EuroEconomica, Vol 36, No 1 (2017)

The Impact of Minerals Rent Tax on Kosovo’s Budget

Bedri Statovci, Gani Asllani, Vlora Berisha


In order to reduce poverty and make substantive progress in Kosovo, the state financial system must be reformed, allowing gradual revenue growth capable of meeting the needs of a highly developed economy. The challenge for all world governments is how to collect public revenues in order to fund the state budget. The purpose of this paper is to discuss the treatment of mineral resource rent tax, which is public revenue and has a huge influence on the state budget. Since royalty is revenue that the budget of Kosovo has symbolic participation there is the need for the policy-makers to recovery the mining sector which before the 90-s and thereafter completely destroyed despite the potential rich minerals the increase of revenues from royalty helps in economic and social development. Therefore, the aim of this paper is the treatment of mineral rent in Kosovo and its comparison with some countries of the world, the legislation regulating mineral rents, the impact of the mineral rent to the budget of Kosovo, the impact of mineral rent in developing Kosovo's economic and government policies regarding mineral rent.


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