Research on the opportunities and benefits of Kosovo-Serbia economic relations published

Enabling free trade, restoring the flow of money between Belgrade and Pristina, defining a regional framework for the implementation of Article 6 of the Agreement on the Road to Normalization of Relations, enabling CEFTA decisions and abolishing double taxation and equal access to the labor market; exploring possible cooperation in the energy sector, accelerating the implementation of transport projects, are some of the recommendations of the research “Improving Kosovo-Serbia Economic Relations” prepared by the Musine Kokalari Institute for Social Policy from Pristina in cooperation with the Institute for Philosophy and Social Theory from Belgrade.

This report was compiled as a result of Article 6 of the recent 2023 agreement (Ohrid Agreement) between Pristina and Belgrade which specifies that “The Parties agree to deepen future cooperation in the fields of economy…”, but does not explain what exactly “deepening cooperation” means or implies. The report identifies areas that need and can be improved, and proposes ideas and measures to be taken in this direction.

Recognizing that economic cooperation between Kosovo and Serbia is in the interest of regional peace and development, this proposal document is based on the current state of regional trade and cooperation agreements, as well as in line with the basic principles of the Brussels Agreement on the economic relationship between Kosovo and Serbia, as one of the important pillars towards the final agreement.

The main obstacles and measures required to improve economic relations highlighted by experts from both sides are: free trade, removal of customs barriers, cooperation between the two central banks to enable the circulation of money in RSD and EURO between Belgrade and Pristina, mutual recognition of documentation (enabling bank transfers), implementation of existing and not necessarily new economic agreements, providing for joint production of goods, promoting cooperation rather than competition where possible (energy and ecology), fully utilizing the opportunities of CEFTA and the Regional Common Market and preventing its violations.

Accelerating the implementation of transport projects, such as accelerating work towards a railway connection and establishing a direct flight between Belgrade and Pristina, as well as starting a strategic discussion on the complementarity of economies are some of the recommendations.

You can read the full report in Albanian at the link:

This report was developed within the framework of the project “Implementation of Article VI of the Agreement on the Roadmap to Normalization of Relations between Kosovo and Serbia” between IPS Musine Kokalari and Peaceful Change Initiative – PCI, supported by UK Aid as part of the project “Amplifying Local Voices for Equitable Development”.

April 12 2024