The challenge
Managing administrative matters quickly and efficiently is not always easy, and this is no different in Bosnia and Herzegovina and Serbia. Limited capacity and non-transparent administrative processes reduce the efficiency of municipalities, resulting in long waiting times at local authorities and increasing the time and effort required to obtain certificates and for other services.
In this challenging situation, the IT company SAGA identified a new, promising business opportunity by targeting local authorities as a new customer group. SAGA developed a virtual assistant that enables citizens to quickly access municipal information online and permits simple administrative matters to be handled efficiently. These virtual assistants also provide companies with numerous opportunities to engage with their customers.
However, municipalities and companies must first be convinced of the benefits of virtual assistants for interacting with citizens and customers and learn how to manage them independently. Only then can this market potential be fully realised, benefiting municipalities and, even more so, for the local IT industry – such as SAGA – in a way that advantages all parties involved.
Project approach
From 2019 to 2023, SAGA and GIZ piloted virtual assistant systems to improve communication between citizens, companies and local authorities. They collaborated with the Regional Network for Business Friendly Environment in South East Europe (BFC SEE) and implemented the following measures with a project volume of around EUR 1.9 million:
- Developing 16 standardised administrative processes for the virtual assistants in four municipalities
- Developing and implementing the virtual assistant systems
- Training municipal employees to independently adapt existing or integrate new virtual assistant scenarios
- Promoting the potential of virtual assistants among municipalities and of the business model in the IT industry
Together with BFC SEE, GIZ initiated and coordinated relations with the municipalities in Bosnia and Herzegovina and Serbia, while SAGA managed the information technology aspects of the project.
We see a huge market for virtual assistants in public administration and companies in South-East Europe. With this project, we demonstrate the great potential of this technology in practice and thanks to GIZ's broad network, we were able to present it throughout Serbia and Bosnia and Herzegovina.


Results
The pilot projects have shown that municipalities can offer their services more effectively and transparently with the help of virtual assistants.
SAGA leveraged the clear presentation of virtual assistant system advantages in the four pilot municipalities to interest other municipalities and companies in digitising information and communication with citizens and customers. These include the following:
- Increased efficiency of municipal administrations through the automation of standard processes
- Increased efficiency in communication between municipalities and citizens by using digital communication channels
- Raising awareness of virtual assistants as an innovative technology for modernising public administration and economy
- Creating new business opportunities for the local IT industry

develoPPP Classic
develoPPP Classic is aimed at companies that want to invest sustainably in a developing or emerging country and expand their operational activities locally. Suitable projects receive technical and financial support of up to two million euros in public funding.
Project partners
![[Translate to EN:] Milen Janjić [Translate to EN:] Milen Janjić](/fileadmin/_processed_/a/4/csm_Milen_Janjic_ac9d77620e.jpg)
