Kosovo

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There has been solid growth amidst the political uncertainty. The economy expanded by 3.5% in Q1-Q3 2025, driven by investment and consumption. Overall growth in 2025 is estimated to have been around 3.8%, which is still lower than in 2024, owing to headwinds arising from both the domestic and the international political climate. Economic activity is expected to accelerate to 4.1% in 2026-2027, owing to strong domestic demand and the end of the political deadlock.
        FORECAST*
Main Economic Indicators202320242025202620272028
Population, 1000 persons16051594....
GDP, real change in %4.14.63.63.84.14.2
GDP per capita (EUR at PPP)1075011440....
Gross industrial production, real change in %9.05.0....
Unemployment rate - LFS, in %, average10.910.810.710.610.510.3
Average gross monthly wages, EUR570639....
Consumer prices, % p.a.4.91.63.92.82.02.0
Fiscal balance in % of GDP-0.3-0.3-0.3-0.5-0.5-0.2
Public debt in % of GDP17.216.817.5...
Current account in % of GDP-7.2-8.4-10.0-9.0-8.5-8.5
FDI inflow, EUR m840794....
Gross external debt in % of GDP39.640.739.0...


Basic data are continuously updated.

* Forecasts are changed beginning of January, April, July and November.
See Press Conferences.

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Monthly Report No. 1/2026

Vasily Astrov, Alexandra Bykova, Selena Duraković, Meryem Gökten, Richard Grieveson, Maciej Grodzicki, Ioannis Gutzianas, Doris Hanzl-Weiss, Gabor Hunya, Branimir Jovanović, Biljana Jovanovikj, Niko Korpar, Dzmitry Kruk, Sebastian Leitner, Isilda Mara, Emilia Penkova-Pearson, Olga Pindyuk, Sandor Richter, Marko Sošić, Bernd Christoph Ströhm and Marina Tverdostup
wiiw Monthly Report No. 1, January 2026
58 pages including 6 Tables and 15 Figures

Details

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Executive summary

Olga Pindyuk
in: The Crisis is Over, but its Scarring Effects are Hindering Recovery
wiiw Forecast Report No. Spring 2024, April 2024 , pp. I-VII
Details


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