Agricultural insurance payments to Kosovo farmers begin

For the first time in Kosovo, the first paybacks have begun for farmers who have bought the country's first agricultural insurance policy.

For nearly two years, the International Finance Corporation ( The IFC, a member of the World Bank Group, under the project to fund agriculture in Europe and Central Asia, has been working closely with the Ministry of Agriculture, Forestry and Rural Development (MBPZHR) in the establishment of the agricultural insurance system in Kosovo. The agricultural insurance system is built to improve competitiveness and promote development of the agriculture sector.

At the official payment ceremony held in Pristina, the main performers involved in the project were participants, starting with the MBPZHR, the IFC, the Security Company Association, insurance companies, farmers and other acts.

Department for Agriculture and Trade Policy Director at the Ministry of Agriculture, Forestry and Rural Development, Isuf Cikaqi, said the MBPZR along with IFC have developed six (6) agricultural insurance products and that are: Apple, Cumbulla, Mejdra, brunch, tush and Specci.

In 2019 we started with the agricultural culture of Mary, which is the first agricultural culture ever to be piloted for agricultural insurance. The results of this pilot have shown us that the entire system of agricultural insurance has already worked as best. So we're interested in continuing with other agricultural insurance products, starting with the grape that begins the security phase in December”, said Isuf Cikaqi, Director of the Department for Agriculture and Market Policy at the Ministry of Agriculture, Forestry and Rural Development.

And Syzana Dautaj, project co-ordinator from the IFC, said the agricultural insurance system is implemented for the first time in the country and now farmers in Kosovo can provide their agricultural cultures, which would enable them to reduce the risk of climate factors and protect their investments. “In view of market needs and great interest in a modern and sustainable agricultural insurance system, we believe that all the Heeders will jointly promote and use this system in order to become more stable and inclusive in the future””, said Syzana Dautaj, project co-ordinator from the IFC.

While on behalf of the Kosovo Insurance Association, Association of Insurance Executive Director Sami Mazreek thanked the IFC and MBPZHR for helping the security sector in Kosovo establish the agricultural insurance system for the first time in the country and for bringing international experiences to Kosovo's insurance market.

Today, at this ceremony, we officially forward the first compensation payments to the secured farmers, and we also wish that the example of Elsig Company and the farmers provided to convey to other companies and farmers, as soon as the safety period for grapes and apples begins, where new opportunities for this sector to exceed weather risks through agricultural insurance. We as Insurance Associations will continue to be close to insurance companies and farmers to further advance agricultural insurance products and create new products of interest in co-operation with the MBPHR at” Mazreku said.

According to him, establishing the agricultural insurance system will help the insurance sector develop their capacities, boost the insurance market, be more competitive in the region, diversify their portfolios and generate more revenues, thus directly contributing to the country's budget.

We as the association have been in constant co-operation with the IFC and have assisted in organisation, meetings, different campaigns that have been numerous over the last two years. Today, I feel comfortable to say that for two years of non-stop work, the IFC has managed to change farmers' approach to agricultural insurance and access to systemic weather risks”, he said.