Progress Report: The number of unemployed young people without education or training increases

The European Commission's 2024 report has identified a host of challenges for Kosovo in the area of economic development, which continue to boost high levels of migration, inequality in the labour market and limited progress in infrastructure, further reducing the country's workforce and economic potential. Another major job market challenge is the large number of unemployed youth who do not attend education or training.

The report begins the navigation chapter of results in the economy with a slowdown in economic growth in 2023. This slowdown is largely attributed to the decline in demand for export, a situation that is further complicated by a high unemployment rate that disproportionally affects women and young people.

Kosovo's economic growth slowed in 2023, mainly because of poor external demand. The key factor after the economic slowdown was the negative contribution of increased net exports, mainly due to a notable slowdown in real growth in exports. ” reportedly.

While Kosovo's BPV reached a 5.6 per cent growth rate at the beginning of 2017, it continues to lag behind its neighbours, with BPV per head resident reaching only 25 per cent of the European Union's lowest average in the Western Balkans.

Gender inequities are particularly pronounced in the labour market. The rate of employment for men is about 53.4 percent, while for women at only 19.8 percent. This gender gap is one of the highest in the region.

Despite some advances, the labour market continues to suffer from very low turnout, high unemployment and large gender gap. The results of job force surveys continue to be published with major delays.” The report stresses.

This vulnerability is deepened by structural labour market problems, which the report identifies as serious obstacles to overall economic growth.

According to the report, a shocking percentage of 33.4 percent of youths aged 15-24 are not in employment, neither in education or training a rate that is highest in the Western Balkans.

“The gender state in employment (norms are 53.4% for men and 19.8% for women) has expanded. In 2023, the percentage of young people (age 15-24) who are not in employment, education or training (NEET) rose slightly to 33.4%, from 33% in 2022, which is still the highest in the Western Balkan region.” says the Progress Report.

The report has also identified “limited progress in improving road and railway infrastructure”, as a result of a series of security challenges, insufficient maintenance and poor administrative capacity of regulatory institutions.

Among other things, delays are highlighted in the tendering of signaling and telecommunications systems as a result of lack of funding.

Kosovo has made limited progress in improving road and railway infrastructure. During the reporting period, there has been no progress on the Pristina highway, Merdare, or on the Peace Agreement. The rehabilitation work for the 10th Iron Line has continued at a slow pace. The tender for signaling and telecommunications systems, which is of high priority, is still delayed due to lack of funding. The transport system continues to face several security challenges, insufficient maintenance and poor administrative capacity of regulatory institutions. ” reportedly.