Regional leaders declared investment in knowledge, innovation, and technology the backbone of future economic growth during a panel in Budva. They also called for deeper public-private collaboration to unlock productivity and competitiveness across the Balkans.
The session, titled Improve. Empower. Integrate: Industrial Transformation as a Path to EU Convergence, took place at the Montenegro 2026 Economic Conference. The Chamber of Commerce of Montenegro organized the event in partnership with the United Nations Development Program.
Steliana Nedera, Director of the UNDP Istanbul Regional Hub, moderated the discussion. She argued that the region must channel resources into skills, education, and technology to raise productivity and generate higher-quality employment. Nedera also highlighted the need to train youth and women, build new capabilities, and strengthen regional economic ties as prerequisites for sustainable growth.
Renata Milutinović, Director General of the Directorate for Industry and Crafts at Montenegro’s Ministry of Economic Development, framed European integration as economic integration. She noted the government adopted a transformation strategy in August 2024 centered on green transition, digitalization, and innovation. That document, she said, helped temporarily close negotiation chapter 20 on entrepreneurship and industrial policy. Its three priorities: supporting small and medium enterprises, diversifying the economy, and investing in people and skills.
“Success will be measured when small and medium-sized companies become reliable partners to the European economy,” Milutinović stated. Productivity among those firms depends on coordinated action from government, financial institutions, and business, she added.
Stefan Badža, founder of Serbia’s Innovation Center, said AI training began in Serbian schools in 2021. He believes future gains will come from workers who know how to apply artificial intelligence, not just IT specialists. Badža warned that many regional companies still rely on paper-based processes and hesitate to invest until competitors move first. AI, he argued, enables growth without expanding headcount.
Other speakers echoed that urgency. Mikele Kastoro of Intesa Sanpaolo Bank Bosnia pointed to infrastructure, digital payments, and AI as critical drivers. Kosovo producer Valon Bajgora cited 1.8 million euros invested in film and gaming but noted education gaps persist. Albania’s Deputy Minister Olta Manjani stressed skills forecasting for a knowledge-based economy. Vladimir Kostadinov of Tessa Group closed with a call to connect technology, capital, and markets across borders.
