Investor Presentaiton
Opportunities to Foreign Investment in Kosovo
8. CHAPTER EIGHT - Final Discussions & Recommendations
Kosovo, from 1999 through 2010, went from being a post-conflict environment into a
state which is considered to be under transition. It has passed the reconstruction period by
orienting itself toward the economic development as it looks forward to European
integration. Yet, an economic development is not enough to be able to address the
challenges Kosovo is facing, such as high unemployment and high trade deficit rate.
Although there has been continuously foreign investment in Kosovo since the war ended,
they have remained at a relatively low level to date.
The low level of investment in Kosovo is above all the consequence of a negative legacy
with serious harm to the business climate, due to significant bureaucratic obstacles,
particularly the corruption in institutions, lack of energy reliability and inadequate road
infrastructure. Although Kosovo institutions made investments in areas such as: energy,
water supply, roads, railway, telecommunication, etc, there is still needs for further
investments and these areas required to be in top agenda of the government of Kosovo.
According to the Medium Term Expenditure Framework 2012-2014, out of the total
Kosovo Budget 2011, € 371,3 Million, or around 35% of the budget has been allocated
for the economic development sector. Major achievements in the infrastructure and
economic development sector have been:
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Road Infrastructure -Continuation of works of the Highway Morinë-Merdare.
Improvement of Electricity supply for costumers,
Improvement of network and infrastructure of KOSTT, KEK, Central Heating,
Water and Waste in Kosovo,
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Agriculture subsidies,
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Improvement of operational conditions in Kosovo mines etc.
According to the Ministry of Infrastructure in the last 10 years investments in telecom, as
the largest investors are IPKO and PTK J.S.C. IPKO has so far invested no less than €220
Million including payment for the license. PTK J.S.C. in all sectors has invested at least
€450 Million. Including other companies overall investments in the telecom sector are
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