The latest legislative amendments on private international law and property ownership are promising for foreign investors, while Kosovo’s renewable energy investments are on the rise, according to Vokshi & Lata Senior Partner Adem Vokshi.
"Kosovo’s legislative landscape has been changing recently," Vokshi begins. "In September, legislation related to private international law was introduced in Kosovo for the first time." According to him, until now, "former Yugoslavian regulations were applied to this area, but the recent law incorporates EU principles and eases the process of accepting and executing foreign decisions."
Vokshi believes that the new law will have a positive impact on businesses. "There are regulations defining competent courts in case of disputes and, if another country’s judicial body will be competent, such decisions will be enforceable in our country," he notes. "This will have a great impact on businesses, especially foreign companies doing business with Kosovo."
"Another great development in Kosovo is the recognition of the property rights of foreign citizens," Vokshi adds. "Previously, foreign citizens had trouble owning land and business premises. The new law introduces the principle of reciprocity and, depending on the other country’s regulations, the citizens of those countries can now own and invest in real estate."
Additionally, Vokshi highlights that a new commercial court started working and issuing decisions. "The first decision was published around September," he says, adding that "there is still a lot of work to do but, hopefully, it will change how commercial disputes are decided and make the process faster."
"In terms of other developments, it is interesting to see how politics influences doing business," Vokshi adds. "The Russian invasion of Ukraine, similarly to many European countries, affected Kosovo’s energy market and client work in general," he notes. "There are more new projects in renewable energy, including not only private investments but investments supported by the state. Soon we are expecting an auction for a 100-megawatt solar project."
Overall, Vokshi says, because of the political situation between Kosovo and Serbia, there is a perception of fear to invest in Kosovo. "Looking at it from the ground, we have a different insight – despite the political situation, the market is not as fragile as presented by the media, and the political instability is not affecting citizens as much," he notes. "They want progressive politics and western standards of living. Similarly, foreign investors are not and shouldn’t be afraid to invest in our jurisdictions."