Investor Presentaiton

Railway Opportunities to Foreign Investment in Kosovo Kosovo possesses a railway system of 330 km covering all the territory of Kosovo by connecting the north with south and east with west. Kosovo Railways enable the construction of private industrial rails from the railway lines to the destination of clients. Air Kosovo has only one airport, Prishtina Airport, which is one of the most frequented airports in the region. This airport provides flights to most important centers in Europe but also in USA. 3.6 Trade Regime Kosovo has a liberal trade regime and derives three major benefits from trade liberalization, namely improved export possibilities, a better investment environment, and stable relations with its neighbors. Committed to establishing principles for the stable development of a pure market economy, since a very early stage of development, Kosovo's government has been working towards establishing a system for the free movement of goods and services throughout the country's borders. As a result, Kosovo currently enjoys free trade within Central European Free Trade Agreement - CEFTA, enabling its businesses and producers of goods to access the regional market comprising of 30 million consumers, free of any customs duties. In addition, Kosovo benefits from non-reciprocal, customs-free access to the EU market based on the EU Autonomous Trade Preference (ATP) Regime (extension 2011-2015 currently still pending). Quantitative and qualitative restrictions remain in force only for a very limited number of goods. Furthermore, a significant number of goods produced in Kosovo enjoy a preferential treatment in the US market. 3.6.1 Imports and Exports 2005-2010 Kosovo is still an import-based economy. Imports have been increasing steadily in recent years (as the figure shows) reaching some €2.14 Billion at the end of 2010. The main 28

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