The impact of export and foreign direct investment in the growth of GDP in Kosovo
| Author | Ilire Ahmeti |
| Position | College of International Management 'Globus', Pristina, Kosovo |
| Pages | 159-166 |
Vo
l.
6
N
o
. 1
M
arch, 2020
ISS
N 2410-391
8
A
cces on
l
ine at www.ii
p
cc
l
.or
g
15
9
A
cademic Journal o
f
Business,
A
dministration, Law and Social Sciences
II
PCCL Publishin
g
, Graz-
A
ustria
The impact of export and forei
g
n direct investment in the
g
rowth of GDP in
K
o
s
o
v
o
P
h
D
(
C.
)
I
l
ire A
h
met
i
C
ollege o
f
I
nternational Management “Globus”, Pristina, Kosovo
Ab
str
a
ct
A
nalyzing the chronological economic development of Kosovo at the beginning, meanwhile
the state o
f
Kosovo has a liberal trade regime which is characterized with simplicity and
n
eutrality. This has decrease a great extent to the development of the private sector and the
creation o
f
conditions
f
or export.
A
nd there
f
ore this has a
ected negatively in improving the
competitiveness of local production sectors of the newly established, where Kosovo is facing
high trade de
fi
cit. This kind o
f
situation created will prevent the macroeconomic stability
a
nd growth. The purpose of the paper made a detailed overview on the overall economic
d
evelopment - GDP, components and the main factors a ecting this growth, techniques
a
nd approaches for the assessment of the economic system and its development.
A
nalyzing
the role of exports and foreign direct investments in economic growth in the case of
K
osovo. Theoretical research concerning the role of export and foreign direct investments in
GDP, have shown a positive relation among themselves.
T
he data used in this paper were provided by the Statistical
O
ce o
f
Kosovo and Kosovo
C
ustoms on long stretches of di erent empirical analysis we have included the period 2018
-
2
019.
I
n the
f
ramework o
f
empirical analysis de
fi
ned dependent variables "GDP Growth", as
well as independent variables: FD
I
growth and export growth
.
Ke
y
words
:
gross domestic product, export,
f
oreign direct investment, economic development,
trade policy
.
I
ntr
odu
ct
io
n
G
lobalization has its own ste
p
brings liberalization as an integral
p
art o
f
the economic
re
f
orm agenda that characterized
f
rom develo
p
ing countries.
E
conomic develo
p
ment
of
our countr
y
in general is in
fl
uenced mostl
y
b
y
internal
f
actors and external
p
olicies
such as
fi
scal, monetar
y
and industrial.
I
n addition,
f
oreign direct investment and the
e
x
p
ort sector are
f
actors that a
ect economic develo
p
ment and em
p
lo
y
ment, among
o
ther things. The business ex
p
ansion ever ha
pp
ens as a result o
f
the
p
ressure o
f
f
oreign
c
om
p
etition increasing, which comes because o
f
technological and institutional
d
evelo
p
ments. Knowledge o
f
the
p
roduct and services
p
rovided at length and ver
y
f
ast due to un
p
recedented advances in communication technolog
y
and trans
p
ort
.
B
ene
fi
ts
f
rom the develo
p
ment o
f
ex
p
ort and
f
oreign direct investment are o
f
a varied
n
ature ranging
f
rom the diversit
y
o
f
p
roducts in the countr
y
, the e
cienc
y
o
f
local
p
roducers and the
f
ree movement o
f
international will be on the loose. To
p
romote
f
oreign direct investment and to develo
p
ex
p
ort sector in our countr
y
generall
y
K
osovo tried to create an environment more suitable and more
f
avorable. Moreover
,
the international communit
y
it has
p
la
y
ed a ke
y
role in
fi
nancing and co-
f
unding
of
various
p
rojects related to create the basis
f
or the im
p
lementation o
f
E
uro
p
ean
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