Abstract
One whole cannot develop unless all its parts develop. Regional development has direct implications for overall economic and social development! Regional transition in Serbia takes its toll on key development dimensions - demographic, spatial, economic, social, security and political. The state was not aware of the regional consequences of the transition. Regional policy was in the second plan, the focus of state instruments was dominantly placed on the process of transferring the planned economy into a market-oriented economy, regional imbalances were developed and intensified spontaneously and uncontrollably, the individual actions of the state were uncoordinated and selective, mainly initiated from particular political interests. State instruments were not in the function of depreciation of transitional consequences. The key message of the paper is that a more balanced regional development in Serbia cannot be implemented without building an efficient institutional framework, consisting of institutions and instruments, various policies that ensure stability, continuity and harmonization in the development process. In addition, the author points out the importance of affirming the integrative function of strategic regional development planning, the decentralization process and polycentric regional development. In regional theory and practice, it is generally accepted that a higher efficiency of implementation of regional development policy and planning is ensured through hierarchically differentiated decision-making systems.
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