Prishtina, 31 January 2013 – Minister of Economic Development, Besim Beqaj, held a lecture to students and professors of the American University in Kosovo (AUK), on ‘Structural reform’. The lecture was used to elaborate on economic developments in the country and on measures the Government has undertaken in conducting a structural reform of the country’s economy.

Initially, Beqaj assessed that Kosovo has significantly advanced in developing national social and economic institutions, and has had a strong economic growth during the last decade. Now, it is entering a phase of sustainable economic development.

Structural reforms have boosted economic growth and development in other countries through policies that increase the role of market forces and competition in the economy, such as domestic financial sector liberalization, trade liberalization, agricultural sector liberalization, deregulation of the electricity and telecommunication sectors, said Minister Beqaj.

Head of MED underlined that it is the Government’s aim to have the private sector as the bearer of economic development, whereas the institutions should merely create prerequisites like legal framework, infrastructure and interstate agreements.

Beqaj said that MED tasks include promote sustainable development of energy sector, mining and telecommunications in Kosovo, increase economic competitiveness by creating favorable climate for investments in our country, restructuring of local economies by transforming properties, modernization and increase of efficiency in public companies with the aim of creating functional market economy.

Minister Beqaj further underscored that the main projects under development include KEDS privatization, PTK privatization and development of Thermal Power Plant ‘Kosova e Re’.

“Latest economic developments and structural reforms are giving indications for an average relatively high economic growth along the medium term at 5.2%. Projections for 2013 are 4.5%; in 2012 it was 3.9%. Growth expected to reach higher rates with the realization of major infrastructure and tourism projects, respectively, with the commencement of projects such as Route 6, Brezovica and New Kosovo PP, including here the participation of the private sector,” he said.

Minister Beqaj said that the Government is creating a new country, with the commitment to undertake structural reforms and policy adjustments aiming to strengthen our medium and long term performance.

Further, Beqaj responded to numerous questions posed by AUK students and professors, which mostly pertained to fiscal policies, privatization process and economic relations with European Union.