INVESTMENT SUPPORT OF THE EUROPEAN UNION TO WESTERN BALKAN COUNTRIES
INVESTMENT SUPPORT OF THE EUROPEAN UNION TO WESTERN BALKAN COUNTRIES

Summary/Abstract: As a consequence of wartime events and years of political turmoil, the Western Balkans is riddled with complex and often undefined international relations, in which it is almost impossible to isolate the economic and political context. Although the European Union has long supported its partners in the Western Balkans by fostering economic growth and improving the quality of life of the region, many and most of the same issues which are present continue to burden the region, due to the unequal progress of the countries. Therefore, despite the influence of external factors, the economic development of the region, and in this context the Republic of Kosovo, is progressing very slowly. EU is planning more investment in the region, with a view to better citizens' perspectives, but also to curb the Chinese presence that has taken on the role of investor in the region, excluding Kosovo, which it does not recognize. Due to this, it appears that regional cooperation is in the interest not only of the Western Balkan countries but also of the Union. Given that the European Union is the largest trading partner of the Western Balkan countries, the paper analyzes the Union's investment in this region, with an emphasis on the Republic of Kosovo. Our aim is to support the reforms and support the preparations for the accession of the Western Balkan countries to the European Union. The EBRD's ambitious plans to help achieve the sustainable development goals set by the international community as a strategic plan by 2030 were also highlighted. The following section analyzes the Union's investment in the economic, and thus cultural and political resurgence of Kosovo, stemming from the country's tendencies and motives for joining the European Union. Although Kosovo does not yet have membership status (besides B&H), it tends to point out the potential for investment in this country by supporting its regional and European integration. Facing the unfavorable economic and social situation, the Western Balkan countries have identified the achievement of full EU membership as the most important strategic goal. With full EU membership, this group o f countries would be given the opportunity to do business in the Union's internal market and to use EU financial instruments, which is the basis for improving their economic performance and enhancing international competitiveness. However, whether the future of the Western Balkan countries is in the European Union or not, they could become a center of growth and investment if they accepted the importance of structural reform as well as regional cooperation, which significantly results in the inflow of foreign direct investment. Kosovo, as part of the wider region of the Western Balkans, should undertake a comprehensive reform of its foreign investment policy and implement measures that would further stimulate the flow of foreign investment

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