oecd investment compact for south east europe
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INVESTMENT COMPACT FORSOUTH EAST EUROPE
Fostering investment, competitiveness and private sector development
SEE Programme Overview [f]_Layout 1 13/06/2012 10:13 Page A
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B . OECD 2012 SEE PROGRAMME OVERVIEW
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OECD 2012 SEE PROGRAMME OVERVIEW . 1
The Investment Compact for South East Europe and the OECD 2
The Organisation for Economic Co-operation and Development 3
Messages from the OECD Secretary-General and the Secretary General of RCC 4
The Economies of South East Europe: Key facts and gures 6
A decade of reform has improved the business climate 7
However, important economic development challenges remain 9
How the Investment Compact For South East Europe supports the SEE Region 11
Programme overview and governance 12
Investment Compact projects: Five pillars of work 13
Bibliography of key Investment Compact publications and papers 19
Contents
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2 . OECD 2012 SEE PROGRAMME OVERVIEW
The OECD Investment Compact for South East Europe
Launched in 2000, the OECD Investment Compact for South East Europe supports governments of the region to improve their
investment climate and foster private sector development. Its members include Albania, Bosnia and Herzegovina, Bulgaria,
Croatia, the Former Yugoslav Republic of Macedonia, the Republic of Moldova, Montenegro, Romania and Serbia, with Kosovo*
as an observer.
Using the OECD methods of policy dialogue and peer learning, the Compact brings together representatives from South East
Europe (SEE) governments to exchange good practices and to use OECD tools and instruments in a way that is tailored to the
needs of the SEE economies and helps them move closer to internationally recognised standards. The compact also conducts
assessments of SEE investment climates based on the OECD Policy Framework for Investment, designs strategies to help
governments set priorities for reform, and supports their implementation. The programmes work is co-ordinated by the SEE
Investment Committee and its strategic objectives and actions are endorsed by SEE leaders at ministerial conferences.
The Investment Compact for SEE has now become a template for other regional initiatives, such as the Middle East and North
Africa (MENA) Investment Programme and the Eurasia Competitiveness Programme.
As of January 2012, the SEE Investment Committee is co-chaired by the Regional Cooperation Council. However, the OECD
Investment Compact continues to provide support in enhancing the regions competitiveness and investment climate, in
particular for the implementation of the SEE 2020 Vision.
* This designation is without prejudice to positions on status, and is in line with UNSCR 1244 and the ICJ Opinion on the Kosovo declaration of independence.
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OECD 2012 SEE PROGRAMME OVERVIEW . 3
The Organisation for Economic Co-operation and Development
The OECD is a multi-disciplinary inter-governmental organisation of 34 member countries based in Paris which engages an
increasing number of other countries and economies from all regions of the world. The Organisations core mission is to help
governments make better policies for better lives.
Through its network of 250 specialised committees and working groups, the OECD provides a setting where governments
compare policy experiences, seek answers to common problems, identify good practice, and co-ordinate policies. The
Organisations work begins with data collection, policy analysis and benchmarking, then moves on to a collective discussion of
policy experiences followed by the identification of good practices, setting of global standards and mutual peer review.
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4 . OECD 2012 SEE PROGRAMME OVERVIEW
A message from the OECD Secretary-General
The Investment Compact was created to support peace, stability and prosperity in a region
weakened by conflict but endowed with rich resources and dynamism. The Compacts mandate,
signed in 2000 by nine South East European governments, recognised private sector development
and international co-operation as cornerstones for the revitalisation of the region. Since then,
governments, business leaders and civil society have worked together to design and implement
reforms to attract more and better investments and raise living standards.
Over the past ten years, the economies of South East Europe have undergone a profound
transformation. The regions GDP has more than doubled, inflows of foreign direct investment have
increased tenfold, countries have signed an ambitious regional trade agreement, they have
advanced their integration into the world economy and their institutions have become stronger.
Yet the region needs to rise to new challenges: with economic growth slowing, public budgets
tightening and social pressures mounting, countries must urgently find new and sustainable sources of
growth. The Investment Compacts 2020 Vision for South East Europe, endorsed by SEE Ministers,
could serve as a leading roadmap to help the region meet this growth challenge by placing
innovation, skills and economic integration at the centre of its strategy for the future. Over the next ten
years, the Compact will support countries of the region to put this ambitious strategy into practice.
I would like to congratulate the Investment Compact on its achievements in supporting reforms in
the region and thank South East Europe governments and programme donors for their
commitment to working hand in hand with the OECD towards common goals. We are pleased to
continue this rewarding partnership in the coming years.
Angel GurraOECD Secretary-General
I would like to
congratulate the
Investment
Compact on its
achievements in
supporting
reforms in the
region...
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OECD 2012 . 5
A message from the Secretary General of theRegional Cooperation CouncilThe OECD Investment Compact for South East Europe has been instrumental in supporting
economic stability and development in our region. Its valuable analytical and policy work has
provided insights which have helped shape the reform agenda throughout South East Europe. The
Compacts inclusive approach and the high level involvement of South East European countries
have contributed to a growing sense of ownership and responsibility by the region.
The fact that the Regional Cooperation Council has taken over the South East Europe Investment
Committee from the OECD testifies to the RCC Secretariat's proven capacity to make a substantial
contribution to the enhancement of regional cooperation in SEE. New economic and political
realities in the region led to a decision by the OECD and SEE countries in 2011 that the time had
come to transfer SEE Investment Committee activities to regional leadership. The European
Commission has also acknowledged the importance of this action for the region and its support to
the future Investment Committee's work is of particular value.
The RCC Secretariat is fully committed, by embedding the emerging SEE 2020 vision in its activities,
to continue working closely with SEE and OECD colleagues to guarantee an even more stable and
results-oriented South East Europe Investment Committee.
Mr. Hido Bievi
Secretary General of the Regional Cooperation Council for the Western Balkans
The OECD
Investment
Compact for
South East
Europe has been
instrumental in
supporting
economic
stability and
development in
our region.
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6 . OECD 2012 SEE PROGRAMME OVERVIEW
The economies of South East Europe: Key facts and gures
GDP growth, % per annum(2009-2011)2
Current CreditRatings
(March 2012)3
3.2
3.8
7.5
4.4
1.8
2.1
3.6
0.6
21.4
7.3
55.7
6.3
6.0
6.4
4.1
5.5
5.4
5.2
8.7
7.2
4.3
5.9
2.9
-0.2
-1.1
-2.4
3.9
1.3
2.5
-0.3
-1.9
-0.2
0.5
B+
B
BBB
BBB-
N.A
BB
N.A
BB
BB+
BB
7,741
8,133
13,597
18,192
7,0023
10,367
3,373
11,545
12,476
10,642
10,307
1. WB World Development Indicators, 2. IMF World Economic Outlook, 3. Standard & Poors
Population(million)1 in
2010
GDP per head2010
(Current US$,PPP
GDP growth, % per annum (2006-2008)2
Economy
Albania
Bosnia andHerzegovina
Bulgaria
Croatia
Kosovo*
The formerYugoslav Republicof Macedonia
Republic ofMoldova
Montenegro
Romania
Serbia
SEE
* This designation is without prejudice to positions on status, and is in line with UNSCR 1244 and the ICJ Opinion on the Kosovo declaration of independence.
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OECD 2012 SEE PROGRAMME OVERVIEW . 7
Commitment to SME Policy
In 2009, the Western Balkan economies endorsed the European Small Business Act (SBA) as the main guidance tool for SME
policy in the region. The SBA provides a demanding set of guidelines aiming to improve policies that promote
entrepreneurship and SME growth. Western Balkan economies have committed to monitoring and reporting back on their
progress in implementing the SBA principles with the support of the OECD Investment Compact.
A decade of reform has improved the businessclimate in SEEOver the past ten years, SEE economieshave made significant and targetedeconomic policy reforms to promote
We acknowledge theengagement, supportand eorts of ourinternationalpartners, in particularthe OECD. Our co-operation benets theregion and theEuropean Union.
EuropeanCommissioner tefan FleEnlargement andEuropeanNeighbourhoodPolicyEuropeanCommission
the development of the private sectorand create a more favourableinvestment climate.
Progress in investment openness
All governments in the region have
implemented policy measures to increase their
openness to international investment, including
the removal or reduction of legal restrictions.
These policy reforms led to a tenfold increase in
SEE Foreign Direct Investment (FDI) inflows
between 2000 and 2008. The subsequent
downturn has been due to the crisis.
Increased support for SMEs and
entrepreneurs
Programmes and policies, such as efforts to
facilitate business start ups, have helped small-
and medium-sized enterprises (SMEs) to
develop and have encouraged greater
entrepreneurship in the region. In most SEE
economies, it now takes only one day to obtain
a company registration certificate from the time
OECD 2012 SEE PROGRAMME OVERVIEW . 7
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FOREIGN DIRECT INVESTMENT (FDI) TRENDS
8 . OECD 2012 SEE PROGRAMME OVERVIEW
of application, for a fee of less than EUR 60. As
access to finance remains difficult, international
financial institutions together with the OECD
Investment Compact are launching large
regional initiatives, such as the Western Balkan
Enterprise Development and Innovation Facility,
aimed at providing significant funds, guarantees
and technical assistance to innovative, high-
growth SMEs.
Intra-regional and multilateral economic
convergence
SEE economies signed the Central European
Trade Agreement (CEFTA) in 2006, which aims
to expand trade in goods and services and
eliminate trade barriers between SEE
economies. SEE economies have also made
significant progress in converging towards the
European Union (EU) acquis communautaire and
becoming members of the WTO. Most
economies have either joined the EU or they are
now candidates or potential candidates for EU
accession. However, different paces in adopting
EU standards create new difficulties in the form
of non-tariff barriers.
20003.8 4.6 4.3
8.1
12.715.9
29.7
37.1 37.6
16.5
10.3
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Membership in the European Union, CEFTA and the WTO as of January 2012
FDI, net inflows for the SEE Region (BoP, current billion US$)
European Union
CEFTA 2006
WTO
Albania
Bosnia andHerzegovina
Bulgaria
Croatia
Kosovo*
The former Yugoslav Republic of Macedonia
Republic of Moldova
Montenegro
Romania
Serbia
Potential Candidate
Potential Candidate
Member
Acceding Country
Potential Candidate
Candidate
NeighbourhoodPolicy
Candidate
Member
Candidate
Party
Party
Party
Party
Party
Party
Party
Party
Party
Party
Member
Negotiations in Progress
Member
Member
N.A
Member
Member
Negotiations in Progress
Member
Negotiations in Progress
Source: UNCTADStat
* This designation is without prejudice to positions on status, and is in line with UNSCR 1244and the ICJ Opinion on the Kosovo declaration of independence.
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OECD 2012 SEE PROGRAMME OVERVIEW . 9
0
50
100
1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009
150
200OECD The former Yoguslav Rep. of Macedonia
Croatia Bulgaria
However, important economic development challenges remain
Structural challenges requireaccelerated policy reforms to improvecompetitiveness
Structural vulnerabilities and lagging
industrial production
The recent financial and economic crisis seriously
impacted the region. The drop in demand from
the EU as the main trading partner was dramatic
and exports in 2009 were 21% lower than in
2008. FDI also declined by 50% between 2008
and 2009.1 The crisis brought to light structural
vulnerabilities in the Western Balkan economies,
such as the consumption-led nature of growth
that was driven by an expansionary credit policy.
Industrial production in South East Europe has
also grown significantly since 2000, but it is still
nowhere near its 1990 level.
Limited export capacity
The region also suffers from an underdeveloped
tradable sector due to years of de-
industrialisation. This limits the export capacity
of the economy, leading to substantial trade
and current account deficits and increasing
foreign indebtedness.
1. UNCTAD (2011). Nb- these data exclude Kosovo* * This designation is without prejudice to positions on status, andis in line with UNSCR 1244 and the ICJ Opinion on the Kosovodeclaration of independence.
Source: EBRD Transition Reports and OECD.Stat
Source: UNCTADStat
Yearly Industrial Production (% of 1989 industrial production)
Current Account in 2009 as a Percentage of GDP
EU-27 average
SEE Economies
Serbia
Romania
Montenegro
Moldova
FYR Macedonia
Croatia
BulgariaBosnia andHerzegovinaAlbania
-30 -25 -20 -15 -10 -5 0
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10 . OECD 2012 SEE PROGRAMME OVERVIEW
ALB
BIH
BUL
HRV
KOS
MKD
MDA
MNE RO
U
SRB
SEE
aver
age
13.4
43.3
9.5
17.9
45.4
29.1
7.8
19.5
4.6
16.620.7
0
100
200
300
400
500
600
Reading Mathematics Science
PISA
sco
re
OECD
aver
age
Croa
tia
Serb
ia
Bulga
ria
Rom
ania
Mon
tene
gro
Alba
nia
High unemployment
Unemployment rates in many SEE economies
remain considerably higher than in the EU
countries. It is important to note that even
during the boom years, unemployment was
stubbornly high. This points to a need to better
align education and training with labour market
requirements.
Need to transition from low-cost to
knowledge-based economy
With increasing global competition from
emerging economies in Asia, for example, SEE
can no longer compete for market shares based
on low cost production. If the region is to set a
path for long-term growth and prosperity, it will
have to build a new economic model based on
knowledge-intensive production underpinned by
innovation and human capital. Various barometers
indicate that the SEE region has the capacity to
improve its performance in these areas:
The OECDs assessment of 15-year oldsmastery of basic skills in math, reading andscience (PISA ranking) shows that scores forall SEE economies are lagging well behindOECD averages.
Whereas high tech exports represent anaverage of 16.9% of manufactured goods
exports in the European Union, in SEE the
levels are significantly lower, ranging from
3.1% in the former Yugoslav Republic of
Macedonia to 10.9% in Croatia in 2009.2
2. World Bank
Source: CIA World Factbook*This designation is without prejudice to positions on status, and is in line with UNSCR 1244 andthe ICJ Opinion on the Kosovo declaration of independence.
Source: OECD PISA 2009 database.
Unemployment rate (% of labour force)
PISA results for SEE economics compared to OECD average
HIGH UNEMPLOYMENT IN THE REGION (2011)
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How the Investment Compact for South EastEurope supports the SEE region
The Investment Compact for South East Europe helps governmentsdesign better policies and implement them more effectively. Strongownership by the region, open dialogue, and a framework based on OECDbest practices have enabled the Compact to have a tangible impact onimproving the SEE business climate, strengthening regional co-operationand fostering economic development and stability.
The 2011 Ministerial Conference of the Investment Compact endorsed the South East Europe
2020 Vision, a roadmap for long-term growth modelled on the Europe 2020 strategy, but
adapted to the regions needs. This sent a strong message that the region is committed to taking
ownership of its own destiny with a clear roadmap for reform to 2020. The conference also
celebrated a decade of achievements as well as the transfer of operational management of the
SEE Investment Committee to the Regional Cooperation Council in Sarajevo. The OECD
Investment Compact will continue to provide policy guidance and analytical support to the
region and assist governments in implementing the South East Europe 2020 Vision.
The 2011
Ministerial
Conference of the
Investment
Compact endorsed
the South East
Europe 2020
Vision, a roadmap
for long-term
growth modelled
on the Europe
2020 strategy, but
adapted to the
region. This sent a
strong message
that the region is
committed to
taking ownership
of its own destiny
with a clear
roadmap for
reform to 2020.
11
Ministerial Conference: Building a 2020 Vision for South East Europe, November 2011. OECD/Benjamin Renout
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12 . OECD 2012 SEE PROGRAMME OVERVIEW
Programme overview and governance
The SEE Investment Committee is ahigh-level forum which oversees theoverall implementation of the SEE 2020vision, a roadmap for sustainablyimproving the regions businessclimate and competitiveness. TheInvestment Compact for South EastEurope provides project managementexpertise to support the region inachieving these OECD objectives.
The joint eorts of theOECD, the countries ofthe region and thedonor community hasmade the InvestmentCompact a model forother regionalinitiatives.
Manfred SchekulinDeputy DirectorGeneralTrade Policy andEuropean IntegrationFederal Ministry ofEconomy, Family andYouth of Austria,Chair of the OECDInvestmentCommitteeFormer co-chair of theInvestment Compact
Methods
Sharing OECD good practices with the
region in the areas of business climate
and investment reform
Providing independent monitoring of
policy reform
Fostering regional dialogue and exchange
of reform experiences
Assisting governments to develop policies
that support local businesses and
encourage foreign investment
Key principles
Strong ownership of the participating
beneficiaries
Voluntary self-evaluation of government
policy reforms
Active involvement of the private sector
Co-ordination with existing donors and
other international organisations to avoid
overlap
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OECD 2012 SEE PROGRAMME OVERVIEW . 13
COCHAIRS:REGIONAL COOPERATION COUNCIL + SEE COUNTRY ALBANIA
Donorcountries
SEE countryeconomic
teams
PrivateSector
Internationalorganisations
SOUTH EAST EUROPE
A COMBINATION OF REGIONAL OWNERSHIP AND OECD EXPERTISE ENSURE IMPACT IN SUSTAINABLY
IMPROVING THE BUSINESS ENVIRONMENT
INVESTMENT COMPACT FORSEE INVESTMENT COMMITTEE
Political support:
MinistrerialConferenceSouth East Europe2020 Vision
Policy dialogue:
Regional WorkingGroups Innovation Human Capital Investment
Promotion Access to
Finance Tax
Assessment:
AssessmentReform Index SME Policy Index
Strategy andpolicyprioritisation:
Sector-specificSources ofCompetitiveness
Assistance andtraining forimplementation:
RegionalCompetitivenessInitiative
Analytical support and project mangementA regional forum for discussion and decision making
FIVE PILLARS OF WORK
INVESTMENT C0MPACT FORSOUTH EAST EUROPE
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14 . OECD 2012 SEE PROGRAMME OVERVIEW
POLITICAL SUPPORT
Ministerial conferences, meetings of the SEE Investment Committee at the regional level, andendorsement by SEE governments and the EU of the SEE 2020 Vision secures strong political supportfor the Compacts mandate over the coming decade.
THE SOUTH EAST EUROPE 2020 VISION
Inspired by the "Europe 2020" strategy launched by the EU in 2010 to promote smart, sustainable and inclusive growth in EU
member states the economies of South East Europe endorsed their own "2020 Vision" at the 2011 SEE Ministerial Conference,
"Building a 2020 Vision for South East Europe".
The SEE 2020 Vision is the product of close collaboration between the Investment Compact and governments of the region. It
defines a strategy for the region that focuses on stimulating the key long-term drivers of growth: innovation, skills and trade
integration.
Pillars of the SEE 2020 Vision:
Integrated growth through deeper regional trade and investment linkages and policies that are nondiscriminatory,transparent and predictable
Smart growth through the commitment to innovate and compete on value-added rather than on labour costs
Sustainable growth through raising the level of private sector competitiveness, entrepreneurship and a commitment togreener and more energy-efficient development
Inclusive growth through skills development, employment creation and inclusive labour market participation
Governance for growth by increasing the capacity of public administrations to strengthen the rule of law and reducecorruption in order to create a business-friendly environment.
The SEE 2020 Vision's strong regional dimension in setting targets and developing implementation mechanisms will allow
economies to benchmark their progress on each of these pillars. The commitment to regional targets will also send a clear signal of
regional ownership: the region is now able to define its own roadmap for future reforms. The Investment Compact looks forward to
a second decade of partnership with South East Europe to achieve even greater prosperity for all economies of the region.
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OECD 2012 SEE PROGRAMME OVERVIEW . 15
POLICY DIALOGUE
Regional policy working groups allow economies to exchange experiences, conduct peer reviewsand develop recommendations to address common policy challenges.
Innovation Working Group
The Working Group on Innovation provides a platform for the exchange of good practices on issues such as formulating
innovation policies, creating voucher schemes, establishing competence and technology centres, launching business plan
competitions and fostering Triple Helix partnerships between science, business and local government.
Human Capital Working Group
Using good international and regional practice as a benchmark, the Working Group provides a platform for exchanging views,
peer learning, and developing new ideas on how to face common challenges in skills development. It helps transfer
knowledge to the region on how to design and implement skills gap analyses and supports policy makers in devising
appropriate policy responses to bridge these gaps
Access to Finance Working Group
The focus of this Working Group is to find solutions to help SMEs in the region access the financing they need. It examines
good practices in developing credit guarantee schemes, credit information sharing schemes and investment readiness
programme. It also conducts thorough reviews of the status of bankruptcy legislation in the Western Balkans and provides
recommendations on how to best reform the current regime.
Taxation Working Group
Senior tax policy officials of ministries of finance of the economies participating in the SEE Investment Committee come
together in this Working Group to initiate discussions on tax policy, with a focus on issues including tax compliance and tax
reform.
Investment Promotion Working Group
This Working Group provides a framework to discuss investment in different sectors as well as prospects for industry growth.
Concrete results have included the creation of a business network and an interactive regional supplier database.
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16 . OECD 2012 SEE PROGRAMME OVERVIEW
ASSESSMENT
The Programmes flagship publications and key projects assess national policy frameworks to helpgovernments benchmark their performance in relation to business climate reforms.
Investment Reform Index
The Investment Reform Index (IRI) is a qualitative assessment of policy settings and institutional conditions that shape the
environment for direct investment in the Western Balkan economies. The IRI examines eight policy dimensions: investment
policy and promotion, human capital development, trade policy and facilitation, access to finance, regulatory reform and
parliamentary processes, tax policy analysis, infrastructure for investment, and SME policy.
Drawing on the OECD Policy Framework for Investment, the IRI uses a unique scoring system to measure performance in each
business climate dimension and related sub-dimensions. Final scores are attributed with the input of both government and
business stakeholders. SEE country partners have welcomed the IRI as an innovative and useful tool to benchmark their systems
against international good practice and to identify key areas for reform. The next edition will be published in 2013.
Implementing the European Small Business Act in the EU Pre-Accession Region
This project aims to improve the business environment for SMEs in the Western Balkans and Turkey by implementing the ten
principles of the European Small Business Act and was launched in November 2010.
Independent monitoring of the elimination of non-tariff barriers among CEFTA parties
Since January 2009, the Investment Compact has supported signatories of the CEFTA to derive the full benefits of CEFTA
implementation in two key areas:
The CEFTA Aid for Trade project aims to reduce/eliminate non-tariff barriers, particularly those that impact main trade flows.
The Supporting CEFTA Structures with the Monitoring and Implementation of Investment-related Clauses of the CEFTA 2006monitors the investment-related clauses of the 2006 CEFTA agreement.
Supporting SME Policy in the Republic of Moldova
This project helps the Government of the Republic of Moldova to develop a coherent policy framework for SME sector
competitiveness sector and economic growth. In 2011 it released a report on Fostering SME Development: Republic of Moldova,
which analysed the main barriers to the development of the SME sector.
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OECD 2012 SEE PROGRAMME OVERVIEW . 17
STRATEGY AND POLICY PRIORITISATION
Strategies identify high-potential sectors which can be further developed to leverage regionalcompetitive advantages and generate growth and employment.
Enhancing Sector Competitiveness
The OECD Investment Compact for South East Europe has implemented the Strengthening Sector Specific Sources of
Competitiveness in the Western Balkans project. The project aims to promote FDI and foster economic growth and political
stability in the Western Balkans by examining three high-potential sectors and providing policy recommendations on
removing barriers to their further development:
Intensify regional investment promotion for the West Balkans automotive sector, to raise the visibility of the sector withexternal investors
Improve access to finance through credit guarantee schemes and credit information in order to help the apparel sectorreposition towards higher value-added production
Improve human capital development through the introduction of internships in order to build practical skills needed inthe information and communication technology sector
These recommendations were transformed into action plans which were implemented by governments and resulted in:
a regional network of investment promotion agencies using a common web platform to promote Western Balkanautomotive suppliers (http://dev.the-serveur.com/ocde/)
capacity building for credit information and credit guarantee schemes
transfer of good practices relating to internships
A proposed follow-up project (in 2013) should establish sectoral working groups and pilot projects to continue
implementation of these recommendations and at the same time to identify new niche markets where Western Balkans
economies can be competitive
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IMPLEMENTATION
The Programme provides assistance to SEE governments and policy makers in successfullyimplementing key policy recommendations.
Regional Competitiveness Initiative (RCI):
The Regional Competitiveness Initiative, funded by the EU, aims to strengthen the competitiveness of Western Balkan economies
by increasing productivity through human capital development and innovation in manufacturing and service firms.
The initiative consists of specific pilot projects implemented at the national level. The first four pilot projects were
implemented in 2011:
Mechanisms to finance business services in support of innovation (voucher schemes) in Montenegro
The establishment of a Competence Technology Centre (CTC) in Serbia
Assistance to the government in designing its overall policy framework for innovation in the Former Yugoslav Republic ofMacedonia
Co-operation with the triple helix of research-business-government communities in Bosnia and Herzegovina
Launch of a business plan competition in Albania
Creation of policy frameworks for innovation in Croatia and Kosovo*
Through these projects, the Investment Compact provides analytical support, policy guidance, capacity building and
implementation support to enhance innovation and human capital development. Finally, the RCI also supports regional co-
operation and policy dialogue through the regional working group on Innovation and Human Capital Development and the
projects Steering Committee.
The RCI is already having impact in the region. Examples include the inclusion of innovation as a major pillar of the new
governments electoral programme in FYR Macedonia, the allocation of funds to an SME voucher scheme by the government of
Montenegro, a commitment by the Serbian government to set up competence centres, and broad participation in co-operation
between academia, business and local government in Bosnia and Herzegovina, which has led to the launch of new products.
18 . OECD 2012 SEE PROGRAMME OVERVIEW
* This designation is without prejudice to positions on status, and is in line with UNSCR 1244 and the ICJ Opinion on the Kosovo declaration of independence.
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OECD 2012 SEE PROGRAMME OVERVIEW . 19
2011
Republic of Moldova 2011: Fostering SME
Development.
National treatment restrictions in Parties
to the Central European Trade
Agreement (CEFTA), OECD Journal:
General Papers, pp. 21-32.
Review of bilateral investment treaties
signed by Parties to the Central European
Free Trade Agreement (CEFTA), OECD
Journal: General Papers, pp. 33-42.
Trade and investment in regional trade
agreements: The case of the Central
European Free Trade Agreement (CEFTA),
OECD Journal: General Papers, pp. 9-19.
Concentration of Manufacturing
Industries in CEFTA 2006: Industry
Profiles. Draft Paper on Innovation
System Review for the Former Yugoslav
Republic of Macedonia.
2010
Investment Reform Index 2010: Monitoring
Policies and Institutions for Direct
Investment in South East Europe.
Intellectual Property Rights in the CEFTA
2006 Signatories Parties, OECD/CEFTA
Issues Paper, 2010.
Trade Integration, Industry Concentration
and FDI Inflows: The Experience in Central
and South Eastern Europe, OECD/CEFTA
Issues Paper, 2010.
National and Regional Small and Medium
Sized Enterprise Policy Linkage in Serbia.
2009
SME Policy Index 2009 - Progress in the
Implementation of the European Charter
for Small Enterprises in the Western
Balkans, OECD/EC/ETF.
Sector Specific Sources of Competitiveness
in the Western Balkans:
Recommendations for a Regional
Investment Strategy.
Implementing the CEFTA 2006 Agreement:
Reaping the Benefits of Trade and
Investment Integration in South East
Europe.
Policies and Tools for Private Sector
Development - Business Linkages:
Linking Foreign and Domestic Firms to
Maximise the Benefits of FDI for
Employment and Sustainable Growth.
2008
Innovation in SMEs in the Western Balkans:
Findings of Focus Group Meetings held in
Western Balkan Countries in November-
December 2007, OECD/EC/CEI.
2007
SME Policy Index 2007 - Report on the
Implementation of the European Charter
for Small Enterprises in the Western
Balkans.
How South East European Countries
Statistics Measure Foreign Direct
Investment.
Improving the Process of Economic Reform
Legislation in FYR Macedonia, OECD/GTZ.
Improving the Process of Economic Reform
Legislation in Montenegro, OECD/GTZ .
The Impact of FDI on the Restructuring of
the Metal Processing Industry in Bosnia
and Herzegovina.
The Role of Foreign Direct Investment in
the Croatian Economy.
2006
Investment Reform Index 2006: Progress in
Policy Reforms to Improve the
Investment Climate in South East Europe.
Foreign Investors Council: Proposals for
Improvement of the Investment Climate
in Serbia, Belgrade, Serbia and
Montenegro.
How to Improve the Legislation Process in
Serbia and Bosnia and Herzegovina: The
Path from Proposing a Law to Enacting it
in Parliament.
Bibliography of key Investment Compact publications and papers
SEE Programme Overview [f]_Layout 1 13/06/2012 10:14 Page 19
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Investment Compact for SEE (2006), Report
of Activities.
2005
Anti-Corruption Measures in South Eastern
Europe: Civil Societys Involvement.
The Business Registration Process in South
East Europe: A Peer Review.
The Employment Impact of FDI: The
Experience of South East European
Countries, Discussion Paper.
Monitoring the Regulatory Governance
Reform Priorities in South East European
Countries, Implementation Report.
Progress in Policy Reform in South East
Europe: Monitoring Instruments.
Bosnia and Herzegovina: Enterprise Policy
Performance Assessment, OECD/EBRD
Bulgaria: Enterprise Policy Performance
Assessment, OECD/EBRD
Croatia: Enterprise Policy Performance
Assessment, OECD/EBRD
Romania: Enterprise Policy Performance
Assessment, OECD/EBRD.
Serbia and Montenegro: Enterprise Policy
Performance Assessment, OECD/EBRD.
2004
Effective Policies for Small Business: A Guide
for the Policy Review Process and Strategic
Plans for Micro, Small and Medium
Enterprise Development, OECD/UNIDO.
Foreign Investors Council White Book:
Proposals for Improvement of the
Investment Climate in Serbia.
Investment Compact: Regulatory
Governance in South East European
Countries: Progress and Challenges.
Regulatory Governance in South East
European Countries: Progress and
Challenges.
The Informal Economy in Albania: Analysis
and Policy Recommendations.
Progress in Policy Reform in South East
Europe: Monitoring Instruments.
Albania: Enterprise Policy Performance
Assessment, OECD/EBRD.
2003
A Survey on the Role of Taxation in FDI in
South East Europe.
Competition Law and Policy in South East
Europe, OECD Journal: Competition Law
and Policy, pp. 7-82.
Foreign Investors Council: Proposals for
Improvement of the Investment Climate
in Serbia.
Progress in Policy Reform in South East
Europe: Monitoring Instruments.
Tax Policy Assessment and Design in
Support of Direct Investment: A Study of
Countries in South East Europe.
White Paper on Corporate Governance in
South East Europe.
South East Europe: Enterprise Policy
Performance Assessment, OECD/EBRD.
Albania: Enterprise Policy Performance
Assessment, OECD/EBRD.
Bosnia and Herzegovina: Enterprise Policy
Performance Assessment, OECD/EBRD.
Bulgaria: Enterprise Policy Performance
Assessment, OECD/EBRD.
Croatia: Enterprise Policy Performance
Assessment, OECD/EBRD.
FYR Macedonia: Enterprise Policy
Performance Assessment, OECD/EBRD.
Moldova: Enterprise Policy Performance
Assessment, OECD/EBRD.
Montenegro: Enterprise Policy Performance
Assessment, OECD/EBRD.
Romania: Enterprise Policy Performance
Assessment, OECD/EBRD.
Serbia: Enterprise Policy Performance
Assessment, OECD/EBRD.
2002
Progress in Policy Reform in South East
Europe: Monitoring Instruments.
2001
Progress in Policy Reform in South East
Europe: Monitoring Instruments.
Monitoring instruments: Progress in Policy
Reform in FR of Yugoslavia Serbia.
20 . OECD 2012 SEE PROGRAMME OVERVIEW
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OECD 2012 SEE PROGRAMME OVERVIEW . 21
SEE Programme Overview [f]_Layout 1 13/06/2012 10:14 Page 21
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KEY CONTACTS:
Mr Alan PaicHead of Programme
alan.paic@oecd.org
For general enquiries:investmentcompact@oecd.org
Media contact:Ms Vanessa Valle
Communications Managervanessa.vallee@oecd.org
SEE Programme Overview [f]_Layout 1 13/06/2012 10:14 Page 22
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