The Economy of Self-Declared Kosovo

 
PIIS013122270014929-2-1
DOI10.20542/0131-2227-2021-65-4-58-70
Publication type Article
Status Published
Authors
Affiliation: Institute of System-Strategic Analysis (ISSA)
Address: Russian Federation, Moscow
Occupation: Professor of Comparative Politics Department
Affiliation: Moscow State Institute of International Relations of the Ministry of Foreign Affairs of Russian Federation
Address: 76 Prospect Vernadskogo, room 3026, Moscow, Russian Federation, 119454.
Journal nameMirovaia ekonomika i mezhdunarodnye otnosheniia
EditionVolume 65 Issue 4
Pages58-70
Abstract

Intensification of the final resolving processes over the Kosovo issue made it necessary to pay closer attention to social and economic features of the self-declared polity, which are often underestimated losing scores in favor of political, not economical, agenda. With emphasis on the most recent data (2015–2020), Kosovo official statistics, international and local organizations, mass media materials, with high involvement of interviews and surveys conducted during working trips to the Balkan region, and long-term observations, this paper is urged to remove this gap and to answer the question of economic independence and viability, directly concerned with the fundamental matter of sovereignty. Despite the thesis on favorable starting conditions in a form of abundance of various natural resources and ready-made industrial base, widely used in public rhetoric during separatist movement, the words have mostly remained just words – no significant structural changes have taken place in Kosovo’s economy since its self-declared independence in 2008. Reports reflect some increase of economic activity since 2015, but in almost all key directions – administrative reform, fundamental rights, fight against corruption and organized crime, regional cooperation development, etc. – there has been a very little progress up to date. Huge informal sector, desperate situation with youth’s unemployment, gender disproportion in the labor and legal fields – these are among the strongest economic challenges and the highest barriers for Kosovo on its way to European integration. In recent years, local economy drivers were state investments into infrastructure and private consumption, which is still mostly based on large transactions from abroad, together with increasing salary rates and lending. Economic diversification goes slowly. Base metals and mineral products dominate – same as during previous years – in regional export of goods, providing slightly less than a half of its entire volume. Excessive reliance on import is another feature of economic development in contemporary Kosovo. List of services and goods providers remains stable for the past decade, led by Germany and Italy, with growing influence of China and Turkey. Some improvement of business climate co-exists with essential economic problems. Kosovo’s economy still highly depends on external incomes and internal trade sector. Local educational system does not match local labor market needs. Financial discipline, efficient distribution of resources, optimization of sectoral interaction, fight against corruption and crime – these tasks remain the ones of high priority and are still in the current economic agenda today, like they were five and 10 years ago. Kosovo’s real investment attractiveness is in question; however, much work has been done in the legal field to speed up and secure the fundraising process. Unresolved problems of property rights and lack of political will to handle these issues hurt investment perspectives and slow down economic development. COVID-2019 brings additional damage to Kosovo’s economy, but its overall results are to be yet evaluated.

KeywordsKosovo, economic structure, investment climate, unemployment, socio-economic development
Publication date11.05.2021
Number of characters43380
Cite  
100 rub.
When subscribing to an article or issue, the user can download PDF, evaluate the publication or contact the author. Need to register.
Размещенный ниже текст является ознакомительной версией и может не соответствовать печатной
1

КАЗУС КОСОВО В НАУЧНЫХ ИССЛЕДОВАНИЯХ: ИСТОРИОГРАФИЧЕСКИЙ ОБЗОР

2 С конца июня 2020 г. косовский вопрос вновь занял важное место в глобальной повестке. С одной стороны, это определено перетягиванием политического “каната” между Вашингтоном и Брюсселем, которые проявили активность в попытке урегулирования давнего балканского спора. В итоге после паузы, связанной с обнародованием 24 июня Специальной прокуратурой Суда по военным преступлениям Армии освобождения Косово обвинений “в преступлениях против человечности и военных преступлениях, включая убийство, насильственное исчезновение людей, преследование и пытки” [1] нескольких косовских граждан, в числе которых президент самопровозглашенной Республики Косово Х. Тачи и экс-спикер косовского парламента К. Весели, Вашингтон все же переиграл ЕС на “косовом поле”. 4 сентября 2020 г. в Белом доме президент Сербии А. Вучич и косовский премьер А. Хоти в присутствии Д. Трампа подписали каждый свою часть “Экономической нормализации” – именно так называется обнародованный документ [2]. Встреча “на троих” вывела переговоры по урегулированию косовского вопроса на новый уровень. Планы развития экономического взаимодействия по линии Белград–Приштина (строительство авто- и ж/д магистралей; развитие малого и среднего бизнеса; создание безвизового пространства между Албанией, Северной Македонией и Сербией и др.) были дополнены рядом политических обязательств, выходящих за рамки региона. Страны обязались признать движение “Хизбалла” террористическим; Сербия согласилась перенести посольство из Тель-Авива в Иерусалим, а Республика Косово обязалась признать государственность Израиля. Помимо политических уступок “в пользу Трампа” Белград согласился на диверсификацию энергоресурсов за счет американского сжиженного газа, что может привести к снижению российского импорта. Кроме того, были зафиксированы обязательства не развивать на своих территориях инфраструктуру сетей 5G (это “привет” китайским компаниям). Таким образом, Белый дом, благодаря активности спецпредставителя по этому вопросу Р. Греннела, добился от сторон конфликта максимально тесного взаимодействия, связав их при этом рядом обязательств мирополитического уровня.
3 С другой стороны, активность внешних игроков по урегулированию косовского вопроса в самой Сербии воспринимается как подготовка к признанию официальным Белградом РК. Неприятие значительной частью сербского общества такой перспективы стало триггером самых масштабных и довольно кровавых (несколько десятков раненых и сотни пострадавших с обеих сторон) после октябрьских событий 2000 г. беспорядков в Сербии. Массовые протесты стали реакцией на итоги парламентских выборов 21 июня 2020 г. и политику победившей Сербской прогрессивной партии, возглавляемой действующим президентом. Для усмирения демонстрантов власти использовали конную полицию и применяли слезоточивый газ. Жесткие действия полиции сбили протестный накал, но запущенный в Вашингтоне процесс “экономической нормализации” ввел сербский социум в режим напряженного ожидания. Ситуация в стране сегодня сравнима с пожаром на болоте: огонь пока не виден, но он разгорается глубоко внутри общества и может в любой момент стать всепоглощающим пламенем.

Number of purchasers: 0, views: 956

Readers community rating: votes 0

1. Press Statement. 24 June 2020. Kosovo Specialist Chambers & Specialist Prosecutor’s Office. Available at: https://www.scp-ks.org/en/press-statement (accessed 25.07.2020).

2. Tekst sporazuma koji je u Vašingtonu potpisao Aleksandar Vuči. KoSSev, 04.09.2020. [Text of the Agreement Signed by A. Vucic in Washington. KoSSev, 04.09.2020. (In Serb.)] Available at: https://kossev.info/tekst-sporazuma-koji-je-u-vasingtonu-potpisao-aleksandar-vucic/ (accessed 15.10.2020).

3. Gjevori E. Kin State Non-Interventionism: Albania and Regional Stability in the Western Balkans. Nations and Nationalism, 2018, vol. 24 (1), pp. 171-193. DOI: 10.1111/nana.12344

4. Arifi D., Nuhiu F. Kosovo Political Party Attitudes towards European Integration. European Journal of Social Sciences Education and Research Articles, 2018, vol. 5, no. 1, pp. 142-149. Available at: https://journals.euser.org/index.php/ejser/article/view/ejser-2018.v5i1-474 (accessed 25.07.2020).

5. Vasiljević J. Citizenship as Social Object in the Aftermath of the Yugoslav Break-Up. Nations and Nationalism, 2018, vol. 24, part 4, pp. 1142-1161. DOI: 10.1111/nana.12389

6. Lekë P., Alban E. Role of Public Expenditure in Economic Growth: Econometric Evidence from Kosovo 2002–2015. Baltic Journal of Real Estate Economics and Construction Management, 2018, vol. 6, no. 1, pp. 74-87. DOI: 10.2478/bjreecm-2018-0006

7. Matoshi R., Veseli B. Economic Growth in Kosovo as a Challenge to Environmental Preservation in the Republic of Kosovo. European Journal of Marketing and Economics, 2018, vol. 1, pp. 26-34. DOI: 10.26417/ejme.v1i2.

8. Agir B.S., Arman M.N., Akcay E.Y. The Peace-Building Efforts of the European Union in the Western Balkans: Cases of Macedonia and Kosovo. Dokuz Eylül Üniversitesi Yayına Sosyal Bilimler Enstitüsü Dergisi, 2019, vol. 21, no. 2, pp. 517-531.

9. Muriqi Sh., Fekete-Farkas M., Baranyai Zs. Drivers of Cooperation Activity in Kosovo’s Agriculture. Agriculture, 2019, vol. 9, no. 5, pp. 1-12.

10. Bajçýnca E. Some Features of Investing SMEs in Kosovo. Journal of Economics and Political Economy, 2015, vol. 2, no. 3, pp. 309-316. DOI: 10.1453/jepe.v2i2.262

11. Williams C., Krasniqi B. Explaining Informal Sector Entrepreneurship in Kosovo: An Institutionalist Perspective. Journal of Developmental of Entrepreneurship (JDE), 2018, vol. 23, no. 2, pp. 1-20. DOI: 10.1142/S1084946718500115

12. Terry D. Politicized Ethnicity and Income Inequality. Studies in Ethnicity and Nationalism, 2017, vol. 17, no. 1, pp. 68-90. DOI: 10.1111/sena.12220

13. Alestina A., Michalopoulos S., Papaioannou E. Ethnic Inequality. Journal of Political Economy, 2016, no. 124 (2), pp. 428-488.

14. Brown G.K., Langer A. Conceptualizing and Measuring Ethnicity. Oxford Development Studies, 2010, no. 38 (4), pp. 411-436. DOI: 10.1080/13600818.2010.525629

15. Kolev K., Wang Y. Ethnic Group Divisions and Clientelism. Paper Presented at the Annual Meeting of the American Political Science Association, 2010, August. Available at: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1644406 (accessed 25.07.2020).

16. Vachudova M. The Thieves of Bosnia: The Complicated Legacy of the Dayton Peace Accords. Foreign Affairs, 24.02.2014. Available at: http://www.foreignaffairs.com/articles/140966/milada-vachudova/the-thieves-of-bosnia (accessed 25.07. 2020).

17. Drynochkin A. Ehkonomicheskie problemy realizatsii proekta “Kosovo”. Mirovoe i natsional'noe khozyajstvo, 2014, № 4 (31). [Drynochkin A. Ekonomicheskie problemy realizacii proekta “Kosovo” [Economic Problems of Implementing the “Kosovo” Project]. Mirovoe i nacional'noe hozjajstvo, 2014, no. 4 (31).] Available at: https://mirec.mgimo.ru/2014/2014-04/ekonomiceskie-problemy-realizacii-proekta-kosovo (accessed 25.07.2020).

18. Arlyapova E.S. Kosovo – ehkonomicheskaya “vitrina” postkonfliktnogo regulirovaniya? Obozrevatel', 2014, № 12 (299), ss. 101-113. [Arlyapova E.S. Kosovo – ekonomicheskaya “vitrina” postkonfliktnogo regulirovaniya? [Kosovo – an Economic “Showcase” of Post-Conflict Regulation?] Obozrevatel’-Observer, 2014, no. 12 (299), pp. 101-113.]

19. Popovich N. Otkrovenno ob ehkonomike Kosovo i Metokhii. Moskva, Izvestiya, 2009. 564 s. [Popovich N. Otkrovenno ob ekonomike Kosovo i Metokhii [Frankly about the Economy of Kosovo and Metohija]. Moscow, Izvestiya, 2009. 564 p.]

20. Ponomareva E. Quo Vadis, Serbia? Russia in Global Affairs, 2020, no. 1 (69), January/March, pp. 158-179. DOI: 10.31278/1810-6374-2020-18-1-158-179

21. Kosovo Economy – Overview. Index Mundi. Available at: https://www.indexmundi.com/kosovo/economy_overview.html (accessed 25.07.2020).

22. Perez A.E. Renewing Hope? An Analysis of the New EU Enlargement Methodology and Its Implications for Kosovo. Policy Analysis. Prishtina, Group for Legal and Political Studies, 2020. 18 p.

23. Kosovo 2019 Report. European Commission. Available at: https://ec.europa.eu/neighbourhood-enlargement/sites/near/files/20190529-kosovo-report.pdf (accessed 25.07.2020).

24. Kosovo GDP 2000-2019. Trading Economics. Available at: https://tradingeconomics.com/kosovo/gdp (accessed 25.07.2020).

25. Real Aid. Ending Aid Dependency. Action Aid. Available at: https://www.actionaid.org.uk/sites/default/files/doc_lib/real_aid_3.pdf (accessed 14.10.2020).

26. World Development Indicators (Kosovo). The World Bank. Available at: https://databank.worldbank.org/reports.aspx?source=2&country=XKX (accessed 25.07.2020).

27. Country Partnership Framework for Republic of Kosovo for the Period FY17-FY21. April 25, 2017. The World Bank Group. Available at: http://documents1.worldbank.org/curated/en/297951496160148830/pdf/112337-Corrigendum-PUBLIC-Kosovo-CPF-with-Corrigendum-May-8-clean-w-scd-box-edits-May-24-2017-08032017.pdf (accessed 15.10.2020).

28. Annex to the Commission Implementing Decision amending Commission Decision C(2014)5772 of 20.8.2014 adopting the Indicative Strategy Paper for Kosovo* for the period 2014–2020. European Commission. 10.08.2018. 56 p. Available at: https://ec.europa.eu/neighbourhood-enlargement/sites/near/files/20180817-revised-indicative-strategy-paper-2014-2020-for-kosovo.pdf (accessed 13.10.2020).

29. Project Summary Documents (2020). European Bank for Reconstruction and Development. Available at: https://www.ebrd.com/work-with-us/project-finance/project-summary-documents.html?filterCountry=Kosovo (accessed 11.10.2020).

30. Kosovo Data (2020). European Bank for Reconstruction and Development. Available at: https://www.ebrd.com/kosovo-data.html (accessed 11.10.2020).

31. U.S. Government Continues Its Commitment to Support Kosovo’s Journey to Self-Reliance. USAID. Available at: https://www.usaid.gov/kosovo/news-information/press-releases/us-government-continues-its-commitment-support-kosovos-journey-self-reliance (accessed 12.10.2020).

32. Country Development Cooperation Strategy. May 13, 2020 – May 13, 2025. USAID / Kosovo. Available at: https://www.usaid.gov/sites/default/files/documents/1870/CDCS-Kosovo-May-2025_External.pdf (accessed 12.10.2020).

33. U.S. Foreign Assistance. Available at: https://foreignassistance.gov/explore/country/Kosovo (accessed 12.10.2020).

34. Kosovo 2018 Report. European Commission. Available at: https://ec.europa.eu/neighbourhood-enlargement/sites/near/files/20180417-kosovo-report.pdf (accessed 25.07.2020).

35. Kosovo Balance of Trade (2020). Trading Economics. Available at: https://tradingeconomics.com/kosovo/balance-of-trade (accessed 25.07.2020).

36. Economic Reform Programme (ERP) 2019–2021. January, 2019. 164 p. Available at: https://ec.europa.eu/neighbourhood-enlargement/sites/near/files/kosovo_erp_2019-2021.pdf (accessed 25.07.2020).

37. Chrzova B., Grabovac A., Hala M., J. Lalić, eds. Western Balkans at the Crossroads: Assessing Influences of Non-Western External Actors. Prague, Prague Security Studies Institute, 2019. 92 p. Available at: https://docs.wixstatic.com/ugd/2fb84c_0111856c88724a8cb0caac1dad0d762e.pdf (accessed 25.10.2019).

38. Kosovo 2015 Report. European Commission. Available at: https://ec.europa.eu/neighbourhood-enlargement/sites/near/files/pdf/key_documents/2015/20151110_report_kosovo.pdf (accessed 25.07.2020).

39. The World Bank in Kosovo. Overview. The World Bank. Available at: https://www.worldbank.org/en/country/kosovo/overview#3 (accessed 25.07.2020).

40. Kosovo Investment Climate Statement 2017. U.S. Department of State. Available at: https://xk.usembassy.gov/wp-content/uploads/sites/133/2017/07/KosovoICS2017.pdf (accessed 25.07.2020).

41. 2019 Country Reports on Human Rights Practices: Kosovo. U.S. Department of State. Available at: https://www.state.gov/reports/2019-country-reports-on-human-rights-practices/kosovo/ (accessed 25.07.2020).

42. Pula E., Loxha A., Elshani D. How ‘Friendly’ is Kosovo for Foreign Direct Investments. Prishtina, Group for Legal and Political Studies, 2017. 39 p.

43. Doing Business 2015. Washigton, World Bank Group, 2014. 331 p.

Система Orphus

Loading...
Up