Swiss investments reshape industries, while green energy and technology open new frontiers
Switzerland has long been a key economic partner to Serbia, with investments spanning finance, technology, and sustainable development. Recently posted to Belgrade, Swiss Ambassador Anne Elisabeth Lugon-Moulin shares insights on the latest developments in Swiss-Serbian relations, the impact of strategic investments, and the future of this dynamic partnership.
You recently assumed the position of Swiss Ambassador to Serbia. How has your transition to life in Belgrade been? What do you like most about the city, and is there anything you miss from home?
Belgrade is a fascinating city, and I have felt incredibly welcomed since my arrival. It is full of energy and rich in cultural and historical heritage. I love walking along the rivers, exploring different neighborhoods, and experiencing the city’s vibrant atmosphere. What makes Belgrade truly special for me is its people—their warmth, hospitality, and openness are remarkable.
Having lived abroad for more than five years now, I am used to missing things from Switzerland, especially our cheeses and chocolate, the mountains near my home, and the breathtaking view of the vineyards around Leman Lake. I was genuinely thrilled to return to the European continent and settle in Serbia. My time here has been very dynamic, and I appreciate how many activities and collaborations are taking place between our two countries.
President Vučić visited Switzerland in December and met with 2024 Swiss President Viola Amherd. What were the key discussion topics, and what impact do you expect this visit to have on Swiss-Serbian relations?
President Vučić’s visit to Switzerland was a significant moment for our bilateral relations. Discussions focused on economic cooperation, trade and investment, and Swiss support for introducing the dual vocational education system in Serbia. Both sides acknowledged the strong economic ties between our countries and the potential for further Swiss investments in Serbia, particularly in innovation, sustainable development, and tourism. The visit also underscored the important role of the Serbian diaspora in Switzerland, which serves as a valuable bridge between our two nations.
I believe this visit reinforced our political dialogue and set the foundation for expanding economic and cultural cooperation. I expect to see even greater Swiss interest in Serbia, especially in key sectors like green energy, digital transformation, and artificial intelligence—areas where both our countries are highly advanced.
Switzerland sees great potential in Serbia, especially in innovation, green energy, and digital transformation
Switzerland is one of the most significant investors in Serbia. Which sectors attract the most Swiss investment, and where do you see potential for further expansion?
Switzerland has a strong presence in Serbia, particularly in services, pharmaceuticals, large industries and IT. In recent years, there has been a growing interest in digital transformation, biotech, and large-scale industries. Swiss companies appreciate Serbia’s skilled workforce, strategic location, and business-friendly environment.
There is still potential for expansion, especially in technology-driven sectors and renewable energy. Serbia’s startup ecosystem is developing rapidly. Real estate is also a new sector where Swiss investments are coming into the country.
Serbia has recently completed its second renewables auction with the support of the European Bank for Reconstruction and Development (EBRD), funded by Switzerland, marking a significant step toward a greener energy future. How do you see the role of Swiss investors and expertise in contributing to Serbia’s renewable energy transition?
The success of the renewables auction demonstrates Serbia’s commitment to green energy, and it opens doors for further investment in solar, wind, and other renewable projects. Swiss expertise in energy efficiency, smart grids, and sustainable infrastructure could play a crucial role in helping Serbia meet its long-term environmental and economic goals.
In December, Switzerland hosted the Swiss-Serbian Innovation Forum. What were the key takeaways from this event?
Switzerland has consistently ranked number 1 on the European Union Innovation Scoreboard (covering countries outside of the EU also) and on the UN World Intellectual Property Organization’s Innovation Index for over a decade. We are one of the countries in the world spending the most on Research and Development (compared to GDP). The Forum was thus an opportunity to have the Head of the Swiss delegation exchange with Minister of Science, Technological Development and Innovation J. Begovic on systemic issues related to research and sciences in both countries.
The Swiss-Serbian Innovation Forum was also a fantastic opportunity to highlight the collaboration potential in technology and entrepreneurship. It brought together 500 participants (eg startups, business leaders, and policymakers) to discuss fostering cooperation in areas such as AI, biotech, and sustainable innovation. One key takeaway was the recognition that Serbia is an attractive destination for Swiss investors, particularly in high-tech industries. We established several new connections and are currently exploring ways to support follow-up initiatives.
The Serbian diaspora in Switzerland is a valuable link between our two countries, driving business and cultural exchange
How would you assess the current trade relations between Serbia and Switzerland? Are there specific areas where cooperation could be strengthened?
Trade relations between Serbia and Switzerland have been steadily growing over the past five years, making Switzerland one of Serbia’s key economic partners, particularly in the services sector, where we rank Serbia’s fourth-largest partner worldwide. Serbia’s exports to Switzerland, especially in machinery, agriculture, and IT services, have also been increasing, which has resulted in a positive trade balance for Serbia. Let me also recall that we have had a bilateral free-trade agreement in place for more than ten years.
In 2023, the total trade of goods between the two countries amounted to 708.6 million euros, marking a slight decrease compared to 2022, but when we add services, we are coming up to 2 billion of trade per year. There is, thus, room for improvement. We are actively encouraging Serbian companies to explore opportunities in Switzerland and vice versa, with a strong emphasis on strengthening business-to-business ties in the coming years.
Serbia has seen an increase in student protests and political activism. Do you see political instability in Serbia as a potential risk factor for foreign investments, including Swiss businesses operating in the country?
Private companies need a stable environment to plan their future investments. While the current political momentum is peaceful, it brings a certain level of uncertainty about the future. Therefore, I do see a risk—albeit limited in time—of the private sector being in a “wait and see” mode.
The Swiss government, through SDC and SECO, has been actively supporting small and medium-sized enterprises (SMEs) in Serbia. Can you elaborate on this program and its impact?
SMEs are the backbone of the Swiss economy, and they play a crucial role in job creation and innovation in Serbia as well. Through the Swiss Agency for Development and Cooperation (SDC) and the State Secretariat for Economic Affairs (SECO), we have supported Serbian SMEs by improving access to finance, enhancing business skills, and promoting digitalisation. Our new flagship project is the SME Hub.
Can you share some success stories or notable achievements from this program?
There have been many inspiring success stories. We have seen Serbian startups expand internationally after receiving support from Swiss-backed initiatives. Additionally, traditional businesses have modernised their operations, making them more competitive in European markets. Over the past three years, 147 companies have improved their international market access, thanks to Swiss support.
One outstanding example is Adoré Chocolat, a family-run business specialising in handmade pralines and premium-quality chocolates. With support from SME HUB, Adoré strengthened its organisational, financial, and management capacities, which enabled collaboration with Bambi. While Adoré was already a recognised producer of high-quality handmade chocolates, transitioning from artisanal to industrial production was crucial for its growth and developing its new product, Plazma Praline.
What are the future priorities for Swiss support in this area?
We will continue focusing on innovation, modernisation, and expanding vocational education programs. The dual education system in Switzerland has been a key factor in our country’s economic growth, innovation, and low youth unemployment rate. We want to help Serbia expand vocational education programs to ensure young people acquire skills relevant to the jobs of the future. Additionally, assisting Serbian SMEs in adopting digital transformation and green technologies will be a priority. The Science and Technology Park in Belgrade, which we have supported since its onset, will remain a key partner for us. Several start-ups have been created at the STP, thanks to the long-lasting support of Switzerland.
Freedom of expression and democratic values are key elements of Swiss foreign policy. How does Switzerland engage with Serbia in these areas?
We have been supporting local governance projects for some decades now. As Switzerland is a highly decentralised country, we have especially engaged ourselves at the local level in Serbia in fostering citizen participation, transparency in public spending and public oversight mechanisms. In doing so, we have always worked and helped all involved actors: the respective Ministry in designing the system, the Standing Conference of Towns and Municipalities for fostering intermunicipal exchanges and best practices, as well as some local CSOs and NGOs to enhance public participation and check-and-balances.
Swiss companies appreciate Serbia’s skilled workforce, strategic location, and business-friendly environment
How does Switzerland view Serbia’s EU accession process, and in what ways is it assisting the country on this path?
Switzerland supports all Balkan countries in their respective paths towards EU membership. Our development cooperation portfolio worth 20 million euros/year is geared towards three key sectors of importance for Serbia’s reforms: economic development and innovation, climate change and energy, and governance. As a non-EU member, it is not up to Switzerland to judge the EU accession process of Serbia. We support the end goal because we believe that the Balkans need to be better integrated with Europe.
Serbia has a significant diaspora in Switzerland. How do you assess their contribution to Swiss society and the economy?
The Serbian diaspora in Switzerland is a well-integrated and dynamic community that has made substantial contributions in my country across multiple sectors, including business, academia, medicine, sports, and culture. Its hard work and entrepreneurial spirit have enriched Swiss society in countless ways.
Many Serbian expatriates maintain strong ties to their homeland by sending remittances, investing in businesses, and fostering economic cooperation. I am also amazed to see how many cultural projects bridging our two societies are emerging from Serbian people living in Switzerland and Swiss citizens who join talent and forces together. Our Embassy also tries to offer them an expanded visibility. They are an invaluable link between our two countries.
Looking ahead, what is your vision for Swiss-Serbian relations in the coming years?
I am very optimistic about the future of our partnership. Switzerland and Serbia share a strong foundation of trust and friendship; next year, we will celebrate 110 years of diplomatic relationships. I see numerous opportunities for deepening our cooperation. Innovation, sustainability, and investment in human capital will be key focus areas of our work, be it through our development cooperation portfolio or the private sector.
Lastly, EXPO 2027 will offer significant opportunities to connect our two countries further. I was very proud to represent Switzerland as the first country to officially announce its participation in EXPO 2027, demonstrating our commitment and reliability in Serbia.
All Photos: Curtesy of the Swiss Embassy