Kosovo one of the most business-friendly environments in Eastern Europe

Prishtinë, Sept 21, 2005 – A new study of the local business environment ranks Kosovo among the most business-friendly environments in Eastern Europe. The “Business Conditions Index for Kosovo 2005” was prepared by Integra, a Pristina-based economic research company under the direction of the Kosovo Cluster and Business Support (KSCB) project.

The report, based on the World Bank’s “Doing Business Index,” examines how easy or hard it is to start a business, hire and fire employees, acquire investment and working capital, register property, and close a business in Kosovo.

Based on this study, Kosovo proved to have a far more business friendly environment than any other former member of the Yugoslav Federation and even outperformed some of the recent entrants to the European Union in some areas.

The report, issued today, will help foster foreign investment and target future business reforms by measuring how “business friendly” Kosovo is compared to other European transitional economies.

While the report clearly shows that there is still much to be done to improve the business environment, it also demonstrates that government agencies in Kosovo are far more pro-business in their approach to problems than those in other emerging market economies.

“A broad generalization we can make based on the indexes is that the laws and tools for a transparent business-friendly environment are basically in place in Kosovo,” said Dr. Ken Yamashita, USAID/Kosovo Mission Director. “This report will encourage needed foreign investment by informing the global markets about the true nature of Kosovo’s business environment. It also gives policymakers and business interest groups better ideas on what they should focus on in their efforts for future improvements.”