Context
Kosovo, as the youngest state in Europe, faces a number of economic challenges, including unemployment, poverty and corruption. Economic growth in Kosovo relies heavily on public investment and remittances. Therefore, fostering a vibrant private sector is imperative to enhance economic growth, mitigate poverty and generate employment opportunities. Significant efforts are being made to improve sustainable rural economic development by diversifying activities in rural areas, with a focus on mountainous and border regions. This includes promoting rural development through business development and farm-diversification measures. Here the focus is placed on rural and eco-tourism, traditional crafts, on-farm processing, renewable energy production, fostering biodiversity and marketing.
Objective
In Kosovo, the competitiveness of micro-, small and medium-sized enterprises (MSMEs) in business fields with a high employment potential is improved.
Approach
The focus of the project lies on:
Consolidating support structures for the private sector by developing the capabilities of business membership organisations in the agricultural sector
Improving and further development of business development services offered to MSMEs by business membership organisations
Enhancing government instruments for economic development
Supporting MSMEs in rural areas through an investment grant scheme, with a focus on mountainous and border regions
Models of service delivery:
Providing technical advisory services
Providing internal and external expertise
Supporting public-private dialogue
Implementing an investment grant fund.
Within the project activities gender equality, youth integration and digitalisation are cross-cutting topics.