Ljajic: Digitalization in Serbia well behind schedule

BELGRADE - The digitalization process in Serbia is significantly behind schedule, with only 15 to 20 percent of the work completed so far, Serbian Minister of Trade, Tourism and Telecommunications Rasim Ljajic said on Monday.

He added that a loan agreement with the European Bank for Reconstruction and Development (EBRD) for the procurement of necessary equipment will be signed in September.

The initial deadline for the completion of digitalization process in Serbia was April 4, 2012, but it was extended to June 17, 2015, said Ljajic during a debate on amendments to electronic communications laws in the Serbian parliament.

The EU allocated EUR 10.5 million to help Serbia start the digitalization, and this phase has been carried out.

If the process of digitalization is not finished by 2015, we will be facing a big problem, said Ljajic.

In order to complete the process, a set of relevant media laws needs to be passed, and I expect them to be forwarded to the parliament for adoption as early as next week.

“We are in the final phase of negotiations with EBRD, which will run the entire tender process and the procurement of necessary equipment, and the plan is to sign a preliminary agreement in late June or early July, while the loan agreement is to be inked in September,” he said.

The process is very expensive for the state, and it was first estimated to cost around EUR 70 million. Nevertheless, I hope the expenses to be three times lower, although the exact figures are not yet available, said Ljajic.

“The (financial) benefit from digitalization will be at least EUR 50 million, and it is a resource we must exploit,” he stressed.

Ljajic noted that the development of a...