Kosovo’s challenges and efforts to attract foreign investments

Kosovo’s challenges and efforts to attract foreign investments

Pristina, 17 October 2016/Independent Balkan News Agency

By Elton Tota

A bill on strategic investments was voted in Kosovo a few days ago, aiming at boosting foreign investments which have a crucial importance on the recovery of the economy of Kosovo. For experts of economic affairs, the bill was very important, but according to them, this doesn’t solve the main problems that Kosovo has, the rule of law and the high level of corruption which is preventing foreign investments in the country.

Expert of economic affairs, Shkelzen Dakaj told IBNA that foreign investments in Kosovo are dropping from one year to another and according to him, the cause for this relates to the aggravated business climate, bureaucracy, corruption, problems with courts and the high political risk.

“There are several reasons why we’re not seeing direct investments in Kosovo. The first reason relates to the serious political crisis and lack of political stability, which the country has suffered for years in a row. Then there’s the high level of corruption, lack of the rule of law, etc”, Dakaj says.

According to him, the Act on Strategic Investments will see the same fate as many other bills, which have European standards, but which have not been applied.

The head of the Kosovo Chamber of Commerce, Safet Gerxhaliu says that the Act on Strategic Investments is not a magic wand which solves economic problems. According to him, the provisions of the act in question will not be successfully applied if the rule of law is not strengthened.

“Kosovo has a big problem as far as foreign investments are concerned, with the negative image created by international companies which have encountered bureaucratic procedures. But the institutions have an obligation of transparency and not allow failures of the past to be repeated”, he says. /balkaneu.com/