In the race to net-zero, policy makers face the challenge of accelerating both, the digital and green transitions. Shifting towards a carbon-neutral economy that leverages digital technologies to improve competitiveness, resilience, sustainability and well-being is particularly relevant for the SME sector. SMEs are a sector of innovators and digital leaders, yet, in the EU alone, they account for around 40% of business-driven emissions and for around half of business-driven energy consumption.
Despite the Western Balkan region's advancements and commitment to digitalisation across several sectors – from digital infrastructure to e-governance – Western Balkan economies often lag behind their peers in the EU, and the OECD, in adopting more advanced digital transformation technologies. Simultaneously, as one of the regions in Europe most affected by air pollution and carbon dependency, the Western Balkans must ensure that the digital transformation of its business environment contributes to a greener, more sustainable and resilient future. Throughout 2024-2026, the OECD will support the Western Balkan economies accelerate the twin transitions and their convergence to EU and OECD standards.
Given that SMEs represent more than 99% of businesses in the region, targeted support to SMEs must be extended to ensure targets set in the Digital and Green Agendas are successfully met. Through this project (launched at the Dubrovnik Forum 2024), the OECD will organise a series of high-level policy dialogues and capacity-building meetings targeted to policy makers in the Western Balkans to support SMEs implement the actions to achieve the twin transition, while advancing the region’s convergence with EU and OECD standards.
