OECD SME Policy Index published: Serbia has a well-developed policy framework, but implementation remains a challenge
The OECD continues to assess Serbia as having a relatively well-developed policy framework for small and medium-sized enterprises, while the implementation of these policies remains the main challenge. These are the findings of Serbia’s profile in the seventh edition of the OECD SME Policy Index 2026. The Index measures how the economies of the Western Balkans and Türkiye develop and implement policies supporting SMEs and entrepreneurship, and how effective these policies are. This year’s edition, to which NALED also contributed, focuses on policy implementation, monitoring and evaluation, that is, on the extent to which existing frameworks actually deliver results. Serbia was assessed across 13 policy areas, including a new one, digital transformation.
The OECD continues to assess Serbia as an economy with a relatively well-developed SME policy framework. In the previous edition from 2022, Serbia ranked among the top three economies in the region in almost all areas. Due to the revised methodology, which places greater weight on the quality of implementation, results and impact monitoring, the scores should be viewed as a diagnostic tool rather than simply as a ranking.
Results for Serbia
Serbia received its highest score in standards and technical regulations (4.46). Public procurement (4.35), support services for SMEs and start-ups (4.09), the operational environment for SMEs (4.03) and the institutional and regulatory framework for SME policy-making (3.98) were also highly rated.
Innovation policy for SMEs scored 3.83, well above the regional average of 3.27. The score is slightly lower than in 2022 (4.00), but this does not necessarily indicate a decline in policy, as the OECD has since changed its methodology. Serbia is also above the regional average in enterprise skills (3.76 vs 3.44) and internationalisation of SMEs (3.79 vs 3.76).
Digital transformation of SMEs was assessed separately for the first time. Serbia scored 3.38, the highest among the Western Balkan economies. However, the OECD notes that further progress will require stronger implementation and monitoring of measures.
Areas for improvement
Three areas scored below the regional average: bankruptcy and second chance (2.80 vs 2.97), the green economy (3.07 vs 3.16) and access to finance (3.17 vs 3.21). In bankruptcy and second chance, the OECD again points to the lack of concrete programmes supporting entrepreneurs after business failure. The score in this area dropped from 3.21 in 2022.
Status of NALED’s recommendations
During the preparation of the OECD report, NALED submitted a number of proposals for improving the business environment. The report includes recommendations that female entrepreneurs who become mothers be granted the same rights as employed women: to keep their business running by appointing a manager while receiving full benefits, to have their pension contributions paid from the budget during leave, and to be guaranteed at least the minimum wage. In several areas, the OECD recognised problems that NALED had pointed out, but without the proposed solutions. The report notes that the preduzetnistvo.gov.rs portal has not been updated since mid-2025, that closing a business is not yet fully digital, and that the rules for flat-rate taxed entrepreneurs are not predictable enough, as the cap on tax base growth is temporary and the flat-rate threshold has not been changed in more than ten years. Regarding business angels, the report states that they have no tax credit for investments in innovative companies, but it does not adopt NALED’s proposal to introduce a tax credit of up to 50%.
NALED will continue to advocate for the solutions not included in the report, so that the recommendations become concrete changes for small businesses.