Kosovo’s economic growth and business opportunities :
According to Mr. Nikaj, Kosovo has a number of sectors with competitive advantages, with regards to foreign investors, especially since it offers the lowest tax regime in Europe for businesses with only 10% corporate tax. It is service-oriented in areas such as customs and tax administration and it supports a lot of activities linked to local production. Kosovo has also signed the Stabilisation and Association Agreement (SAA) that covers a wide variety of sectors which enables Kosovo to have access to the European market and create trade and investment opportunities.
One of the biggest growing sectors in Kosovo is the IT service sector, due to its very young and technology-oriented population. There is a growing trend because Kosovo has skills, resources and a very competitive workforce to access opportunities in Europe. In this aspect, visa liberalization is of crucial importance, as it would enable young and talented Kosovars to travel and explore possible business ties with the EU. However, having a young population is both a blessing and a curse, as on the one hand it gives competitive advantages in terms of workforce and on the other hand it is very challenging for the government to generate work places and economic development fast enough.
Tourism is also very important for Kosovo’s economic development considering the increasing number of tourists drawn to the region as a result of several tour operators' work. More and more we see backpackers in Pristina, Kosovo’s capital, who come to explore Kosovo and taste one of the best macchiato in the world! Kosovo’s standout for being a very well-connected country, as you can easily visit it and then travel to Albania, Montenegro or Greece.
Last but not least, Mr. Nikaj highlighted how Kosovo’s economic growth can be achieve with a closer cooperation with the European Union. With the help of the EU, tangible results have been already achieved. For example IPA funding has been a useful financial instrument to support the local level in Kosovo. At the central level, the Ministry of Trade and Industry has used it to support businesses and also the Ministry of European integration is working through IPA to educate citizens about the Stabilisation and Association Agreement. It has been recognised as one of the main tools for driving Kosovo’s reforms towards a European future and to face the challenges of European Integration.
If you wish to invest, visit or just have more information about Kosovo, visit the website of the Embassy of the Republic of Kosovo in Brussels.