Modern cities bear the entire burden and responsibility of operationalizing the concept of sustainable development, since they are the ones that represent the greatest threat to its implementation. The sustainability of cities largely depends on the form of public governance and decision making; in fact, this interdependence is a prerequisite for all the relevant progress in sustainable development that many European cities strive to achieve. An approach to governance in European cities that has proven to be the most effective in achieving urban sustainability is an integrated one, as it encompasses the coordination, cooperation and integration of sectoral policies and the participation of different actors at all levels of governance. Considering the prominence that the concept of sustainable development holds in public policies and concepts of urban development nowadays, the aim of this paper is to present the interdependence and complementarity of a multidimensional concept of sustainable development and the integrated approach to urban governance. The empirical section of the paper is focused on the analysis of documents used as a normative basis for providing answers to the research question: Are there elements of an integrated governance approach in the City of Zagreb, and is the interdependence of the two concepts acknowledged in the normative framework?

Entrepreneurs are constantly looking for new models to address growing global challenges in a sustainable manner. Over the past several decades, those challenges have been identified and responded to through the development of social entrepreneurship. There is a number of research dealing with the theoretical concepts of those topics; however, the definitions and framework for action are different from country to country. Having in mind that the main idea of social entrepreneurship is to enable decent work for employees and to gain broader welfare for communities, the purpose of this paper is to analyse the development of social entrepreneurship in Croatia. The research is focused on recent developments, connecting key definitions and principles of social entrepreneurship with common trends and concrete case studies. This study’s results show that there are different approaches to social entrepreneurship globally. However, social entrepreneurship in Croatia develops within a clear legal framework. The current state of social enterprises is connected with respective public policies, while the number and types of social entrepreneurs are constantly rising in the last few years. The results of the analysis also show that there are still actions to be taken in order to encourage future policy measures aiming to support social entrepreneurs in Croatia.

The paper focuses on the experience in development of entrepreneurial learning (EL) policy in South and East Europe (SEE), as a result of activities implemented by the South East European Center for Entrepreneurial Learning (SEECEL) in Croatia. It aims to explore whether the EL concept, as promoted and developed by SEECEL, can also contribute to development of an entrepreneurial mindset and behaviour, creative thinking, as well as enhancing the development of individual's entrepreneurial characteristics regardless of their ambition to start/conduct some business. The authors also seek to explore the relevance of the exchange of experience, effective partnership and cooperation of all involved education and other institutions and actors engaged in policy support for further development of the EL approach in SEE. The authors address different perspectives and understandings of the EL concept, point out to the existence of different schools of thought on EL, and consider the interaction between learning and entrepreneurship, which asks for novel and rigorous theorizing.

Background. To successfully modernise public governance for the digital era, the strategic adoption of artificial intelligence (AI) is an absolute necessity. The AI, however, cannot deliver sustainable value in a vacuum. Unlocking its true potential depends on institutional readiness, proactive regulatory frameworks, and robust governance capacity to mitigate both operational and societal risks. Purpose. This study aims to examine how the evolving EU AI Act’s governance framework shapes the concept of Sustainable Digital Governance and to evaluate AI literacy and institutional readiness among Croatian civil servants as critical prerequisites for responsible AI deployment. Findings. This empirical study utilises survey data collected in mid-2025 from Croatian civil servants to evaluate AI literacy, perceptions, and organisational readiness. While these preliminary findings are subject to certain methodological limitations, they reveal a severe implementation gap between regulatory mandates and institutional capacity. 73.6% of surveyed officials reported no prior exposure to AI-related training or professional discourse, and 80.2% could not identify high-risk AI systems within their operational environments. 62.6% noted a lack of organisational guidance on AI software utilities and their associated risks, leaving only 25.3% who felt capable of executing tasks in compliance with AI Act risk-mitigation standards. Implications. These insights demonstrate that successful public sector AI governance requires moving beyond mere regulatory compliance to embrace targeted capacity-building, institutional learning, and well-defined national implementation strategies. Ultimately, this study synthesises theoretical perspectives with empirical data to introduce a holistic framework for the sustainable governance of AI systems. It concludes with actionable recommendations designed to guide policymakers and organisational leaders through the regulatory and operational complexities of an AI-driven landscape.

This paper examines the impact of public policy guidelines on social entrepreneurship in Croatia, focusing on regional disparities and the effectiveness of various policy areas. Using a mixed-method approach, this research highlights how these variations influence policy outcomes, particularly in terms of the diverse levels of support across regions. The findings reveal the necessity of adopting region-specific and policy-area-specific strategies to effectively nurture a robust social entrepreneurship ecosystem. Additionally, enhancing public awareness and education is found to be critical for fostering a supportive environment for social entrepreneurship.

Urban marketplaces are increasingly recognised in European policy debates as multifunctional public spaces that extend beyond their traditional economic role. Across the European Union, emerging trends point to a shift towards market models that integrate social interaction, cultural activities, tourism, sustainable food production and place-based urban development, thereby contributing to more inclusive and liveable cities. However, the extent to which such transformations align with local actors’ perspectives and existing governance arrangements remains underexplored, particularly in Central European contexts. This paper evaluates the transformative potential of urban marketplaces as multifunctional public spaces from the perspective of key stakeholders in the City of Zagreb. The study adopts a mixed-methods approach, combining a desk analysis of European policy and practice trends with empirical research conducted at the local level. Data were collected through surveys of marketplace users (citizens) and vendors (tenants), complemented by focus groups with other relevant local actors. This approach provides insights into everyday practices, perceived barriers, governance challenges, and future expectations related to marketplace development. The findings reveal a strong alignment between stakeholder perspectives and European policy trends promoting people-centred and multifunctional marketplaces, while also identifying tensions with existing management and governance frameworks. Citizens emphasise the cultural, social, and tourism value of marketplace interactions, whereas vendors and governance actors highlight infrastructure needs and the importance of more participatory governance arrangements. The paper argues that stakeholder-based evaluation of transformative potential is essential for advancing inclusive, resilient, and sustainable urban regeneration through urban marketplaces.