at hotel Metropol, catastrophical condition of Serbian public finances was noted and an appeal was made for an urgent reform. Research done by Libek was presented, concerning public sector efficiency. Panel was moderated by Biljana Stepanovi\u0107, from\u00a0Nova Ekonomija\u00a0magazine. Mihailo Gaji\u0107, program [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/libek.rs\/en\/news\/way-out-of-abyss-serbian-public-sector-is-the-most-inefficient-in-central-and-southeast-europe\/\" \/>\n<meta property=\"og:site_name\" content=\"Libek\" \/>\n<meta property=\"article:published_time\" content=\"2014-10-24T10:23:09+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-07-30T10:32:01+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/libek.rs\/wp-content\/uploads\/2021\/06\/skupstina-parlament-560x416-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"560\" \/>\n\t<meta property=\"og:image:height\" content=\"416\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"ptysn0\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebSite\",\"@id\":\"https:\/\/libek.rs\/#website\",\"url\":\"https:\/\/libek.rs\/\",\"name\":\"Libek\",\"description\":\"Slobodni i odgovorni\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/libek.rs\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/libek.rs\/en\/news\/way-out-of-abyss-serbian-public-sector-is-the-most-inefficient-in-central-and-southeast-europe\/#primaryimage\",\"inLanguage\":\"en-US\",\"url\":\"https:\/\/libek.rs\/wp-content\/uploads\/2021\/06\/skupstina-parlament-560x416-1.jpg\",\"contentUrl\":\"https:\/\/libek.rs\/wp-content\/uploads\/2021\/06\/skupstina-parlament-560x416-1.jpg\",\"width\":560,\"height\":416},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/libek.rs\/en\/news\/way-out-of-abyss-serbian-public-sector-is-the-most-inefficient-in-central-and-southeast-europe\/#webpage\",\"url\":\"https:\/\/libek.rs\/en\/news\/way-out-of-abyss-serbian-public-sector-is-the-most-inefficient-in-central-and-southeast-europe\/\",\"name\":\"Way out of abyss: Serbian public sector is the most inefficient in Central and Southeast Europe - 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