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Third National Conference on Poverty Reduction in Serbia Belgrade , November 29, 2007

Third National Conference on Poverty Reduction in Serbia Belgrade , November 29, 2007. GOVERNMENT OF THE REPUBLIC OF SERBIA. Vision of Serbia. Democratic society Open market economy EU and regional social and economic integration Higher living standards

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Third National Conference on Poverty Reduction in Serbia Belgrade , November 29, 2007

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  1. Third National Conference on Poverty Reduction in Serbia Belgrade, November 29, 2007 GOVERNMENT OF THE REPUBLIC OF SERBIA

  2. Vision of Serbia • Democratic society • Open market economy • EU and regional social and economic integration • Higher living standards • Equal opportunities for all: inclusive society

  3. Development Framework in Serbia National Strategy for EU Accession Poverty Reduction Strategy Sustainable Development Strategy Sector strategies

  4. Poverty Reduction Strategy • Government plan on how Serbia is to go through the transition process effectively, taking into account the poorest population and people who are not able to take advantage of the transition opportunities • The document was adopted by the first democratic Government in 2003 • Goal: reduce the number of poor population by half by 2010 • PRS provides recommendations for economic and social development and the reduction of the number of the poor by: • Creating preconditions conducive to economic development, which shall provide for a better living of most Serbian population • Developing responsible social policy – ensure social protection for the vulnerable and excluded population and make health and education accessible for all

  5. Preconditions for Succesful Implementation of PRS Policies • Establish macroeconomic stability: • Average GDP growth of min. 4-5%: on average 6.76% per annum • Inflation of max. 10%: 6.6% in 2006 • Foreign direct investments: average 8.6% GDP • Global and regional integration: EU and WTO • Improve the Government systems: • A mechanism for the preparation of annual operational plans has been established, as a basis for planning processes in the ministries • Budget-related planning – new Law on the Budget System • Improved monitoring and reporting system: improved collection of data and indicators introduced for monitoring outputs • Establishment of a central Government policy coordination function • Involvement of all key actors in the PRS implementation • Involvement of municipalities, Parliament, civil society and donors

  6. PRS Implementation Outputs • In 2007, 6.6% poor population; some 490,000 persons • Absolute poverty line: • RSD 8,883per monthper consumer unit • RSD 19,543 per monthfor a three-member household with a child aged below 18. • Poverty reduced by halfbetween 2002-2007. • 2002: 13.4% • 2007: 6.6% Source: Living Standards Measurement Survey, 2007, Republic Statistical Office, preliminary data

  7. Who are the poor citizens in Serbia? • Undereducated population • Correlation between poverty and undereducated population • 71.3% poor population have finished primary school only or no school at all. • Fewer than 1% of population with higher education among the poor (0.9%) • Children (aged below 13) • 8.9% of children aged below 13 are poor • Elderly households • 9.5% persons older than 65 are in the category of poor population

  8. Regional disparities

  9. PRS Implementation Results

  10. PRS Implementation Results

  11. Priority: Increase EmploymentSerbia registers the top unemployment rate: 21.6% Serbiavs. 8% EU • Finalize privatization of public enterprises • Speed up the introduction of new education profiles which are in compliance with labor market needs • Decrease long-term unemployment by means of training, additional education, licensing • Increase allocations for efficient active employment measures • Provide incentives for decreasing regional disparities

  12. Priority: Develop Responsible Social Policy • Provide support to municipalities to finance local level services • Expand the coverage of social welfare measures • Stimulate the development of foster care and provide support to natural families • Ensure conditions for an independent life of persons with disabilities, as well as assistance to the elderly who are not able to take care of themselves • Build a new pension insurance system – development of voluntary, additional pension insurance. • Ensure social housing for vulnerable categories • Introduce pro-poor education measures targeting children

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