Current Account Balance: Kosovo

Analysis# Kosovo Current Account Balance Kosovo's current account deficit stands at -8.3% of GDP in 2026, reflecting persistent structural imbalances in the economy. This deficit remains significantly wider than the -3.6% peak achieved in 2013, though well above the -13.3% low recorded in 2011. Since 2000, the current account position has deteriorated by 124.3%, indicating a long-term worsening trend in the country's external balance. The recent decade reveals a volatile pattern with two notable deteriorations: a sharp widening from -5.3% in 2017 to -10.5% in 2022, followed by a modest recovery. The 2022 peak marked the worst performance in over a decade, suggesting mounting pressures from import growth and weak export competitiveness. Forward projections indicate a slight improvement toward -8.3% by 2026, though the deficit will likely remain elevated relative to historical benchmarks.