The 48 hours conference has commenced, an annual meeting of mayors and entrepreneurs organized by Lider in collaboration with the Association of Cities for 16 years. This conference highlights the need for an active role of cities and local government bodies in promoting entrepreneurial activity. It is essential to raise awareness of the need and possibility for cities to generate business activity that will contribute to sustainable development.
In the EU, regional policy is one of the most important, and in Croatia, increasing attention is being paid to the importance of cities, counties, and regions. The crisis is an opportunity for regional policy and the emphasized role of cities as generators of business activity. The management capabilities of cities need to be improved for the benefit of citizens and entrepreneurs. Therefore, this gathering should highlight the developmental role of cities, how and to what extent cities attract investments, and how to improve the competitiveness of cities. Good examples will be presented at the meeting – cities in Croatia and abroad that have integrated an entrepreneurial climate into sustainable development.
The conference was opened with a welcoming speech by Lider’s editor-in-chief Miodrag Šajatović in a full hall at the Falkensteiner Punta Skala Resort near Zadar, who emphasized that it is incredible to see the organic growth of this gathering year after year and that he is extremely pleased that more and more entrepreneurs wish to collaborate with mayors across Croatia.
– The last few years have been ‘fat’ years for us in the business world and for local governments and self-governments. There is money like rarely before, but we are all aware that ‘fat’ years do not last long, and now it is our responsibility to lay the foundations for the future in these good years – said the editor-in-chief of Lider, noting that it is clear how much the quality of city management has changed over the years and how different that management is compared to before.
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The mayor of Zaprešić and president of the Association of Cities, Željko Turk, confirmed that city management is changing and that they are indeed the engine of development for EU countries, adding that there is now a great responsibility on everyone.
– A large part of European funds is ahead of us, and how well we will use them depends on us and our cooperation with entrepreneurs – said Turk, noting that the situation in cities today is drastically different compared to eight years ago and that it is now up to local governments to create the foundations for further development together with the Government of the Republic of Croatia and with good and quality projects.
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The meeting of mayors and entrepreneurs has returned to Zadar after two years, and as determined by the mayor of Zadar, Branko Dukić, after these 48 hours, conference participants will return to their cities and companies with new insights and ideas.
– We want to enable everyone to have a safer, happier, and more successful life, and without the partnership of the public and private sectors, it is difficult to make decisions that will strengthen communities – stated Dukić.
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Along with cities, counties are the drivers of development in their areas, and that is exactly what Zadar County strives to be, which has climbed the success ladder in the last five years and is now among the four most successful counties in Croatia, emphasized County Prefect Božidar Longin.
– The increase in economic activities lies in EU funds, but of course, regardless of that, we welcome every entrepreneur who approaches us with open doors and a positive atmosphere, which is the most important thing in our business – said Longin, adding that tourism is the main economic branch on the Adriatic coast, but Zadar County can also boast of production and is developing as a transport hub.
– We are working on the further development of the Gaženica port, which is the best cruise port in the world, but we also have an excellent road network and are working on the development of the airport, and I hope for the development of the railway – said Longin, noting that the County is striving to provide a range of measures for entrepreneurs and hopes for the continuation of positive activities in Zadar County.
– Even when the funds dry up, we must know what we will do and how much we will work – concluded Longin.
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All gathered at the opening of the 48 hours conference were also greeted by the Minister of Justice, Public Administration, and Digital Transformation, Damir Habijan.
– I believe that the long-term maintenance of such a conference, where you exchange good practices, good ideas, and different thoughts on how to help both citizens and the economy, actually best demonstrates that synergy and connection between the public sector and also the private sector – said Habijan, recalling the latest data related to GDP.
– This is the fifteenth consecutive quarter that the GDP of the Republic of Croatia has grown, by 3.9 percent, and if we compare that with the growth at the EU level of one percent and the eurozone of 0.9 percent, then it is enough to say that our growth is actually the largest in the European Union – said the minister.
The minister also spoke about the relief of the economy, noting the package of parafiscal levies that the Government reduced in the first wave by 137 million euros.
– First of all, that large part of the levy related to the water contribution, but also certain fees that by their definition fall under parafiscal levies, have been significantly reduced or abolished. Certain administrative burdens have also been reduced. I think this is a good path and the best indicator that this Government certainly thinks about the economy, and ultimately, today’s data from the Croatian Bureau of Statistics shows that – noted Minister Habijan.
When discussing local and regional self-government units, it is necessary to touch on tax reforms, primarily the part concerning the expansion of the autonomy of local self-government units regarding taxes, where cities and municipalities have actually been given the opportunity to autonomously decide on income tax rates.
– Ultimately, this is something that has certainly been good for our citizens – added Habijan.
The minister also reflected on the topic of digitalization, mentioning the project to establish a shared services center as the most significant step towards the digitalization of public administration, but he also highlighted one negative trend – the digital divide, which the Government, he claims, will address in the coming period.
– It is certain that this digital divide in some way leads to the underdevelopment of certain parts of the region, but also to unequal opportunities, and that is something that is the task of all of us, primarily I mean the relevant ministry – concluded Habijan.
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The city of Zadar has achieved significant results from investments in entrepreneurial infrastructure over the past 15 years. What has been done and what is still planned to be done was presented by Stefani Mikulec Perković, head of the EU funds management board in the City of Zadar. As early as 2007, the construction of the first entrepreneurial incubator was launched, covering 1,200 square meters, where 28 companies found their place. The incubator operated continuously in that space until 2015 when a coworking space was added. – This enabled freelancers and the IT industry to develop their services with professional assistance – explained Mikulec Perković. The coworking space had 17 units, of which 16 were in an open office space.
The incubator gained an international character in 2015 when, in cross-border cooperation with Bosnia and Herzegovina and in collaboration with the University of Zadar, a coworking space for students was equipped. Between 2017 and 2018, in collaboration with the company Innovative Zadar, the reconstruction of the entrepreneurial incubator was carried out with co-financing from European funds, during which a pre-incubation space was created, and new IT equipment was installed. The sustainable component of the renovated incubator was provided by a photovoltaic power plant on the roof of the building, said Stefani Mikulec Perković.
A significant investment cycle is taking place between 2021 and 2023 when a new incubator was built, financed by funds from the European fund for Competitiveness and Cohesion. The value of that project was 3.2 million euros, and for that money, 20 business spaces were equipped over two thousand square meters. However, the strategic project of the City of Zadar, when it comes to entrepreneurial infrastructure, is the Economic Zone Crno, which spans 400 hectares. So far, only the first 25 hectares have been activated in the first phase. As Mikulec Perković emphasized, everything the City earns from the activation in the first phase will be invested in the second phase.
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When everything is summed up, Zadar has invested 8.7 million euros in entrepreneurial infrastructure over the past 10 years, of which more than six million euros came from European funds. The invested money has resulted in the coworking space following users throughout their entire development period. Mikulec Perković presented data showing that the peak number of users was recorded in 2021, and that year also saw a significant increase in the number of foreign users. These are digital nomads, considering that Croatia was at the top of the global list of the most popular destinations for digital nomads that year.
In the past and this year, there has been a decline in the number of foreign users, but there has been an increase in the number of domestic users. A particularly noticeable increase is in permanent users who use the coworking space daily, totaling twenty. The success of the Zadar entrepreneurial incubator is also evidenced by the fact that since 2016, 60 startups have passed through it, and 91 percent of them are still active.
– The new incubator has a 100 percent occupancy rate, with 20 new companies – emphasized Stefani Mikulec Perković in her presentation.
In the near future, the City of Zadar has several goals for further development of entrepreneurial infrastructure. – This includes further activation of the Economic Zone Crno, the establishment of an island coworking space, and coworking within the Youth Center – concluded Mikulec Perković.
