Remittances- Importance and Effect in the Economy during the Covid-19 Pandemic - The Case of Kosovo
Purpose: The paper addresses issues related to the remittances of the Kosovar diaspora, including the analysis of their economic effect before and during Covid19. The main purpose of this paper is to analyze remittances in Kosovo and the effect of remittances on the economy in the Republic of Kosovo in the period 2010-2021. Design/methodology/approach: Official data from local and international institutions were used to conduct this study. This article provides a theoretical overview of remittances and remittance trends in Kosovo, from 2010 to 2022. For the finalization of this paper, the presented material has support including scientific literature, as well as reports and publications from the Central Bank of Kosovo, the Statistics Agency of Kosovo.In order to achieve the main objective of this article, different sources of data were used as well as the method of analysis, comparative method, econometric analysis which is presented through correlative analysis. Findings: In the framework of the work and analysis we have done regarding the impact and economic effect of remittances before and during the Covid19 pandemic in Kosovo, the results showed that: Remittances represent an important source of income for family economies, having influence and effects on the economy of Kosovo. Remittances to Kosovo should be mainly focused on investments in the economy and development projects. Practical inplemantation: Practical application: The low level of economic development in the country has influenced that remittances remain an important financial source, affecting the level of consumption and the standard of living of families in Kosovo. Originality value: The value of originality: The research refers to remittances that continue to be of great importance to families in Kosovo. This is when it is taken into account that Kosovo has a low level of local production and economic growth, as well as a high rate of unemployment, in this context the importance and effect of remittances has been and remains of special importance for households and the economy in general in Kosovo.