The Central Bank of Kosovo (CBK) has published the “Financial Stability Report,” forecasting an economic growth of 4.1% in 2025, along with an average inflation rate of 3.3%. These projections are primarily based on private consumption and investments.
According to the report, Kosovo’s economy grew by 4.4% in 2024, while the annual inflation rate decreased to 1.6%.
“The report confirms the resilience and stability of Kosovo’s financial system, prudent regulatory oversight, and effective risk management practices. However, these achievements remain exposed to global economic uncertainties, requiring continued vigilance.
The economy was supported by private consumption, investments, and exports. For 2025, growth of 4.1% and average inflation of 3.3% are forecasted, mainly driven by private consumption and investments.
The fiscal sector showed stable performance, with a minimal deficit and a reduction in the public debt-to-GDP ratio. Nevertheless, the widening current account deficit, along with trends in remittances and foreign direct investments, remain structural challenges that require enhanced monitoring,” the report states.
