Belgrade, Serbia
ADMINISTRATOR SAMANTHA POWER: Dobar dan. It is wonderful to be back in Serbia – for me, for the first time in more than a quarter century, I believe. I want to thank Ambassador Hill and his team for the incredible work that they do here every day. And of course, the work that they've done to support this visit.
I am very encouraged by the state of the partnership between our two countries, and I'll come back to that. I've been able to return to my roots and eat far too much burek and ćevapi on this visit. I have, of course, imbibed the rakija. And it's incredible to be here in such a scenic part of Belgrade and to be reminded of the incredible natural beauty of this country and of this region. The coffee, of course, is so strong in this country it really makes me wonder, how when am I back in the United States, how I ever get out of bed without it. So it's been great to get back in touch with these wonderful parts of Serbian culture and tradition.
Of course, my visit comes at a devastating time for the Serbian people, as you all attempt to recover from horrific shootings and people. Too many Americans sadly know the pain you are feeling. A pain that no parent, no child and no community should ever have to feel.
Yesterday morning, just after I arrived in Belgrade, I paid a visit to the Ribnikar Elementary School. And as I walked by memorials and saw the teddy bears and the hand-drawn pictures of the security guard who was killed and was so beloved by the student body and teachers, saw the soccer balls inscribed with tributes to lost classmates, I was reminded of something that Ivo Andric, Serbia’s Nobel Laureate in literature, once wrote, and that was “a beautiful soul weeps deep.”
A beautiful soul weeps deep.
And I know that the Serbian people are weeping very, very deeply this week. Again, our deepest condolences on behalf of President Biden on behalf of the American people.
In my visit here so far, I really also had a chance to hear about the great hope that so many feel for Serbia’s future. Yesterday, I played basketball and had a great conversation with a group of Serbians with disabilities, as well as with Vlade Divac who I've been watching play basketball since I was this tall. I then had dinner with investigative journalists.
And I am focusing on this trip as well on engaging with young people directly. Later today, I'll be meeting with an inspiring group of young tech entrepreneurs. And also over the course of the visit will meet youth reconciliation leaders as well as leaders from civil society. From all the conversations I've had, already, it is clear how committed the Serbian people are to building a prosperous, peaceful and inclusive Serbia.
And I, just earlier today, I had the chance to have extensive meetings with President Vučić and his team, and Prime Minister Brnabić. And we had very detailed and specific conversations about how our two countries can deepen our work together, boosting economic growth, promoting democracy, and seeking to strengthen regional integration and regional partnerships. As I said to President Vučić, his commitment to the dialogue with Kosovo, to the cause of normalizing relations with Kosovo, that commitment is extremely important and the United States offers its very strong support. We discussed how the United States can be helpful in advancing progress on what will be an incredibly important step forward on Serbia's European path. It will take political courage to find a durable solution acceptable to both sides. But the support from the U.S. will be steadfast in the coming weeks as Serbia and Kosovo work to take next steps.
Since the partnership between the Serbian people and USAID began nearly 22 years ago, driving economic growth has been a key goal of the partnership. We have worked closely together to modernize laws and regulations that boosted Serbia's competitiveness, and made it easier for business people to operate and even to start a business here in Serbia. We have trained 100,000 young entrepreneurs, and established tech hubs like the one that I will be headed to later this evening.
The progress here has been remarkable. And again – I date myself, given how long ago my last visit to Serbia was – but to see the Western Balkans as the fastest growing region in all of Europe, to see Serbia’s tech sector, with the IT sector growing by 45 percent last year, to see Serbia exporting the technology that its innovators build and attracting campuses of global companies like Microsoft and Amazon. This really is remarkable progress. In some ways, it can be easier for an outsider, who last visited so long ago, to just see how integrated Serbia has become in the global economy, how much it has done to grow its own productive industries that are going to serve it well for decades to come.
Continuing that momentum, though, we all know relies on young people who can build Serbia's future. And we need them to decide to stay in Serbia, and to build that future right here at home. With half of Serbia’s youth population reporting that they plan to settle outside of Serbia, I’m eager to speak with young people again later today about the support that they need here to thrive. Continuing Serbia's growth trajectory will also rely, as I discussed with President Vučić and Prime Minister Brnabić, on strengthening democracy by empowering civil society, independent media, and human rights, advocacy – checks and balances are incredibly important. And they're really important as well for the private sector to see as one considers foreign direct investment, or enhancing trade. Knowing how strong and sturdy those checks and balances are, can make a major difference in the calculus, for example, American companies. We see in countries around the world that if corruption is allowed to propagate, or if the free flow of information is cut off, or when ethnic tensions get inflamed, companies pull back their investment. Even neighboring countries hesitate to build partnerships. And we see the most talented young people choosing to build their lives elsewhere.
What I pledged to the leadership here in Serbia, and to everyone I am meeting is that the United States and USAID will continue to support Serbia on the reform path in every way we can. As we work toward a future where the relationships across the region are not sources of tension, but rather sources of enrichment – growing markets, sharing cultures and supporting collective security.
I'll end by expressing my gratitude for Serbia's recent actions to advance that democratic future in the way that they have supported the people of Ukraine. This is very, very moving to us in the United States to see the steps that Serbia has taken – sending a central humanitarian aid that has helped repair and maintain Ukraine's energy infrastructure, as it has been brutally bombarded. And voting multiple times at the United Nations in support of sovereignty, and territorial integrity. These actions demonstrate both compassion, and not just regional leadership but global leadership.
I quoted Ivo Andric earlier. But I'm reminded, of course, of his most famous work, Bridge on the River Drina. As he put it: “Of everything man builds, nothing is more valuable than bridges.”
Of everything man builds, nothing is more valuable than bridges.
The United States and the EU are deeply committed to building these bridges, and to working in partnership with the government and people of Serbia and the people of Serbia to drive economic growth, to strengthen the country’s democracy, and together to advance peace and prosperity throughout the region.
I'll just say one last thing in closing, which is that I'm the first USAID Administrator to visit the country of Serbia. We have been working here for more than 20 years. And I feel very privileged, having started as a journalist here in my early 20s, to come back in this role, and the conversations that I'm having on this trip are immensely practical. They are really about what can we do as USAID or as the U.S. government to come up with partnership ideas to drive investment to help the Serbian communities here retain their dynamic, young people.
But I feel so lucky that I went from, all those years ago having just my pen in my notebook to now getting to work as part of the United States government in a constructive and practical way to try to enhance prospects here for deeper democracy and deeper prosperity in the years ahead. So with that, I'm happy to take your questions.
QUESTION (via translation): What kind of help USAID can offer to Serbia in the European path? The second one, you said that economic help is also a plan in this visit, could you tell us specific projects that can be done and the third, is regarding your impression so far? What would you like to choose from the things you mentioned that you tried, rakija, burek and what was the third one?
ADMINISTRATOR POWER: Rakija. Burek and ćevapi. Yeah. So what's the najbolje of those? So you know, lets start with the last question. First, which is, you know, for you all who live here and work here and experience the challenges of day to day life, especially in the wake of the events of the last week, you know, there – life can be difficult. There are a lot of hurdles in the way, you open a newspaper, there's always bad news and sad news. But to come back here, and to see the relationship that now exists between Serbia and the United States – this is not something that people couldn't have conceived of when I was last here. When I was last here, the sanctions were in place. Obviously, the wars were in place, the war in Bosnia and Herzegovina, the war in Croatia was still – was a little bit frozen at the time, but it would re-inflame itself in the late summer of 1995.
And it would have been inconceivable to think of the United States government investing $1.2 billion over two decades in trying to enhance Serbia's integration into the West, but of all to help generate livelihoods, to build civil society, to build independent media. And, you know, for me to come back apart from the critical food, which I have missed over the years, and the drink, which I've also missed, you know, I think it is important to reflect on that progress, even though we recognize that they're not yet reaching where we can go, we are not yet even, I think, scratching the surface of what this partnership can be so.
So that is, my main impression, honestly, is to see the dynamism of young people here, to learn about the the investments that USAID in the United States have made in the tech industry, and in the regulatory environment – to see those investments paying off, above all, because of the industry and creativity of Serbian people, to be clear, but even just that little catalytic role that we can play. You know, I leave, emboldened and motivated to think about what more we can do. To just continue every year to see this bond between our peoples, which has always been there with immigration, of course, to the United States and with our professional – the incredible Serbian athletes like Novak Djokovic, Vlade Divac and Nikola Jokić. I mean, there's so much contact and so much warmth between our people. But to see, again, the growth of the bond between our governments as well, is very, very motivating for me as USAID Administrator and as a member of the National Security Council. You know, I will go back and I will report to President Biden, again, about how far the relationship has come not just from back when I was here as a reporter, but from what President Biden was last here. I think 2016. I mean, just in seven years – inconceivable deepening of the relationship.
In terms of, you asked about sort of specifically, you know, I believe about all of the work that the United States does in support of Serbia's reform agenda. This is work that is positioning Serbia to be in this in the strongest possible posture for EU accession. You know, none of us can predict when those reforms will be complete or when that accession will occur. But we are absolutely confident in Serbia’s – that Serbia is on the path to integration and the path to accession. And we believe that along with the European Union, the investments that we make, particularly in the legal and in supporting regulatory and legal reform, will not only position Serbia to one day become a member of the European Union. But in the meantime, it will position Serbia to grow jobs, to experience not only growth but more inclusive growth, so that you see a growth being more evenly distributed among people in this country. So we can all look ahead and see EU accession as the ultimate destination and the ultimate target. But I think it's important not to lose sight of the good that those reforms will do in the present, in the here and now.
You asked if – this is the last thing I'll say – is just you asked for specific examples, I think of what USAID has done and I'll just give you a few. I'll be traveling tomorrow to Nis. We have done really important work there and in other Serbian cities on energy transformation, energy modernization already, because of the more modern equipment that we have provided, and the energy efficiencies that we are emphasizing with our Serbian counterparts. We are seeing something like a 33 percent drop in natural gas consumption in the areas where we run these projects. We need to work together to scale that, of course. But that's not just an issue for environmental protection. That's also an issue for cost savings. We know that everyone around the world is dealing with inflation, dealing with tough economic headwinds, and any savings that can be accrued that simultaneously advances again, a clean energy agenda and saves the consumer money. These are the kinds of projects that we want to do much more of.
The other example I give you about something really tangible that I'm incredibly proud of that I had nothing to do with because I was not at USAID when it was done, but had a chance to talk to Vlade Divac about and his wife Ana about yesterday, which is, you know, Serbia has made incredible strides in charitable giving. And one of the things that USAID did was work, including with the Divacs’s Foundation, but also with the authorities here, to create a national day of giving and to encourage private sector actors to contribute to charities. You know, there are many, really important things that can be done for nature, and for communities, and for history and culture, and for democracy, that the private sector, you know, doesn't fund on its own but can be funded through Serbian investment, and that's going to be much more sustainable in the long term – to protect nature, because of Serbia’s investments than anything the United States or the EU or others are contributing to from outside. So Serbia has moved up the ranks, as many of you know, I think in 2018, Serbia was 129th in the World Giving Index and as of 2021, was 48th. And that is a huge leap in a really short period of time. And again, think of all of the public goods that have benefited from that increase in charitable giving. And that came about I think, because of a really important partnership between USAID, civil society, and Serbian foundations, but also the Serbian private sector. Thank you.
QUESTION: You mentioned the dialogue, so I am asking you, how can USAID can help improve normalization between Serbia and Kosovo. What is your plan for USAID for the next 20 years in Serbia?
ADMINISTRATOR POWER: Thank you so much. Thank you. I will be traveling tomorrow to Kosovo. And like all of my colleagues at a senior level in the Biden Administration, who are focused on normalization, I will of course, be raising the difficult issues and the difficult challenges that lie ahead, just as I did today, with President Vučić, you know, the normalization process has made progress and the the fact that you now have the recent agreement, for collaboration to identify the remains of missing persons, or more than 1,600 people are named to the EU, who whose domains have not been found or who have not been accounted for.
That's not something that has been possible between 1999 and today. And now it is possible, it is clear that there needs to be progress on the creation of the association or certain majority of municipalities. And that is something that the United States has stressed in every engagement is, of course, something very important to the Serbian people here in Serbia, as well as the Serbian government. So again, as a development diplomat, I will be encouraging the kinds of steps that Derek Chollet and Secretary Blinken and President Biden above all, have been emphasizing. But USAID has an additional role, because we also have missions in both Serbia and Kosovo and thus, as normalization progresses, we are in a position to help both sides unlock some of the economic potential that would come about now, at its most basic level, normalization, would send a signal to global markets and to global investors, that these challenges are being addressed and have been resolved.
That is, you know, ultimately, that is going to be good for the economy of both countries. But well beyond that. You know, everything from customs harmonization to very sensitive questions and identity and identification, resolving those issues is going to make it easier for the private sector to invest. It's going to make it easier for the region as a whole to become a really powerful economic engine, and that in turn is going to make it easier for job creation in both Serbia and in Kosovo.
So right now, you know, and the emphasis is on the political track. But we are reengaged today with the Serbian President, the Serbian Prime Minister on ideas they have about what economic integration, you know, across the Balkans can look like and how beneficial that can be. And as normalization again, progresses, we think there are huge economic opportunities that will flow from resolving these issues that have really impeded the region as a whole from reaching its economic potential.
QUESTION (via translation): You partially answered this question, but could you tell us please, in which areas you see potential regarding the cooperation of two countries, Serbia and the United States?
ADMINISTRATOR POWER: Thank you. Well, one thing I have been emphasizing is the economic collaboration between us and our investments in small and medium-sized enterprises. One of the things that we do here is help SMEs apply for loans that another part of the U.S. government has worked with banks here to provide. The Development Finance Corporation has made significant investments here that make those low-interest loans available to SMEs, but USAID on the ground here can help those SMEs get access to those loans.
So, in that domain, as Serbia works, to create more energy independence, but also to create a greener economy, obviously, there's a long way to go in both of those domains. But we think USAID can play a critical role there. And really, in every economic sector, you either have an ongoing USAID program right now, or something that we have done in the past that I think is very free, and for which we can learn. But an area that I haven't emphasized as much in the question and answer period of this press engagement is on the importance of USAID support as well for civil society. You know, in any democracy, it is extremely important not only that the government is pursuing a set of policies that are in the interests of the citizens of the country. But then the citizens of the country can hold governments accountable, whether through elections, which of course, happened here routinely, but also through independent media through anti-corruption, accountability and investigation, that those are allowed to proceed freely. And so you know, I think on this visit, in addition to meeting with investigative journalists last night, who tried to perform this role as check and balance and a role that we know all too well as government officials in the U.S. – because we are forever being held accountable, and often being criticized, for what we do and what we don't do. But I thought it was really important for the Ambassador and I to engage the government as well, about this part of USAID’s work over the years, because civil society is much stronger now than it was 20 years ago, when USAID first started out. Again, now we have the private sector, even investing in NGOs, and others. But for independent media, in particular, in every country in the world. There are those who don't like the reporting and want to try to silence that reporting. All over the world, we see independent journalists getting sued more and more and that becomes very difficult for them to be able to fend off those lawsuits, which can be very expensive. So it becomes very difficult for them to even continue operating in some cases.
So because this is a global phenomenon, we've actually just created – we USAID – have created something called Reporters Shield which is to offer those journalists that are doing this important accountability work, legal protection and the kind of insurance that in the event that they are sued, that they will have the kind of legal support that they need in order to defend themselves. And mechanisms like that are really important because, again, we'd like to say sunlight is the best disinfectant.
And while governments like mine think that we are doing everything right and everything perfectly, sometimes we think that, we honestly need people who are out there engaging in communities, engaging in different ways that government officials can’t with the citizens to know how are our policies really working, you know, are the resources that were sent to a community actually reaching the school? Is that environmental permit legitimately acquired? Or has it been acquired, you know, in some underhanded way? Everybody's going to be better off when that sunlight is cast on governmental processes on procurement, on permitting, and so forth.
And we believe this about the United States, even though as a government official, it's sometimes hard to hear the criticisms. And we've seen around the world the importance of strengthening these checks and balances. So I think that's where USAID as well, in partnership with civil society, but also working with the government to strengthen those checks and balances. It's also very compatible with the EU reform journey that Serbia is on. So I think that that will be a very important area of collaboration as well.
I would just thank you, all of you are performing this vital role as journalists here in Serbia. And, you know, I've seen the power of Serbian journalism. I saw it during the war, when I was a reporter here and saw the bravery of so many of my Serbian colleagues – and that's initially during the Bosnian war, and then as well, the importance of journalism during the very difficult chapter, as well as the Kosovo War.
Now, this is a different struggle. It's a struggle to deepen Serbia's democracy, prosperity, to accelerate the path of integration into Europe, where Serbia so clearly belongs, where so many young people travel and seek schooling and often seek employment.
Again, having been here in those dark days, it fills me with amazing, intense hope that, given all of the progress that has been made, so far, our best days are still ahead. You know, the great prosperity that could be unlocked from Serbia as integration into Europe. Some of that economic growth is already happening. But we're only just beginning. And we take great pride in connecting Serbian companies with the global marketplace, we've been doing that for 20 years. But as political progress is made here, all of us who are ambassadors for investment here in Serbia, will have an easier task when the political and the economic go hand in hand. So I want to thank the Serbian people for the hospitality they showed me more than a quarter century ago and for the hospitality I've received on this trip, and I look forward to many more visits back to Serbia.
But thank you so much.