Kosovo

Kosovo’s economy grew by 3.3% in 2023, driven by public spending and private consumption, and is expected to stabilize at around 4% in coming years. Inflation, which peaked at 11.6% in 2022, declined to 5% in 2023 and is expected to continue declining in 2024. Despite increased imports due to strong public spending and high FDI-inflows, the current account deficit narrowed to 7.9% of GDP. The budget deficit remained unchanged at 0.8% of GDP in 2023, despite increased public spending.