NEW INDUSTRIAL POLICY AS A CARRIER OF DYNAMIC DEVELOPMENT OF SERBIA

University of Belgrade, Faculty of Economics, Belgrade, Serbia
Serbia

Belgrade Business and Arts Academy of Applied Studies, Belgrade, Serbia
Serbia

University of Belgrade, Faculty of Economics, Belgrade, Serbia
Serbia


Abstract

Industrial policy is an important mean that enables governments to promote industrial development and accelerate economic growth. However, specific measures adopted by successful industrialized countries cannot be easily applied to other countries, not only because of the special socio-economic conditions of individual countries but also because the changes in the global environment affect the effectiveness of industrial policy instruments. New approaches to industrial policy are present worldwide, especially after the crisis caused by COVID19 pandemic. Strengthening the industrial sector is the key to recovery. To achieve this important goal, industrial policy must be at the center of government reactions. It cannot be expected that the direction of development which is characteristic for developed countries of the world will be applied to Serbia. It is necessary to change the current strategy for the development of Serbian industry. The goal of Serbia's new industrial policy is to promote structural changes in industry in favor of higher value-added goods and services, modernization, integration into global value chain, development of a knowledge-based economy and positioning for the Fourth Industrial Revolution. The analysis is dedicated to state incentives which are part of the new industrial policy of Serbia and are one of the measures by which the state influences the increase in investment, employment growth and creating a more attractive business environment for domestic and foreign investors.

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