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Fiscal Policy and Privatization can bring new riots


Prishtina, 7 April 2004 - Despite promises by the Ministry of Finance and Economy that the fiscal policy in Kosovo will change, there are still no developments in this regard Kosovar daily „Pavarësia“ reports.

The Economic and Fiscal Council (EFC) is working so slowly that it has not brought any essential change, writes the paper. Nijazi Selmani, senior adviser to Minister of Finance, told the paper that the MFE is working on changing the fiscal policy. ‘The request for the changes has been sent to the EFC. Now we are awaiting responses from the donors, such as the World Bank,’ Selmani is quoted as saying.

Fiscal policy remains a reserved competence of UNMIK, writes the paper. Last year, Pillar IV of UNMIK stated that it never received requests to change the fiscal policy. Nowadays, they seem to have no information regarding developments in this process.

According to a professor at the Economic Faculty, who spoke on the condition of anonymity, the fiscal policy applied in Kosovo does not stimulate economic development.

Inadequate fiscal policy and the blocked privatization process can result in increasing frustration among producers and workers. Unfortunately they can also be a generator for future riots if things do no improve, concludes “Pavarësia”.

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