Press Release - AmCham proposes determining strategic guidelines of the MFF for the digitalization of Croatia

Croatia should use the opportunity provided by the Multiannual Financial Framework (2021-2027) and the Next Generation EU Instrument (2021-2024) to alleviate the technological backwardness of the Croatian economy, the economic and social consequences of the pandemic, and make the economy and society more sustainable, resilient and prepared for the challenges and opportunities posed by the green and digital transition.

“Croatia has significant funds at its disposal in the coming period. Therefore, taking into account the contribution of the private sector to generating economic growth and value creation, we propose to allocate as much money as possible for the needs of the business community and its involvement in defining availability, distribution and absorption of the funds”, said Andrea Doko Jelušić, Executive Director of AmCham, after presenting the Proposals for Determining the Strategic Guidelines of the Multiannual Financial Framework for the Digitalization of Croatia at a meeting with State Secretary Bernard Gršić from the Central State Office for the Development of Digital Society.

As priorities for the digitalization of Croatia, AmCham proposes four key areas of EU co-financing:

• connectivity (broadband internet) - it is necessary to ensure the continued use of grants for the construction of very high capacity networks in areas lacking sufficient commercial interest for investment in Croatia.
• digital transformation (digital transformation of public administration and local government, digital transformation of the economy, and reliability and cyber security) - more active support and co-financing of projects that develop the concept of smart cities, municipalities, islands, villages, and other local communities with a focus on the circular economy, sustainable waste and energy management, and environmental protection (CO2 reduction, renewable energy sources, improved security of citizens and property, smart management of all local community resources). AmCham also calls for co-financing of investment projects and development of competencies related to the digital transformation of the economy, regardless of the size of the company, as well as for co-financing of investment projects that will enable the development of Industry 4.0, which additionally includes: Smart Factory, Digital Twins, Augmented Reality, Additive Manufacturing and Industrial IoT.
• digital skills - to expand the education of the unemployed by contracting comprehensive digital acquisition programs, but also of the employed who are willing to change careers and learn a new profession; develop general digital competencies of the elderly population with special emphasis on socially vulnerable groups; develop advanced digital competencies of teachers, especially in STEM subjects, and general digital competencies of public and civil servants; develop digital competencies of young people to work in a digital business environment. It is also necessary to further encourage the strengthening of the competencies of companies for the use of artificial intelligence (AI), cybersecurity, advanced analytics (Data Science), and digital adaptation management (Digital Transformation), through targeted grants for the private sector, as well as to prepare a system of value vouchers for the needs of the economy to provide digital training for employees in the workplace.
• infrastructure (developing and building Cloud solutions, application and use of IoT infrastructure as the basis for smart solutions and Industry 4.0.) - eligible costs of upcoming projects include not only all capital investments in private cloud solutions but also the operating costs of public and hybrid cloud solutions (XaaS), Internet of Things communications and infrastructure (IoT).

In addition to the meeting with State Secretary Gršić, AmCham also presented its Proposals to the Minister of Science and Education Radovan Fuchs, Marko Pavić, Chairperson of the Committee on Regional Development and European Union Funds in the Croatian Parliament, State Secretary Erlić from the Ministry of Regional Development and European Union Funds, and representatives of the Ministry of Labor, Pension System, Family and Social Policy.