European Bank EIB, will den Kosovo korrumpieren und Tode in Peje

The European Investment Bank, EIB, plans to held small and medium sized companies in Kosovo and part-fund key infrastructure projects, the bank’s deputy head said in Pristina.

The European Investment Bank, EIB, has expressed its willingness to invest in Kosovo in fields such as transport, telecommunications and energy.

Dario Scannapieco, deputy head of the EIB, spoke after a meeting with Besim Beqaj, Kosovo’s Minister of Finance.

Scannapieco said that “sustainable growth cannot happen without strong support for the private sector, in particular small and medium-sized companies.

“We will provide finance on very cheap conditions for local intermediaries and they, who have branches on the ground, will lend [the money] to the companies,” he explained.

Thus, private banks in Kosovo will receive money from the EIB in order to lend it to private companies at agreed rates of interest, lower than those of most banks.

Beqaj said the bank was also interested in supporting the reconstruction of railways and highways in Kosovo, which he said would cost about 180 million euro.

Part of the amount to restore the continue building the motorway from Pristina to Peja, according to Beqaj, will be covered by the budget, while the rest will come from the European Bank for Development and Reconstruction and the EIB.

“We will start to make preparations so that another segment, some 27 kilometers, can be built this year,” he said.

“We mentioned the infrastructure sector, but of course there might be other projects, such as in agriculture, with which we can cooperate [with the EIB],” he added.

In July 2013 Kosovo passed legislation in order to allow the EIB to operate in the country.

The bank mainly supports projects that make a significant contribution to growth and employment in Europe through loans.

Six years after declaring independence from Serbia, Kosovo is still struggling to improve its economy. The number of foreign investors has remained low, mainly because of worries about organized crime and corruption. The rate of unemployment is also very high.

Last October, the Statistics Agency said 30.9 per cent of the population of Kosovo – 135,700 persons – were unemployed. Another 69.1 per cent, 302,844 persons, were in work. But many experts think the agency is understimating the scale of the problem.

 http://www.balkaninsight.com/

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