12 minutes agoWorld Bank: This year's economic growth in Kosovo, 3.7 per cent
Periskopi(3 years ago)
(3 years ago)The World Bank said Kosovo would mark economic growth of 3.7 per cent during 2023, until a year ago, economic growth was said to be 3.5 per cent. In the Economic Rule Report for the Western Balkans, the Bank said that increasing the real cost of life for poor people in the Western Balkans is [...]
In the Economic Rule Report for the Western Balkans, the Bank said that increasing the real cost of life for poor people in the Western Balkans is higher than is suggested in official numbers. It was stressed that the Kosovo economy has shown stability despite slow growth.
“The economies of the Western Balkans have shown extraordinary stability despite facing tremendous economic obstacles. To continue coping with the shocks caused by multiple economic shocks, countries can benefit greatly by continuing to implement reforms that increase productivity over the medium term, such as accelerating regional integration, increasing the level of competition in the market, attracting higher quality investments, and facilitating participation barriers, especially for women, in the work market”, has declared Xiaqqing Yu, World Bank director for the Western Balkans.
The Bank said high price pressure could cause slower poverty reductions, despite the benefits enabled by government programmes to ease the effects of the crisis.
“Pressures could increase in the event of accelerated inflation and slow down EU economies' growth beyond current expectations. In this context, it is vital to preserve enough reserves to respond to unexpected changes in the economic environment, the World Bank's Country Manager for Kosovo, Massimiliano Paolucci, has said.
“According to the report, potential limiting factors in the following periods include lowering external demand, which can negatively affect revenues from exports and reduce remittances, and narrow fiscal space, which continues to limit the support that can be provided to families”, was said in the report.
The World Bank said employment decreased mostly in the agriculture sector and public administration during 2022, while a slowdown in employment growth was also noticed in the industry sector and services.
The employment scandal reached a high historical record of 47 percent in September 2022, and then began to decline. The medium-term prospects for the Western Balkans remain positive, although implementation of reforms is needed to accelerate the green transition and address key structural challenges”, the Bank's report says.
