Kosovo today marks the 16th anniversary of its independence. Since the formation of the state, Kosovo has been governed by almost all political parties in the country. However, the Kosovo-Serbia dialogue and political developments have overshadowed the economy of our country for 16 years. For these years, Kosovo has not managed to create economic stability as a result of the dialogue and developments in the north of the country.

In addition, the country remains under sanctions from the European Union for more than eight months as a result of the situation created in the north and the non-fulfillment of the EU's requirements for the de-escalation of the situation in the four northern municipalities.

Another challenge for the youngest state in Europe, Kosovo, remains the implementation of the Regulation of the Central Bank of Kosovo (CBK) for the use of only one currency in Kosovo, namely the euro. This regulation, which entered into force on February 1 of this year, has tested the relations between Kosovo and the United States of America. The USA, the European Union and other mechanisms have been criticizing the Government of Kosovo for not postponing the implementation of the regulation that foresees the ban on the circulation of the dinar. Although, the circulation of this Serbian currency (dinar) is unconstitutional, since in Article 11 of the Constitution of Kosovo, it is stated that in the Republic of Kosovo a single currency is used as a valid means of payment, whereas with the Law on the Central Bank of Kosovo, it is also said that upon request, the Central Bank will exchange euro banknotes and coins.

However, welfare for citizens and greater security for businesses can only exist when the dialogue with Serbia ends with a final agreement, as assessed by the leaders of the Kosovo Chamber of Commerce KCC.

"What has caused uncertainty from time to time has been the political tensions, when I say this, I mean in the north of the country. Therefore, political stability is very important. Even the issue of the Kosovo-Serbia dialogue, as soon as it ends, is in the interest of the economy", said the president of KCC, Lulzim Rafuna.

The business community has constantly asked the Government of Kosovo to prioritize economic development and at the same time support businesses.

Even the weak economy, poverty and lack of perspective are among the main reasons that are pushing the citizens of Kosovo to leave the country. According to the GAP Institute, 338 thousand citizens have emigrated from the country in the last ten years.

Poverty in Kosovo continues to grow from year to year, thus making the social situation of families in need more difficult. According to the latest report from the UNDP for the year 2023, poverty in Kosovo has increased to 16 percent, for which there is also a decrease in economic growth.

According to UNDP, many families (16 percent of households) live below the poverty level, which falls to only 1.85 euros per day.

A challenge for the citizens in these years was the increase in inflation in the double-digit rate. In addition to this increase in prices for essential products, there was also an increase in the price of electricity over 100 percent by the Energy Regulatory Office in one year (2022-2023).

The youngest country in Europe and beyond, Kosovo, remains an unattractive country for foreign investments, especially from big global companies and brands. Also, according to the reports of the Central Bank of Kosovo, there is also a decrease in investments in recent years, compared to the first period of independence.

Exports of goods according to the Kosova Agency of Statistics are in decline and symbolic figures, so the trade deficit in relation to imports is still deep.

Despite the criticism from the opposition parties for the country's stagnation in the economy, the prime minister of Kosovo, Albin Kurti, at the economic forum in Switzerland, had mentioned the increase in Kosovo's exports, with an increase in economic development, where, according to him, there has been an increase in the market.

"Everything shows that we will become an export-oriented country, it is no coincidence that for two and a half years exports have doubled, where in the last three years, the value of Kosovo's exports has reached 2.5 billion euros. However, this increase is more than double, compared to the previous six years", said Kurti in January of this year.

Kurti has also said that in his governance, over 1 billion euros have been added to the country's economy each year, for which he said that this increase is undoubtedly the result of the private sector's entrepreneurship.

"We want to see competition and cooperation together. The entire private sector has a guaranteed ally and partner so that we can help each other in this direction, produce and export more, fight informality more, and strengthen competition of our country. We must be in this dialogue well structured so that the challenges are defined correctly, our meetings are not repeated conversations, for reports on the results achieved. More than 1 billion has been added to the country's economy every year", said Kurti.

Although a long-awaited achievement for the country took place on January 1, 2024, the visa liberalization for citizens to move freely in the Schengen area.

Thus, after the declaration of independence, Kosovo managed to join almost all international financial organizations, the World Bank, the International Monetary Fund, the European Bank for Reconstruction and Development, except for the Green Card Bureau, which remains a condition for membership in the Organization of the United Nations.

After independence, the country invested billions of euros in road infrastructure, as well as in the construction of two highways, the one connecting the country with Albania "Ibrahim Rugova", as well as the other highway "Arbën Xhaferi" in the direction of Skopje.

Although, the country was stuck in the construction of railways and in the development of public enterprises such as "Trepça", "Infraskosi", and Telekom.

Thus, during 2009, Kosovo recorded an economic growth of 5 percent, whereas in 2023 this rate was 3.5 percent, which, economic experts consider natural and not as a result of economic development.

The youngest state in Europe and beyond, Kosovo, in 2008 had a budget of one billion and 27 million euros, whereas a year after independence in 2009, the Assembly of Kosovo approved a budget of one billion and 430 million euros. Thus, the budget for 2024 has now reached 3.3 billion euros.