Prishtina, 24 November, 2023
On the occasion of the opening of the Office in Kosovo of the Albanian-German Business Union, the Prime Minister of the Republic of Kosovo, Albin Kurti, participated in the ceremonial event of this opening.
Among the Albanian-German business leaders, Prime Minister Kurti congratulated the Union of Businesses who, as the Prime Minister said, have taken a very important step in fulfilling the promise to serve as a strong connecting bridge between Kosovo and Germany, two states of which enjoy sound political, economic, cultural, diplomatic and commercial relations.
“I congratulate the Union for offering such a cooperation platform, because they are our economic and commercial bridge with the European Union, in particular with Germany, and I am interested to see if there are new, other ways to do it this type of cooperation in areas that we have not done so far, except to increase the intensity where the cooperation is already happening”, declared the Prime Minister in front of the audience.
Further, he added that our businesses are becoming more and more competitive in the global market and for such an achievement compatriots have an irreplaceable role by creating opportunities for our local enterprises on the international stage. Consequently, this proves how we are becoming an export-oriented country, being involved in the international market with food and non-food products.
According to the Prime Minister, we also share common values with emigration, such as the dual system that we already have with 12 profiles, in 21 schools, in 14 municipalities throughout Kosovo, in which case, in addition to strengthening the economy, new opportunities for employment and skill development, we build the foundation for lifelong learning.
The Government of the Republic of Kosovo supports the country’s economy by supporting businesses through the subsidization of investment loans, with the Law on Sustainable Investments based on which the Investment and Export Agency is being established, with the aim of promoting the environment and doing business in Kosovo and with Kosovo.
“Preliminary investment projects for improving the business environment until 2030 will be over 10 billion euros. Over 50 infrastructure projects, approximately 5 billion euros, which include transport with 2.5 billion, energy with 1.5 billion and the environment with 1 billion, and capital projects which only in the years 2023-2024 are over 6 thousand with approximately 1.7 billion, and the last but not in terms of importance as stated on the additional 1.2 GW of renewable energy capacities”, continued the prime minister.
Thanking the entrepreneurs for their contribution, Prime Minister Kurti reiterated that the Government’s focus remains on building a sustainable economy and social development, where progress is irreversible.
Prime Minister Kurti’s complete speech:
Dear Mr. Nazmi Viqa, chairman of the Union of Albanian-German Businesses,
Dear Mr. Matthias Conrad, deputy ambassador of the Federal Republic of Germany, here in Kosovo,
Dear, Mrs. Liza Gashi, Deputy Minister in the Ministry of Foreign Affairs and Diaspora, in our Government,
Dear Mr. Lazim Destani, honorary chairman of the Albanian-German Business Union,
Dear Mr. Ejup Berisha, first chairman of the Albanian-German Business Union,
I am so glad ladies and gentlemen, dear guests, that I am seeing many businessmen whom we have met either here or in Germany, and who have contributed so much to the economy of Kosovo, to their families, to their friends for lovers, and with whom we have created numerous bridges of communication, we have unforgettable experiences with them.
Entering here, I saw the three Bekims, Borovci, Brestovci and Ahmetaj, for example, I want to tell them that I do not forget their names and that we know each other from time to time, and I thank you all from the bottom of my heart for the undeniable, tireless contribution that you have given it over the years, for your country, for your families, for our good nation.
It is a pleasure to be among you today, leaders of Albanian-German businesses, who have contributed and are continuing to contribute both to Germany and to Kosovo. We have had cooperation with many of the entrepreneurs in the past, but we are here today to examine the possibilities and ways to increase this cooperation, for mutual benefit.
With the opening of your office now physically in Kosovo, for which I take the opportunity to congratulate and wish you well. The Business Union has taken a very important step in fulfilling its promise to serve as a powerful connecting bridge between Kosovo and Germany. So, with the state with which we have sound and strong political, economic, cultural, diplomatic and commercial relations.
As we gather together in this forum, it is essential to reflect on our collective journey, marked by tireless work and commitment to economic growth and social development.
During the last years, Kosovo has witnessed an extraordinary transformation. In 2019, our economy was valued at 12.56 billion euros, while only three years later, we recorded an amazing figure of 18.15 billion euros, which marks an impressive increase in terms of turnover and of course this has also affected other increases that we have had in every sphere of society and our activity.
We have doubled both exports and foreign investments in just two and a half years, while compared to 2019, next year will be the year when we will have over 40% increase in the gross domestic product, that is, in just five years compared to 2020, which was the year of the pandemic, falls by over 50%.
Such a development is unprecedented and of course it should be reflected in the quality of life of citizens, and in this case the quality of doing business in Kosovo.
Our story is one of success, which extends beyond economic growth. It is a story of comprehensive development, because we also have an increase of 2/3 of the tax revenues in the state budget without changing the fiscal policy, so the tax rate has not changed, but the tax inclusion has been expanded. Contributions have increased, without increasing the demand from the state.
I believe that a factor in this is the increase in trust in state institutions, when there are democratic elections and when there is institutional stability, the trust of citizens in institutions increases, when there are no corruption scandals and when there is hope for the future, people spend more they save a lot and in this way the state budget increases, which has enabled us to reach the point in just two and a half years where the budget for education, health and agriculture has increased by 50%, meanwhile for protection for 150%.
Also, the role of international trade in our economic revival has been important. Our exports in 2022, last year were 920.4 million euros, almost, i.e. doubling compared to 2020. Soon, we will exceed the value, i.e. one billion. Our businesses are becoming more and more competitive in the global market and in addition they are proving how we are slowly but surely becoming an export-oriented country.
Our businesses are evidence that the local market is not enough, and exports are the solution that is already happening, it is not something we foresee, it is something we are experiencing. And again, it should be emphasized that for such an achievement, compatriots have an irreplaceable role in opening doors and creating opportunities for our local enterprises on the international stage. In this case, we could also talk about a kind of diaspora as an important part of the market, perhaps overrepresented because it is the biggest consumer of local products even than it might seem at first glance. So, we have a kind of export “diasporization”, where certain exports are aimed precisely at our diaspora, wherever it is located in Western Europe, in the United States of America or elsewhere.
On this occasion, let me emphasize that the possibilities are even greater than the reality, and we are here to help you.
The trade deficit of the European Union is 122 billion euros, and in this 122 billion euros we can enter with our products, specifically food products are 14 billion euros or 11%, while non-food products are 108 million euros or 89%.
The main food products, in which we could enter with our exports in the part of the trade deficit of the European Union are juices, small fruits, meat, dairy products, honey, eggs, fresh tomatoes, while in terms of products non-food, are coal briquettes, plastic products, furniture, kitchens, chairs, beds, wood processing products, metal products, and especially aluminum products in metals. 122 billion in total, is the large sum with which we wish to cooperate with you to participate in this trade deficit of the European Union.
Therefore, I congratulate the Union for providing such a platform of cooperation, because they are our economic and commercial bridge with the European Union, in particular with Germany, and I am interested to see if there are new, other ways to do it this type of cooperation in areas that we have not done so far, except to increase the intensity where the cooperation is already happening.
The impact of your work is evident in the increase in foreign direct investment, which has reached 1.2 billion euros over the past few years. This flow of investment has not only strengthened the economy, but also created new opportunities for employment and skills development. Because the help that you have given to Kosovo through cooperation is not just a remittance, it is not just investment and employment, but it is also work ethic and it is the development of skills. The diaspora is part of our nation from which we learn. So, we don’t only get financial means and good material things, but also knowledge and skills for the jobs we do and what we have to do.
The employment numbers speak for themselves, we have had a 16% increase in job creation over the last nearly 32 months, adding 60,000 new jobs to our economy. This achievement is significant, in particular because it reflects the inclusive nature of the economy. A growing economy should translate into both increased redistribution and increased employment.
We also share common values. In Kosovo, we learn a lot from our emigrants and your success story. Maybe each of you here knows better than us who are here about the Ausbildung system. I have learned this word from you, neither from previous life experience, nor from the books I have read, but from meetings with you and when the citizens of Kosovo think of Germany, they think of famous German brands, they think of Bosch and Siemens. , they think about quality vehicle brands, they think about Deutche this and Deutche that, but I am the Prime Minister of the Republic of Kosovo, who is interested in Ausbildung becoming the most famous German word in our Republic.
We must connect the labor market with Vocational Training and Education, so that for a school or faculty diploma we have a job in the economy. We cannot plan education outside of economic development and vice versa.
During this week we took a very important step. We started the campaign for the image of Ausbildung, in which case we already have this dual system with 12 profiles, last year we had 4, we have added 8 more. In 21 schools, in 14 municipalities throughout Kosovo, and the goal is not to fill vacancies ourselves, but also to build the foundation for lifelong learning. Learning does not end with a diploma, but happens throughout life, and we want to make this a system. The German model is the best example and it is no coincidence that in the global financial crisis of 2008, Germany did very well, well and easily, and one of the explanations is Ausbildung. Despite the global financial crisis, jobs were not lost. A fellow countryman with whom I once went to school, one of his visits told me: ‘very interesting, he said, I find the situation in this beloved country of ours in relation to Germany. Over there in Germany everything seems fine, but there are job vacancies. You say how it is possible that there are still jobs in this seemingly perfect country. Meanwhile, in Kosovo, he said, little that seems right to me, they say there is no work. Shouldn’t there be work to fix these things that don’t seem right?’ And I believe that the service industry, of maintenance, is the key, which these things that are unregulated are regulated, but at the same time they also do things that we didn’t have before.
The Ausbildung method on the one hand and European and Euro-Atlantic values on the other are a guarantee of success.
As we look to the future, our focus remains on building an even sustainable economy, where progress is irreversible. Not only to make progress, but to make a progress that no one can undo and be inclusive, not to be a progress for some, but for all, not to leave anyone behind.
And this economy grows in size, but also in capacity to offer opportunities to citizens. We are proud that it is also proven through the strengthening of the rule of law, which increases the predictability of doing business and enables investment and reinvestment.
The Government of the Republic of Kosovo supports the country’s economy by supporting businesses. We are not two parties, we are on the same side and we do this through the economic revival package that comes from the budget filled by taxpayers, whether citizens or entrepreneurs, in which case we have, for example, subsidized not only consumption, but also production , not only the citizens as they consume electricity, or pregnant women and children, or students and the elderly, but also producers, with subsidized investment loans, with help for them that we have done with the Law on Sustainable Investments, based on whose Investment and Export Agency is being established, which in this way will promote the environment for doing business in Kosovo and with Kosovo. And in this aspect, we also have concrete data. Preliminary investment projects, in terms of improving the business environment until 2030, will be over 10 billion euros. Over 50 infrastructural projects approximately 5 billion euros, which include transport with 2.5 billion, energy with 1.5 billion and the environment with 1 billion, and capital projects which only in the years 2023-2024 are over 6 thousand with approximately 1.7 billion, and last but not least as stated above the additional 1.2 GW of renewable energy capacity. We currently have 282 MW, we will add another 1200 MW, and approximately half will be from wind sources and half from solar sources. The first auction for 100 MW in the village of Kramovik in Rahovec is until January 31.
Energy purchase guaranteed for 15 years, public land for 30 years, ceiling price 65 euros per MW/h, meanwhile next year, towards the middle of next year we are working to have another 150 MW from wind, but that are not specified in which country, so we cooperate with interested entrepreneurs in determining the country. This 100 MW will be on an area of 120 hectares out of 365 hectares located. So, 365 hectares are known, of which 120 hectares are designated for a 100 MW solar park.
At the very end, allow me to once again express my deep thanks and gratitude to Mr. Nazmi Viqën, for Mr. Lazim Destan and to all you other entrepreneurs who have brought us together here as you have brought us together there for the common good and for the further development of our partnership.
Together we have laid the foundations for a prosperous Kosovo and we will continue to build on this success. We cultivate good traditions and also encourage innovation and creativity. The journey ahead is full of opportunities and challenges, but with your continued support, with our unreserved commitment, I am confident that even better and better days lie ahead for our state, for our nation, for the families of for our citizens.
Thank you and congratulations once again.
Last modified: November 27, 2023