Could you give us a brief historical background of Vektra and, how it started in 1990 with Peugeot?
I am proud to say that we are one of the first private companies in Montenegro. We started doing business in 1990 with exclusively private capital. The company was based completely on the elements of the market economy and has an absolute pro European orientation.
At the very beginning we were the representatives of Peugeot to Montenegro. Business was doing well until the introduction of the sanctions to Yugoslavia. We were making a good profit and Peugeot was represented in Montenegro according to its high image, so we were both satisfied with the cooperation. At the same time another part of the company, started working with KAP, the Aluminum Plant of Montenegro. This cooperation proved to be very fruitful and had been improving daily. We started dealing with KAP in the early 90' s as a private company. Previous to that, however, in 1975 while I was working in a government owned company I worked with KAP and had good relations with them. Later on this helped us a lot in our work, since I knew all those things that required special attention. These are the two main businesses we worked on in the early 90' s; we kept them developing and they form the basis of today's Vektra.
In 1995 it was time to bring in something new. We started a new kind of business in the development of the company - we started with construction. In Podgorica, the capital, we built an apartment building and business center where we introduced new, modernized construction standards. This center is built exactly like the ones in Europe or other parts of the world. In 1995 we also started to expand the company: we bought two transportation companies, one in Podgorica and the other one in Bar; they were about to be bankrupt and within one year we managed to make them profitable and now they are doing quite well on the market.
We have approximately 500 employees. We have entered a new seven-year project with the Americans for the modernization of KAP, that would comprise the improvement of the management and completing reconstruction works in the plant itself. This project is to be finished by the end of this year.
What are your financial expectations for the years to come?
The profit is a category that is hard to predict even in a normal situation. It is impossible to foresee anything in this political and economic situation. This is now the 12th year of Vektra's existence. We have done a lot for the development of Montenegro and our priority has always been the stability of the state. Of course we are working on our own interests too. I think that we could have done and achieved much more if the environment had been better. We have always hoped to have a more stable country in order to start economical reforms such as privatization. We have been waiting for it for the past 12 years. Finally, we have achieved it.
Could you elaborate on your major expansion plans?
We are expecting a lot from these upcoming years. First and foremost: a defined legal status of Montenegro as a sovereign and independent country by mid next year. We also expect, in a short period of time, to privatize the economy of Montenegro. After the completion of these two phases, I am convinced that Montenegro will be able to change the basis of the economy in the next five years. The economy can only function properly in the long run if the privatization process is successful. That means that the economy is in the hand of the businessmen.
Montenegro has great resources for development, but that alone is not enough. When I studied in primary school, our teacher told us that Montenegro is a rich country and we all grew up with that philosophy. We have been told that we have the resources and the intellectual potential to be rich and live in prosperity. Unfortunately we have been taught wrong.
We have been taught to consider the rich as criminals and that has been present in Montenegro ever since the Communist period. The philosophy of the people has to change. I think that a country is worth as much as the people and the natural resources are.
Will Vektra participate in the privatization process?
Vektra has been participating in this process for quite some time now. The motto of the firm is to privatize as much as possible though we do not always agree with the way privatization is carried out.
| First of all, we are very unhappy with the fact that a lot of projects were carried out during the period of hyperinflation and to privatize the economy in such circumstances is basically a criminal act. We also had external factors: such as the war in Kosovo; bombing and other things… Why do you think a businessman would invest in such a country?
As I mentioned before investors have to get legal security for the funds they are investing in.
How do you intend to bring in investment to Montenegro?
We have helped Montenegro a lot in the past. We have brought, through different banks from abroad and serious companies around the world, more than half a billion dollars in investments in the past ten years. We have good partnerships with a lot of companies from Italy, USA, Switzerland; basically there is no country in the world with which we have not had a connection. We have credibility abroad and we have done a lot to promoting the country and allocating the growth of investments to Montenegro. There will be a fear from politicians because of the relations between Montenegro and Serbia. Every morning you can read on the Internet and in different newspapers and magazines that the question between the relations of Montenegro and Serbia are under a big question mark. This will, surely affect the number of foreign investors we will have, but only in the short run.
How can you improve the image of Montenegro?
A lot of incorrect articles have been published in newspapers and magazines. First, the West introduced the sanctions, we had a war, and then they exhausted Montenegro completely. They brought us to the edge of our existence. They told us after keeping us on a leash for seven years it was time for us to change overnight. This will never happen. It is a long process. The West has to know that we are only making enough to survive here. They have to know that we have to deal with the politicians of the West and the politicians of Serbia at the same time. People have to survive by themselves here. We are trying to close this chapter of our history, but it will not be easy. We need assistance to try to find the right way to a better future. The people in other countries have been told that Montenegro is a criminal country that has been dealing with all kind of illegal activities. I can tell you, this is all because of bad politics. And that is why we have a bad image abroad. I am for an independent country and in all of the interviews I have given so far I tried to make it as clear as possible that we needed help from the West. This is the only way to fight crime, and this is the right path towards a brighter future.
What is the key of Vektra's success?
I have just made use of the basic principles of economy in Europe and other parts of the world. We are a company built upon exclusively private capital and a company that has a vision for the upcoming years.
If we had a stable political environment, we would be able to plan ahead for at least twenty years. We have rules and regulations according to what we live and work.
To do what we did and to achieve what we have is only possible for a private company in Montenegro, because you invest your own capital; you have to be present on the market all the time and you have to be the one that solves the everyday problems with your colleagues. There is no one to be asked for help.
What would be your final message to our readers?
After the regulation of the legal position of the state I will be ready to give strong support to everybody interested in investing in Montenegro.
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