Economic position of Kosovo in the ex-federation of Yugoslavia between 1945-1990

AuthorKujtim Millaku
PositionUniversity of Pristina
Vol. 1 No. 2
June, 2017
European Journal of Economics, Law and Social Sciences
IIPCCL Publishing, Graz-Austria
ISSN 2519-1284
Acces online at
Economic position of Kosovo in the ex-federation of Yugoslavia between
PhD (C.) Kujtim Millaku
University of Pristina
Kosovo did not ever accomplish to bring down its de ciency in the economic growth
compared to the Yugoslav average. At the times when other republics of the federation
had taken an impetus in the economic development, Kosovo had to take loans so as to give
way to plentiful economic problems. The interest and the concentration of the investors in
Kosovo could unswervingly been measured with the position that Kosovo had within the
Yugoslavian federation. As such, the largest investments took place when Kosovo went further
by establishing its bodies within the Yugoslavian federation as its constituent component.
However, the investments that took place following the 60s were not su cient to match
the development progress of other Federation Republics. The economic structure started to
change: the growing industry started to take the place of agriculture. Yugoslavia had been
collecting high amounts of loans from the Eastern and Western countries and by the end of
the 80s they reached 20 billion dollars. Due to that, the country economy was aggravated at
large extend.
Keywords: Kosovo, Yugoslavia, economy, exploitation, collapse.
Economic development of a country starts with the human, natural and technical
fundamentals meaning factories. A er World War II, Kosovo consisted of the rst
two above mentioned fundamentals, but failed the third fundamental.
The economical situation of Albanians following the end of the war deteriorated
further as bulky military troops that operated in the area le their negative impact on
the burden of the domestic population. The Yugoslavian army applied a compulsory
method in order to collect and conquer agricultural and livestock products which
were the main living source of the Albanian population. On the other hand, the arrival
of Serb and Montenegrin colonists burdened even more the already weak economic
condition of authentic Albanian population.
However, due to low employment rates in the industry or in other areas of non-
agricultural employment as well as di culties in migration, most of the population
lived in villages in very severe conditions despite the fact that the villagers themselves
were the largest contributors the country's economy. Just a small portion of the
population lived in the cities.
At this period, being mainly agricultural region and with fairly outdated farming
machinery, Kosovo remained amongst the less economically developed regions, with
an undeveloped industry yet.
The waste majority of the population in Kosovo was engaged in agriculture and

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