Kosovo and Frankfurt am Main have signed an agreement for an €80 million policy-based loan aimed at supporting reforms in the energy and climate sectors.
The signing ceremony was attended by Kosovo’s Minister of Finance Hekuran Murati, the German Ambassador to Kosovo, and a delegation from KfW, represented by Pablo Obrador Alvarez.
Minister Murati highlighted that the funding will serve as budgetary support for reforms intended to integrate Kosovo’s energy sector with regional systems and the broader European Union.
“We just participated in the signing ceremony for a loan and grant agreement with KfW, the German Development Bank. This €80 million financial support will back reforms under our energy integration program with the region and EU member states. These reforms bring us closer to convergence in policy and system readiness, ensuring full rights in ENTSO-E and integration into the wider regional energy system. We are extremely grateful to the German state and KfW for this support. I believe our cooperation will continue, particularly in the energy sector, but also in other areas,” Murati said.
From KfW, Pablo Obrador Alvarez emphasized that this is the first policy-based loan Kosovo has received from the bank.
“For KfW, this is the first policy-based loan we are signing with Kosovo, making it a very important step for us. This new instrument aims to complement funding for major energy infrastructure projects, supporting the government in implementing the necessary reforms for the energy transition. We thank the government and you personally, Minister, for the trust and excellent cooperation so far. We look forward to jointly achieving the planned reforms under this program in the coming years,” Obrador Alvarez stated.
