New Law on Innovation Activity

The new Law on Innovation Activity came into force on January 5, 2022. The goal of passing this law is to include the innovation system of the Republic of Serbia in the European Research Area and the Innovation Union, in which way the innovation system is directed towards research that results in innovative products and processes that stimulate economic and social development.

The main innovations adopted by the Law on Innovation are: defining new innovative entities (startup as a newly established company or entrepreneur who develops an innovative product or service and has the potential for rapid and large growth), which differs from the existing definition of a newly established company. performs innovation activity in the Law on Corporate Income Tax), as well as investors in innovation (business angels), it is also planned to establish a network of science and technology parks as an advisory body that aims to monitor and coordinate the work of science and technology parks and to assess the need for establishing new science and technology parks.

The law further stipulates that by the end of 2022, a register of subjects of the national innovation system will be established, which will be kept within the Fund for Innovation Activity. The law stipulates that the Government of Serbia adopts and finances the program of support for innovation activities and the targeted support program from the budget. In addition to this method of financing, the Strategy for the Development of Startup Ecosystems for the period 2021-2025 was recently adopted, which overlooks measures to encourage and improve other types of financing.