The National Council for Economic Development (NCED) held its 11th meeting today. At this extraordinary meeting, were discussed further steps in order to soften the negative impact on the country’s economy caused by the COVID-19 pandemic.
Present were the Acting Prime Minister of the Republic of Kosovo, Albin Kurti, at the same time the Chairman of the NCED, the Ministers of the member Ministries of the NCED, the NCED Secretariat and the representatives of the member Chambers of the NCED. In this meeting, which aims the comprehensiveness in the public-private dialogue, were identified the main priorities and challenges related to the situation created by the COVID-19 pandemic, which will impact the management of the economic situation created in Kosovo. Following the presentation of the steps taken by the government so far, the discussion was continued by the NCED Secretariat, which presented the recommendations from the analysis on the economic impact of COVID 19 pandemic, and then the meeting has been continued with the representatives of the chambers, who submitted their requests and suggestions for the best possible design of the accompanying package.
In his speech held in front of the members of the Council, the Acting Prime Minister of the Republic of Kosovo, Albin Kurti, stressed the importance of the National Council for Economic Development platform for constructive dialogue between the private sector and the acting government. He stressed that "there is a direct link between the health of citizens and the health of the country's economy." According to him, "the expression rich, healthy, poor and ill is making more sense in this pandemic." The acting Prime Minister said that we are a poor country and most of the people are poor and thus more directly affected and endangered by this pandemic. However, the acting Government of the Republic of Kosovo, in addition to measures to help public health, has already taken measures to help economic health. The Emergency Fiscal Package drafted by the Ministry of Finance and Transfers and approved by the Government of the Republic of Kosovo, the acting Prime Minister Kurti described it as "first aid given to the patient in an emergency, it is not the long-term therapy given for recovery" . In this regard, the acting Prime Minister Kurti said "the acting government is planning the second package – that of economic recovery" which "will be much larger than the emergency package and will have a much longer timeline.” For this, we must work together, he said.
The acting Minister of Economy, Employment, Trade, Industry, Entrepreneurship and Strategic Investments, Rozeta Hajdari, emphasized that as a Minister responsible for businesses and in the service of businesses has listened to their concerns and has accepted all recommendations from close communication with her cabinet. These recommendations are also reflected in the emergency fiscal package. The Minister said that, we will focus even more on support, business recovery, and the development of the potential for job creation, with high quality and reforms to strengthen the resistance of the country's economy and competition. During the speech, Minister Hajdari mentioned that funds of the "Competitiveness and Export Readiness Project” funded by the World Bank” with about 10 million euros have been reallocated for direct support to businesses, to cover losses. Also, in the responsibility and support of the Minister for the private sector, Minister Hajdari has requested the support of the EU to help cover the damages from the COVID-19 pandemic. From the EU, up to 160 million € can be made available through macro-financial assistance, budget support, IPA grants, the private support sector, agriculture and poverty alleviation. The Ministry of Economy, Employment, Trade, Industry, Entrepreneurship and Strategic Investments (MEETIESI) has also taken all the necessary steps to ensure the regular supply of grain and flour to the market, and to stabilize the price of products in the market. Also, Minister Hajdari showed that in support of the Republic of Kosovo and the countries of the region, the Council for Regional Cooperation, supported by the European Union has taken the initiative to open green corridors aiming at the possibility of free movement of essential goods. Minister Hajdari said that it is true that the economy is being hit these days, but as the pace of the risk of COVID -19 pandemic is progressing, taking these measures is inevitable, in order to save lives and the economy. If these measures come later, the losses are greater in the lives of many citizens as well as in the economy.
The acting Minister of Finance and Transfers, Besnik Bislimi, during the meeting explained in detail the points of the Emergency Fiscal Package (01-19-30-03-2020 MFT). He expressed readiness for cooperation with the representatives of the private sector to reach the drafting of further measures. He stressed that the Emergency Fiscal Package can be implemented within the current budget of Kosovo, i.e. without the approval of the Assembly for the suspension of fiscal rules, even though this will have long-term consequences on the state budget.
Lindita Daija, director of the NCED Secretariat, presented the reports compiled by the NCED Secretariat on the economic impact by the COVID-19 pandemic, as well as the practical recommendations that can be used at work for designing the accompanying package and that of economic recovery strategy.
The discussion by the representatives of the private sector was opened by Berat Rukiqi, the President of the Kosovo Chamber of Commerce, who as a primary point addressed the importance of clarifying unclear decisions and suggested the creation of a unified and updated portal with information of acting Government decisions. Likewise, Mr. Rukiqi announced that the next package should be in coordination with everyone and it should be aimed to ensure the minimization of losses through it and not their compensation.
Arian Zeka, director of the American Chamber of Commerce in Kosovo, said that given the current situation, he indicated, that according to him there was dialogue between the government and the chambers, but no coordination. As a result, he said that much of the business recommendations were not taken into account in the emergency package.
After the specific recommendations he presented in detail, Skender Krasniqi, President of the Chamber of Commerce, stated that he strongly supports the new package to be done in closer coordination between the government and the public sector, hoping that something is being enabled through NCED.
At the end of this meeting, after voting, the proposal for the establishment of the Coordinating Group for COVID-19 was approved. This coordinating group will aim to treat and address the economic issues and problems facing the private sector as a result of coping with COVID-19 pandemic. This group will be headed by the acting Minister of Economy, Employment, Trade, Industry, Entrepreneurship and Strategic Investments, Rozeta Hajdari. A group of such level will work more efficiently for taking merit decisions based on inter-institutional constructive analysis and discussions to contribute to the drafting of measures that respond to the needs of the private sector.
The meeting of the National Council for Economic Development was organized in close cooperation between the Cabinet of the Prime Minister of the country, the Cabinet of MEETIESI and the Secretariat of the NCED.