AGP Executive Report

EU Enlargement Push: European Council President António Costa urged Western Balkans to accelerate reforms and seize the EU momentum ahead of a June 5 summit in Tivat, while critics say progress still hinges on hard political decisions. Serbia–Finland Diplomacy: Foreign Minister Marko Đurić wrapped up talks in Helsinki with President Alexander Stubb, stressing “a Serbia in Europe, and a Europe in peace,” and briefing on Kosovo repression. UAE–Serbia Parliamentary Ties: A special National Assembly session received UAE Federal National Council Speaker Saqr Ghobash, highlighting cooperation and past UAE support during COVID-19. EU Roaming Deal: EU ambassadors approved talks to end roaming charges with the Western Balkans, with a possible 2027 removal if negotiations finish this year. Energy & Sanctions Reality: Serbia’s energy minister Dubravka Djedović Handanović met Gazprom Neft officials in St Petersburg to discuss a sustainable solution for NIS amid U.S. sanctions and gas supply. Belgrade Justice: Veselin Milić was questioned again in Belgrade over alleged failure to report a criminal offence tied to the May 12 “27” restaurant aggravated murder case. Border Chaos: Freight traffic at the Serbia–Croatia border reportedly ground to a near standstill after Croatia introduced a new customs system, with drivers stuck for 35 hours. Regional Business: Terra Balcanica secured a 3-year exploration licence in Bosnia and Herzegovina for the Viogor polymetallic project near Srebrenica. Sports: Serbia opened the Volleyball Nations League in Nanjing with a win, while Dusan Vlahović’s Juventus renewal talks reportedly stalled over salary demands.

Belgrade Water Update: The City of Belgrade says drinking water is safe after a water system emergency put two municipal wells out of service for repairs and testing, with temporary restrictions still in effect. Mining & Jobs: Minrex Resources has restarted drilling near Bosilegrad to expand the Barje gold and silver deposit, aiming to upgrade resources and fund a new study later this year. New Flights: Air Serbia launched direct Belgrade–Alicante service twice weekly, with more Spain routes planned and new links to Tenerife and Seville from September. EU Path Diplomacy: Serbia’s FM Marko Đurić says Finland reaffirmed “unequivocal” support for Serbia’s European future during talks in Helsinki. Regional Rail Friction: The Belgrade–Budapest high-speed rail launch is delayed again despite the line being completed, with freight-only use and technical testing blamed. Energy Security Debate: Analysis highlights how the Hormuz crisis is pushing Southeast Europe to rethink long-term energy resilience and integration. Sports & Culture: A Belgrade Youth Center hosts a new U30 film festival, while Air Serbia and other updates keep the week busy for travel and sport.

Serbia-EU & diplomacy: President Aleksandar Vučić warned the EU is “sleepwalking” into economic ruin as protectionism and low productivity choke growth, while Serbia insists it will stay on its EU path and protect its own interests. EU enlargement push: Slovenia’s incoming foreign minister Tone Kajzer said Ljubljana will keep backing Western Balkans EU integration, stressing rule-of-law and human-rights conditions. Finland ties: Serbian FM Marko Djuric said Finland reaffirmed “unequivocal” support for Serbia’s European future after talks in Helsinki. Kosovo politics: Kosovo’s snap election campaign is shaped by the breakup of the Kurti–Osmani alliance, with polarization driving the vote. Energy & sanctions: Finance Minister Sinisa Mali said Serbia made progress in talks with Hungary’s MOL over MOL’s bid for a Russian-majority stake in NIS, with a response due soon amid an OFAC deadline. US relations: The White House nominated Michael Young as US ambassador to Serbia (post vacant since Jan 2025). Visa-free Russia: Vučić said Serbia will not scrap visa-free travel for Russians. Business & construction: Belgrade Avenue construction in North Mankato is entering a new phase, with local businesses adapting to detours. Health: Research says even one alcoholic drink a day raises cancer risk, with no safe threshold.

EU Accession Push: Serbia’s EU negotiating team, led by Ambassador Danijel Apostolović, met to brief on President António Costa’s upcoming Belgrade visit and the June 5 EU–Western Balkans summit in Tivat, with a focus on speeding up reforms and public administration changes. EU Enlargement Signal: EU Council President Costa told regional leaders the enlargement process is “real,” framing it as a geostrategic investment in peace and stability as Montenegro and Albania lead the way. Economic Snapshot: Serbia’s GDP grew 3% in the first quarter of 2026, outpacing EU and eurozone growth, alongside a strong export increase. Green Industry: ElevenEs has started building an electric car battery factory in Subotica, beginning training for the first 110 workers ahead of production. Mining Update: Minrex Resources began a fully funded 7,000m drilling program at the Barje gold deposit near Tlamino to upgrade resources and support a scoping study by year-end. Rule of Law & Protests: A new analysis argues police brutality during protests remains a pattern, with selective repression and limited accountability despite widespread documentation. Business Digitalisation: A Serbia-focused interview highlights how ERP and AI adoption is becoming a must for competitiveness, though readiness varies by company size.

EU Accession Tensions: Serbia’s EU path could face a Croatia veto over Danube border disputes, EU integration minister Nemanja Starović warned, saying Belgrade may be pressured to accept conditions tied to territory. EU Info War: EU ambassador Andreas von Beckerath urged Serbian authorities to do more to promote an “objective” case for EU membership and fight disinformation, citing survey results showing support at about 40%. Energy Deal: EPS and Azerbaijan’s SOCAR signed in Baku a cooperation document for a gas-fired power plant in Niš, targeting up to 500 MW by 2030. Politics & Elections: Opposition figures accuse the government of avoiding elections and relying on rallies to project strength. War Crimes Parole: Estonia’s court is reviewing conditional early release for Serbian war criminal Milan Martić, with prosecutors and prison opposing parole. Belgrade Culture: The first U30 film festival runs June 4–7 at the Belgrade Youth Center, focused on short films under 30 minutes. Weather Alert: Serbia faces unstable conditions with thunderstorms and an orange warning expected. Sports: Serbia lost 3-0 to Cabo Verde in a friendly ahead of a June 5 match vs Mexico.

Media Ownership Watch: The European Federation of Journalists says it’s worried about the uncertainty facing outlets in Serbia and the region after United Group sold Adria News Network (ANN) to Alpac Capital, warning this could hit editorial independence and pluralism. EU Accession Pressure: Serbia’s EU path is under scrutiny as the European Parliament’s foreign affairs committee prepares a June 3 vote on a report saying rule-of-law and democracy reforms are slowing or reversing, with media conditions called “appalling.” Energy Security Moves: Serbia is pushing new gas interconnections with North Macedonia and Romania within two years, while the environment ministry starts the formal Environmental Impact Assessment for a Hungary-to-Novi Sad oil pipeline route. Transport Corridor Plans: Serbia has published details for a high-speed rail upgrade on Corridor 10 through North Macedonia, triggering the transboundary EIA process near the Tabanovce crossing. Diplomacy: Serbia’s foreign minister Marko Djuric tells Slovakia accession should be judged on “effectiveness,” and a UAE call with President Vučić focused on economy, development and renewables. Regional Sanctions: The U.S. is reviewing whether Milorad Dodik’s recent actions warrant re-listing on sanctions.

Serbia–China ties: Serbian President Aleksandar Vučić’s Beijing visit kept “ironclad friendship” front and center, with Xi Jinping stressing the depth of the relationship and new momentum in cooperation. Economy & finance: Central banks of Serbia and China signed a EUR 630 million currency swap deal, while Serbia also moves to secure more Chinese investment and industrial cooperation. EU rule-of-law pressure: An EU report says Serbia has stalled on rule-of-law reforms. Politics in Republika Srpska: Branko Blanuša says the SDS will run in elections at all levels and, separately, Milorad Dodik proposed renaming a Banja Luka square after Hague war-crimes indictee Momir Talić. Sports (Serbia-related): Serbia plays Cape Verde in a World Cup warm-up friendly today, part of the lead-up to June’s tournament.

Serbia–China Finance: The National Bank of Serbia and the People’s Bank of China signed a new five-year bilateral currency swap worth 5 billion yuan (about €630m), aimed at supporting financial stability and expanding trade ties. Energy & Industry: Serbia’s energy efficiency push is getting a boost, with experts urging firms to act first on efficiency while the state plans major energy investments from 2028–2035, including new power capacity and grid upgrades. Media Ownership: Alpac Capital reached an agreement to buy Adria News Network from United Group, raising hopes for editorial independence after years of uncertainty around regional media sales. Privatization Watch: Serbia’s economy ministry updated the list of state firms still in the privatization pipeline, with some tenders potentially starting in 2026 while others remain blocked by legal and property issues. Regional Trade: Eurasian Economic Union leaders approved new trade steps, including free-trade talks with Tunisia and updates to the EAEU–Serbia deal to simplify customs paperwork. Diplomacy: President Aleksandar Vučić’s China visit continued to spotlight “ironclad” Serbia–China cooperation, with new pledges across transport, emerging sectors, and people-to-people ties.

EU Enlargement & Balkans: The EU Parliament’s Foreign Affairs Committee is set to vote on reports on EU membership progress for Ukraine and Moldova, while also assessing Serbia’s rule-of-law concerns and Kosovo-related issues, with MEPs urging continued reforms and inclusive governance. Serbia-China Tech Push: President Aleksandar Vučić continued his China visit with youth and robotics events in Jiaxing, highlighting plans to produce humanoid robots in Serbia and deeper AI cooperation. EAEU Trade & Serbia Link: Leaders in Astana backed deeper EAEU integration via digitisation and AI, while also launching free-trade talks with Tunisia and updating Serbia-related customs provisions to simplify clearance. Sports—Djokovic Out: Novak Djokovic’s French Open run ended as 19-year-old Joao Fonseca rallied from two sets down to beat the Serbian 4-6, 4-6, 6-3, 7-5, 7-5, guaranteeing a first-time men’s Grand Slam champion.

Media Ownership Watch: Serbia’s Adria News Network deal is moving ahead, with Alpac Capital set to buy N1 and other regional outlets; journalists’ groups warn the broader political pressure on independent media could threaten pluralism and editorial independence, while N1 says no editorial pressure has been imposed so far. Energy & Industry: Serbia’s mining and energy minister met the World Bank to map a multi-stage gas sector development push, focusing on new interconnections with North Macedonia and Romania plus transport and storage upgrades. Public Transport Finance: The government adopted a draft law guaranteeing up to EUR 263.9m for 30 new electric trains for Srbijavoz, backed by Deutsche Bank and CESCE support. Renewables Grid Delays: RES Serbia says amendments to energy regulation effectively postpone grid connection studies for wind and solar until late 2029, risking stalled projects and stranded guarantees. Politics: A senior Socialist Party official says the Socialists should not run in coalition with the Serbian Progressive Party in the upcoming election. Sports & Culture: Beldocs 2026 winners were announced in Belgrade, with “The Thing to Be Done” taking the international top prize and “Sunset” winning Serbia’s competition. Economy: The dinar’s official median rate against the euro was 117.4175 RSD per euro.

Serbia-China Economic Push: President Aleksandar Vučić wrapped up a five-day state visit to Beijing, praising “ironclad friendship” after Xi awarded him China’s Friendship Medal and signaling new Chinese investments worth “hundreds of millions of euros.” Green Industry Breakthroughs: HBIS and the University of Belgrade say a China-Serbia joint lab has trial-produced high-end automotive steel panels and confirmed Serbian iron ore can meet green steel standards via hydrogen metallurgy. Finance Cooperation: Serbia and China expanded their local-currency swap to 5 billion yuan (74 billion dinars) for five years, aiming to boost trade, investment, and stability. EU Path in Focus: Serbian Parliament Speaker Ana Brnabić met Spanish leaders in Madrid, seeking continued EU-integration support. Kosovo Tensions: Pristina authorities raided Serbian Railways sites in northern Kosovo-Metohija, replacing Cyrillic signs and hanging flags ahead of June 7 elections. Sports—Djokovic in Heat: Novak Djokovic beat Valentin Royer in four sets at the French Open, urging later match times to ease the Paris heat wave.

China-Serbia Investment Push: Serbian President Aleksandar Vučić wrapped up a five-day visit to China in Shanghai, saying talks with 29 Chinese firms were “exceptionally successful” and pointing to potential new investments worth hundreds of millions of euros, alongside a broader push into robotics and high-tech. Jobs and Industry: Serbia also announced new China-linked deals totaling €953 million and nearly 1,700 jobs, including automotive supply-chain investments in Loznica, Šabac, Novi Sad and Niš. Diplomacy Watch: Foreign Minister Marko Đurić told reporters in New York that this week is key for Serbia-China ties after meetings with Chinese FM Wang Yi, citing 35 documents signed or announced during Vučić’s China visit. EU Enlargement Pressure: European Council President António Costa will tour the Western Balkans next week, with Belgrade on the agenda, to discuss enlargement and regional stability. Kosovo Tensions: Pristina authorities raided Serbian Railways buildings in northern Kosovo-Metohija, replacing Cyrillic signs and hanging “Kosovo” flags ahead of June 7 elections. Domestic Politics: Opposition figures say the government is postponing a no-confidence debate until fall unless elections are scheduled sooner. Finance: The dinar’s official median rate is 117.4205 per euro, according to the National Bank of Serbia.

China-Serbia High-Tech Push: President Aleksandar Vučić toured Minth Group in Jiaxing, where humanoid robots performed and calligraphy was demonstrated—another signal that Serbia’s China ties are moving from infrastructure into advanced manufacturing and robotics. Roads and Growth: Vučić also said Serbia will reach 1,200 km of motorways and express roads by end-2026, pointing to Chinese-backed construction momentum and new investor interest. EU Tensions in the Region: Milorad Dodik warned Republika Srpska could consider a referendum on EU integration, citing EU steps and calling for use of dispute-resolution mechanisms. Telecom Outlook: America Movil set its 2026-2028 plan for steady growth while keeping capex around $7bn a year, with Serbia mentioned among Eastern European telecom targets. Energy Permits Controversy: Linglong Tire in Zrenjanin received operating permits for risky chemical sections despite missing approvals for major-accident safety planning, raising fresh environmental concerns. Media Funding Watch: ANEM says local governments have distributed over RSD556m for 2026 media projects, with some municipalities still missing deadlines. Sports—Djokovic: Novak Djokovic advanced at the French Open after a tense second-round win over Valentin Royer, amid crowd hostility and a net-cord controversy.

China-Serbia Investment Push: Serbian President Aleksandar Vučić’s state visit to Beijing is tied to a reported $1.1bn package for AI, robotics and EV manufacturing, plus earlier deals and new talks with Xiaomi and other firms, as Belgrade pitches itself as a hub for Chinese investment. Local Industry Boost: Xinhua highlights Chinese-backed upgrades at Smederevo Steel and a high-speed rail link cutting Belgrade–Novi Sad travel to about 30 minutes. UAE-Serbia Social Pact: The UAE and Serbia signed a cooperation agreement under CEPA to strengthen family empowerment and child protection. Environment Row: Coalition 27 says Serbia’s draft Environment Protection Program lacks ambition, clear implementation tools, and biodiversity targets. Anti-Corruption Drive: Serbian police arrested 26 people in a nationwide operation over alleged money laundering, VAT-related tax fraud and other financial crimes. Belgrade Protests Fallout: One report links the timing of the Beijing deals to weeks after mass protests demanding early elections and accountability. Sports & Culture: A Belgrade-linked network of partner cities on new industrial revolution was launched at BRICS, while Serbia’s UN stance was reiterated by FM Marko Djuric.

China-Serbia Pivot in Full Swing: President Aleksandar Vučić’s China visit is pushing cooperation beyond roads and steel into AI, robotics, digital economy, green energy and advanced manufacturing, with Beijing and Belgrade signing 20+ documents and highlighting billions in Chinese investment. Local Development Meets Heritage: Serbia’s construction ministry has issued location requirements for a Science and Research Center and a Vinca Local Community Center inside the Belo Brdo Archaeological Park. Business-to-Business Deals: Serbian firms are exploring practical partnerships with Bombardier in aerospace supply chains, while another potential investment is being discussed with TBEA Shandong. EU Accession Watch: A draft Law on Credit Institutions is open for public comment as Serbia aligns Chapter 9 rules. Energy Grid Bottleneck: Serbia is delaying renewables grid-connection studies until 2029, reshaping timelines for wind and solar projects. Family Policy Cooperation: The UAE and Serbia signed a deal to strengthen family preservation, empowerment and child protection.

China-Serbia Deal Push: Serbian President Aleksandar Vučić is in Beijing for his third day, meeting Chinese firms including HBIS, Bank of China, CNNC and ARIDGE, pitching Serbia’s urban development and nuclear energy plans and promoting flying-car tech ahead of EXPO 2027. Diplomatic Framing: Chinese officials call the visit “historic” and say both sides want to align China’s 15th Five-Year Plan with Serbia’s 2030 strategy, while Xi awarded Vučić China’s Friendship Medal. Tech Investment Tease: Vučić says he has invited Xiaomi to invest and showcase at EXPO 2027, after touring a Xiaomi electric-car plant. Energy Rules Shift: Serbia adopted amendments delaying grid connection studies for variable renewables until 2029, while setting a framework for “active customers” with batteries and multiple end users in one building. Democracy Debate: A BIRODI poll says Serbia’s sharpest divide is between professional journalism and propaganda media, with many respondents backing free and fair elections as the way out. Belgrade Loss: Dragoljub Mićunović, a founder of the modern Democratic Party, has died at 95.