Central Bank raises alarm: Kosovo could face economic crisis if migration trend continues

Kosovo Central Bank has told Radio Free Europe that the migration of Kosovo's citizens has the potential to influence the labour market and, therefore, the country's economic development.

The CEC stresses that if this trend of migration continues to the current level, after January 2024, will have negative consequences for Kosovo's economy. This will be manifested in the form of a labour market degradation and a weakening performance of companies and the macroeconomic situation in the country.

Other factors, such as continued geopolitical uncertainties, poor demand on the international market, and poor trade conditions, also have the potential to influence the pace of Kosovo's economic development, have declared by the CEC.

We remember that even the report of World Bank He highlights the many challenges the country still faces. The findings of the report on Kosovo's economic and social landscape represent a multicolored picture, with unemployment, business difficulties and widespread migration as key problems.

Despite continued economic progress, the report stresses that Kosovo remains burdened by a considerable income inequality compared to the average European Union member state.

Despite the stable economy progress since independence, there remains a major income gap between Kosovo and the average member of the European Union”, It says, among other things, in the report.

According to findings in the report, limited business dynamism has acted as an obstacle to private sector expansion and employment opportunities.

“Dinamism and limited access of businesses in finance hinder private sector development, and job creation investment is largely focused on limited increased contributions”, It says in the report.