Commons and Differences of LVV and LDK in Economic Plan

Of the preliminary results of the Central Election Commission, the Vetevendosje Movement has won 25.49 per cent of the vote, rich from the Democratic League of Kosovo with 24.82 per cent of the vote. These results do not include conditional votes, votes by mail and votes of persons with special needs.

Given the election outcome, even though still preliminary, Vetevendosje and the Democratic League claim to bring together the next government of Kosovo.

The Vetevendosje movement and the Democratic League of Kosovo, says economic affairs expert Naim Gashi, are diametrically opposed parties in terms of their political orientation. While LDK is the rightist party, Vetevendosje, according to him, is the leftist party.

Economically, these parties, Gashi adds, have several common points, but also differ.

“The LDK (in its programme) has an investment or developmental fund, while a roughly similar fund has LVV with another name, aimed at developing the private sector. The main differences are that the right LDK has a priority for the private sector as a bearer of economic development, while the VV as a leftist party favours strengthening social schemes and fighting poverty across the division of national income”, Gashi says.

Of projects named capitalised, Gashi underlines, the other common of these two political subjects is their position on the Dukagjin highway. The LDK and LVV, Gashi says, have favoured the idea of expanding existing roads connecting the municipalities of Dukagjin and not going to build the new highway.

Also, according to Gashi, another promoted and shared goal of these two political subjects is that of fighting corruption and favouring through budgetary division for young people.

International practices, Gashi adds, have shown it is not impossible that a rightist government party with a leftist party, but the main problems are in their developmental orientation.

“While rightists consider fighting poverty should be done through strengthening the private sector and creating new jobs, while leftist parties usually require proportional distribution of incomes, it means taxing richs and businesses and sharing them with the poor class of society”, Gashi says.

The Vetevendosje movement in its programme has preceded the creation of the Sovereign Fund of the Republic of Kosovo and the Development Bank. The Sovereign Fund, under the LVV programme, will take over the strategic assets of the Republic of Kosovo under ownership and will have exclusive responsibility for investments in the rise of “Trepca”, KEK, Telekom and Post as well, Vetevendosje has envisioned the Kosovo Privatisation Agency to be extinguished and its assets to pass over the Sovereign Fund.

While, the Development Bank, under the LV programme, will be the lending component, which will be financed by public money and the sale of debt letters, and will invest in specific branches of industry that create jobs and improve trade balance, focusing on increasing exports and replacing imports.

In economic program, The LDK, on the other hand, has seen the empowerment of the Credit Guarantee Fund and the Investment Fund. The goal of the credit guaranteeing Fund under the LDK programme is to guarantee credit by up to 50 per cent, thus reducing the need for collateral for local businesses.

Given this programme, the LDK government aims to establish the Investment Fund, whose base will be the financial means of privatisation, worth 300m euros.

“Fondi in question will target financial support of innovative ideas in the country”, the LDK programme says.

A project launched many years ago for new energy capacities, such as building the “New Kosovo thermal power plant, divided the two parties' orientations.

As long as Vetevendosje has envisioned the undertaking of steps for operating Interconction with Albania, with the result of electricity supply guarantees, power dependence cuts from Serbia, and that according to LVV, the New Kosovo thermal power plant will not be experienced.

Meanwhile in the Kosovo Democratic League programme, the LDK is said to build new energy capacities, but will reject any investment alternative that expensive the final electricity price of 100 percent.

Economy expert Naim Gashi says that in terms of thermal power plant “New Kosovo is at a critical stage not because of past or future government, but because the potential investor has problems finding the funding of this project.

However, if LVV and LDK decide to establish a coalition government, expectations are both parties, along with political positions, to agree on key policies from the economy. /rel