Kosovo’s young and educated workforce, competitive wages, active diaspora, and proximity to the EU give it strong potential to grow and compete in regional markets. But this potential is constrained by weaknesses in the Kosovo market system. These stem from a range of sources, including policy and regulatory constraints, underdeveloped firms, limited industry and sector coordination, workforce skills mismatch, and insufficient access to financing and investment capital.
The Kosovo Compete Activity addresses market constraints to enable scalable and systemic change that stimulates job creation and increases the private sector’s ability to engage in local, regional, and international markets. The Activity improves export competitiveness of the private sector in three key export-oriented sectors: wood processing, food processing, and ICT. The Activity delivers its interventions through a systemic approach that seeks to promote resilient, self-sustaining market systems. After conducting a detailed Market Systems and Constraints Analysis, the Compete Activity selected a set of priority market systems functional areas to focus interventions on market access, diversified finance, business sophistication, skills development, and supporting business environment. Starting in year three of the project, Compete will focus particular attention on the prefabricated buildings/modular homes subsector as a vehicle for stimulating growth throughout the range of wood processing firms represented in its value chain.
The goals of the activity are:
1. Strengthen market systems to increase sector competitiveness
2. Ensure actors within those market systems are more productive and competitive
The results achieved to date include: