In remote eastern Serbia, work is hard to come by. Yet few youngsters show any interest in the business loans on offer from a range of organisations.
Unlike Knjazevac, neighbouring Soko Banja is the one of Serbia's most affluent municipalities, making a handsome living from tourism.
Salaries in the spa town of 18,000 average 250 euros, which is 20 per cent more than the Serbian average, while unemployment is around seven per cent. Again, half the local unemployed are young people.
Though richer than its neighbour, private business here is also slow to take off. "Some 90 per cent of those employed are paid from the state budget, which means private initiative and entrepreneurship are relatively weak," said Marija Zikic, of the Citizens' Club Soko Grad, which manages the "It's Important to Give It a Go" project in Soko Banja.
The only functioning private businesses were in tourism and café and hotel management, she went on. Most people earned some money from renting rooms and apartments in summer.
"Young people here are neglected, since there is no cinema or theatre so their only entertainment is hanging around in cafés," she said. "Only two young people have actually embarked on private business after our training."
Zikic pointed out that young people need a positive atmosphere if they are start small businesses, whereas the general gloom pervading Serbian society is an impediment.
"People are very sceptical," she continued. "They don't believe their businesses will succeed. And they worry they won't be capable of repaying the bank loan."
Most of the young jobless in both towns feel a private business is not for them.
