BEC warns increased Kosovo economy to 4.4 per cent

The Central Bank of the Republic of Kosovo (BQK) has announced that Kosovo will have good balance this year as far as economic activities are concerned.

According to CEC projections, economic activity during 2018 will mark a slight improvement compared to the current data in 2017, fluctuating at a 4.2 percent interval of 4.4 percent.

This slight improvement is attributed to strengthened fiscal stimuli during 2018, particularly the one generated from government capital expenditures”, the CEC report says.

According to the CEC, both remittances and lending activities, even during 2018, will continue to be sustainable sources for financing economic activity.

The external environment will be favourable for the trade balance, as a result of the slower growth of basic goods prices in international markets, and a high review of economic activity in Kosovo's partner business countries”, the BQ report says on a quarter economic assessment, public television reports.

In line with developments in economic activity, in the fourth quarter of 2017, employment rates rose slightly to 29.8 percent compared to 29.5 percent in the same period last year.

In spite of this, the unemployment rate fluctuated around 30.6 percent in the fourth quarter of 2017, while in the last quarter of 2016, the rate registered a lower value, about 28.7 percent. The reason the growth in the employment rate has not been reflected in reducing the unemployment rate lies in increasing the labor force's participation rate of 42.9 percent at the end of 2017 compared to 41.3 percent at the end of 2016. The efforts of key job indicators marked during the fourth quarter are the same as developments recorded throughout 2017<18x1>, the CEC report on the quarterly assessment of economy said.