Building Kosovo's innovation economy: momentum, gaps and the road ahead

Pristina became a meeting point for Kosovo's innovation ecosystem, as government institutions, entrepreneurs, universities, investors, innovation hubs and international partners gathered to mark World Innovation and Creativity Day. Organised by the Ministry of Industry, Entrepreneurship, Trade and Innovation (MIETI), the event brought together 300 participants to discuss what it will take to place innovation and creativity at the centre of the country's economic transformation. It also reflected Luxembourg Development Cooperation's long-term commitment to supporting innovation-driven and inclusive growth in Kosovo.

The discussions focused on practical questions shaping Kosovo's future competitiveness : how to strengthen innovation governance, improve access to finance, support companies in scaling up, and create stronger links between research and the real economy. One message emerged clearly throughout the day : Kosovo does not lack talent, creativity or entrepreneurial energy. What is missing is a set of institutional frameworks, coordinated support systems and long-term investment capable of turning ideas into sustainable businesses.

In his opening remarks, Prime Minister Albin KURTI called for institutions that reward innovation, strengthen research and development, and create predictable pathways for entrepreneurs, moving away from fragmented, project-by-project support towards a functioning national innovation system.

Minister of MIETI Mimoza KUSARI-LILA reinforced this message, calling for stronger instruments to support startups and growing firms, with a clear focus on implementation and institutional coordination rather than on strategy alone.

Panel discussions brought together voices from government, universities, startups, innovation centres and the private sector to address financing gaps, enterprise scaling and research-industry collaboration. Participants repeatedly stressed that long-term impact depends not only on strategy, but also on consistent implementation and sustained institutional commitment. 

The event also reflected Kosovo's ambition to align more closely with European innovation frameworks, including the EU Growth Plan for the Western Balkans.

For Luxembourg Development Cooperation, the event marked several years of deepening engagement in Kosovo's innovation ecosystem. Together with MIETI, the Kosovo Investment and Enterprise Support Agency and a range of ecosystem actors, Luxembourg Cooperation has supported policy development, institutional strengthening and innovation support mechanisms, with the aim of building more structured and sustainable foundations for the ecosystem over time. 

In his speech, Eric DIETZ, Chargé d'Affaires a.i. at the Embassy of the Grand Duchy of Luxembourg in Pristina, reaffirmed Luxembourg's long-term commitment to Kosovo's innovation agenda. He stressed the importance of moving beyond pilots and short-term initiatives towards national systems capable of delivering innovation support at scale, helping Kosovo compete in a modern, knowledge-driven economy.

During the event, two companies benefiting from the Innovation Grant Scheme co-funded by MIETI and the government of Luxembourg through the Sustainable and inclusive growth in Kosovo project – GAMBINI, active in food processing, and BALIU, specialised in wood processing – presented their products, offering tangible evidence of local innovation creating new opportunities despite structural constraints.

The Sustainable and inclusive growth in Kosovo project is funded by the Grand Duchy of Luxembourg and implemented by LuxDev, the Luxembourg Development Cooperation Agency. It aims to catalyse sustainable economic growth by fostering innovation, inclusivity and social development in a greener Kosovo. Specifically, the project endeavours to stimulate innovation and both local and foreign investments within a digitally secure and transparent ecosystem.