Sustainable development and ESG standards are not a burden but the greatest development opportunity for small and medium-sized enterprises—this was the key message from the regional panel on competitiveness and sustainable business held within the CORE Days 2025 conference.
Panelists — UN Resident Coordinator in Serbia Matilda Mordt, Swiss Ambassador H.E. Anne Lugon-Moulin, and Erste Bank’s Manager for Corporate Social Responsibility, Diversity, and Inclusion Sonja Konakov Svirčev — agreed that small businesses are the first to feel the benefits of responsible business practices due to better access to finance and the application of ESG principles.
As highlighted during the discussion, Western Balkan countries can no longer see sustainable development as an imposed obligation or an additional cost, but as an opportunity to become more competitive and attract investment. In today’s economy, value is increasingly created through social impact, care for natural resources, gender equality, and equal access to the labor market.
Matilda Mordt emphasized that a stable environment and healthy ecosystems are becoming the foundation for business growth, while the global costs of environmental degradation are already measured in hundreds of billions of dollars annually.
– Business can thrive only in a stable climate — and today’s society still does not pay enough for that stability. This is why sustainable development is not only a moral obligation but an economic necessity – she stated.
She stressed that investment in gender equality and inclusive employment brings direct benefits, especially for small and medium-sized enterprises. The UN is working with local banks in Serbia and North Macedonia to facilitate access to finance and enable the development of green projects.
She particularly highlighted the importance of support programs for women in rural areas, refugees, and vulnerable groups. No one should be left behind. The cooperation between UNHCR and IKEA shows that well-designed policies deliver results — today, 42% of refugees in Serbia are employed -said Mordt.
Ambassador H.E. Anne Lugon-Moulin emphasized that what was voluntary thirty years ago has now become an international standard — and increasingly a requirement for access to markets and financing.
– For small and medium-sized enterprises, it is crucial to understand that ESG brings profitability, not complication. This is why donors, professional associations, and the education system must help businesses build knowledge, access mentoring, and obtain resources they currently lack – she said.
She noted that Switzerland has invested for years in programs supporting innovation, youth employment, local community development, and sustainable finance, as small and medium-sized enterprises are the engine of regional growth.
Sonja Konakov Svirčev presented the achievements of Erste Bank’s social banking program, which offers small businesses not only financing but also mentoring, training, and support in developing their ideas.
– When we started, social enterprises had almost no access to loans. Today, 84% of our clients survive and grow, and half have created new jobs. This proves that sustainable models are not weaker — they are more resilient – she emphasized. Erste also develops financial education programs, partnerships with the civil sector, and targeted support for women-led businesses. The bank itself is recognized for strong female leadership within its management.