"Kosovo's economy will slow down" - In the framework of two agreements, the IMF disburses an additional 36 million euros
Kosovo's economic growth is expected to slow down in 2025. According to the International Monetary Fund, the current year will end with an economic growth of 4.3%, while next year, the economy is expected to grow by only 4%.
Also, after the significant drop in inflation to an average of 1.8% during 2024, in 2025 it is estimated to be closer to the objective of the European Central Bank of 2%.
The International Monetary Fund has published a report highlighting Kosovo's progress in programs supported by the IMF.
The International Monetary Fund has completed the Article IV Consultation and the Third Review within the framework of the two agreements with Kosovo in 2024, enabling the distribution of an additional 36 million euros as financial support.
The SBA and RSF agreements aim to provide liquidity during potential crises and support structural reforms for fiscal and financial improvement, while the other RSF agreement aims to provide accessible funds to advance Kosovo's climate initiatives, particularly in energy efficiency and sustainable energy .
Although Kosovo has made progress in implementing fiscal, financial and green energy reforms, the International Monetary Fund recommends that Kosovo further improve fiscal policies and increase public, foreign investment and competitiveness, implement comprehensive governance policies, modernize financial regulations and improve crisis preparedness.
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