Economists concerned with budget non-excussion

Former governor of the Central Bank of Kosovo, Fehmi Mehmeti, and director of the Institute “Riinvest”, Alban Hashani, have commented on Online Report Economy, with whom they say many of the demands from past years have remained unremitted.

Although Kosovo faces a slowdown in economic growth, according to Institute of “director Riinvest”, Alban Hashani, the lowest growth trend we will have this year than last year. He says the trend will be lower than the Government of Kosovo's very forecast.

“Po Progress Report as usual uses careful language and proves to avoid these strong termiologys, yet what can be identified is that Kosovo has a slowdown in growth rate, unfortunately it has returned to the traditional pre-demia trains. After a level of digital growth we've had in 2021, even according to the first two quartial data of 2022, we'll see a lower trend than last year, for far lower than the government's forecast that the government has made which projection Government has revised so it has reduced its project to next year's draft. So in general, the Progress Report shows some limited progress, but it also shows that many of the demands or steps that are ahead even in the early years --x1> have failed to address it, Hashan said.

Speaking of economic growth, Hashan considers that policies addressing the issue should be created in Kosovo. Mainly, it says, is increasing employment and activity in the economy.

I think that the central Kosovo has to accelerate the growth rate so that it narrowed the gap with countries in the region, but also the European Union. This increase has unfortunately been turned into historical trends that are not enough, it needs policies that accelerate this growth and address some of the key problems, especially unemployment-related issues that still remain large, perhaps as a number has declined, but this is largely due to lowering the level of activity in the economy, but also the large migration which will be this year, but also the years that are coming around”.

The other problem, according to him, is the non-excusement of the state budget and especially of capital investments. While disturbingly, you see the access to vehicles for subsidies and transfers.

“On the other hand, the report also records the problem in terms of budget execution, namely, especially in the execution of capital investments, which remain low and further low, capital investments remain low, but which are even lower at the level of execution”, Hashan said.

While former governor of the Central Bank of Kosovo, Fehmi Mehmeti, has talked about the financial system, which the European Commission's report highly values. He says this was done thanks to policies and decisions he made while at the helm of the CEC.

The “in the first place speaks of problems in the investment order, as well as slowing economic growth, especially in the wake of Russian aggression in Ukraine. According to the report, the economy has shown stability during crisis times, but also cited the challenges facing the private sector, which are numerous. It's also about the financial system in the country primarily for the Central Bank, which I've led until March of this year. Achievements are estimated in BQK-supervised sectors such as banks, insurance companies, the Pension Fund and micro-financial and non-bank financial institutions. This achievement is thanks to the good commitment and control that we did during my work as BQ18x1>, Mehmeti said, while the other assessment also gives the decision to set up auto stickers, which as a result was to reduce the number of unregistered cars.

Also identified is the landing of unregistered vehicles, which a few years ago were about 200,000 vehicles without insurance and registration, which is now approximately 5 percent. This is as a result of the Kosovo Bureau of Security and Kosovo Institutions. Setting up the stickers has also facilitated the work of the Kosovo Police, this report estimates the achievements in the insurance sector and a sector with significant losses where, in 2016, there has been a loss of about 26m euros and today we talk about a sector that is good capitalised, and this step is a step that we can visit to Brussels to the Bureau Council there and present the arrivals in this sector and pave the way for finding out the mode to sell the green card that is mentioned and has been achieved and the criteria that have been met by <1x>

Speaking about the report, Mehmeti has demanded that these recommendations be taken into account, as they, according to him, are in the best interests of the Kosovo economy.

“The report is involved in where it talks about economic criteria and achieved in the country and there is nothing that is not assessed by the EC report, and we should not overlook these recommendations given that Kosovo aims for EU integration is the main goal if we want integration and therefore should take the recommendations from the EC report to facilitate our path towards the EU, so I expect that they will be taken into account because they are in the best of the country and the economy, and that each institution should take into account and develop plans on the basis of those recommendations,<1> he indicated.