This web page presents information about the work of the IMF in the Western Balkans, including the activities of the IMF Regional Representative Office. Additional information can be found on the IMF country pages of the region (Albania, Kosovo, Montenegro, and Republic of North Macedonia), including official IMF reports and Executive Board documents that deal with the Western Balkans as a region and with each of its countries.

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The Regional Office for the Western Balkans, located in Vienna, Austria, was created to strengthen the IMF’s relationship with AlbaniaKosovoMontenegro, and Republic of North Macedonia. The objective of the office is to maintain a close engagement with the four countries as well as with donors, international institutions, including the World Bank, and the Austrian government, an important trade and development partner of the Western Balkan region.

Its main tasks include:

• Engaging with policymakers and other interlocutors on economic policies; as well as fostering a dialogue on global economic issues; 
• Supporting IMF operations in the Western Balkans, including policy advice, lending arrangements, technical assistance, and recruitment efforts;
• Helping to coordinate communication and outreach activities across the region.

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IMF Staff to Conduct Technical Staff Visit to Albania


February 26, 2021


An IMF team led by Yan Sun will conduct a virtual staff visit to Albania during March 3-9, 2021.  The technical discussions with the authorities and other counterparts are expected to cover economic and financial developments in 2020, prospects for 2021, and the status of structural reforms. Download PDF

IMF Executive Board Concludes 2020 Article IV Consultation with the Republic of Kosovo  


February 17, 2021


Economic activity is forecast to rebound by 4.5 percent in 2021 supported by continued fiscal stimulus, and the projected gradual relaxation of containment measures. The outlook remains subject to large uncertainty, and depends on the evolution of the pandemic, the speed of vaccinations, and political developments. Read more

Republic of Kosovo: 2020 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Republic of Kosovo


February 17, 2021


Kosovo has been hit hard by the COVID-19 pandemic. Despite policy support, economic activity is estimated to have fallen 6 percent in 2020 on account of the combined effect of strict domestic containment measures and international travel restrictions. Read more

IMF Executive Board concludes 2020 first Post-Program Monitoring with Albania


November 30, 2020


Albania has benefited from the IMF emergency financial assistance (around US$190.5 million) disbursed under the Rapid Financing Instrument in April 2020, which allowed Albania to meet urgent balance of payments needs stemming from the aftermath of the November 2019 earthquake and the outbreak of the COVID-19 pandemic. Albania’s capacity to repay the Fund is adequate, but risks have risen in light of the shocks. Read more

Albania: First Post-Program Monitoring-Press Release; Staff Report; and Statement by the Executive Director for Albania

November 30, 2020


Albania continues to be severely affected by the aftermath of the November 2019 earthquake and the COVID-19 pandemic. The authorities responded promptly to the shocks, and macroeconomic and financial stability have so far been maintained. Read the report

IMF Staff Concludes Virtual Visit to North Macedonia

November 2020

An International Monetary Fund (IMF) mission, led by Bergljot Barkbu, conducted a virtual staff visit with the authorities of North Macedonia during November 9-18, to discuss recent economic and financial sector developments, the 2021 budget and the outlook. Read the statement

Kosovo: Staff Concluding Statement of the 2020 Article IV Mission

October 8, 2020

An International Monetary Fund (IMF) mission, led by Mr. Gabriel Di Bella, conducted a virtual visit during September 23-October 7 in the context of the 2020 Article IV consultations. Read the concluding statement here

Albania: Staff Concluding Statement of the First Post-Program Monitoring Mission


September 28, 2020


The November 2019 earthquake and the COVID-19 pandemic have taken a big toll on the lives of Albanian people and the economy. Thanks to adept policy management and globally accommodative financial conditions, macroeconomic and financial stability have been maintained . Albania’s capacity to repay the Fund is broadly adequate, but risks have risen in light of the shocks.


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The IMF says we will have an even deeper recession of 5.5% this year


September 21, 2020

The recession as a result of the severe consequences of the pandemic on the economy is completely inevitable this year, both globally and in the country, but the latest forecasts of the International Monetary Fund (IMF) instill even greater pessimism. Despite the initially expected drop in gross domestic product (GDP) of 4%, the IMF Regional Resident Representative for the Western Balkans, Stephanie Eble, in her first interview with Kapital revealed that the IMF forecasts that the decline in economic activity will reach 5.5%. 


Republic of Kosovo: Financial Sector Stability Review


July 07, 2020


The FSSR mission team conducted a diagnostic review of CBK governance and of the financial system, undertook a stocktaking of the implementation of recommendations from the 2012 Financial Sector Assessment Program (FSAP) and MCM TA, and proposed a TA Roadmap to support the efforts of the authorities to address key gaps and vulnerabilities. The IMF Statistics Department (STA) supported the mission with an assessment of the compilation of financial soundness indicators (FSIs), monetary and financial statistics, and balance sheet matrices (Annex I).



Combating the Impact of COVID-19 in Montenegro


July 02, 2020


Like many tourism-dependent countries, Montenegro has been hit hard from the effects of COVID-19. On June 24, 2020, the Balkan country received an emergency loan worth $83.7 million under the IMF’s Rapid Financing Instrument to help its economy weather the economic disruption caused by the collapse of tourism and to support higher health spending. Read more


IMF Staff Concludes a Remote Staff Visit to Albania


July 01, 2020

Due to the fallout of the earthquake and the COVID-19 pandemic, Albania’s economy is expected to contract sharply in 2020 and rebound in 2021. But uncertainty is high.

Temporary, targeted, and transparent support for people and firms hurt by the shocks is warranted and needs to be embedded in a credible medium-term fiscal framework.

Once the effects of the shocks subside, it will be critical to resume revenue-based fiscal consolidation and put public debt on a sustained downward path to rebuild room for fiscal policy maneuver.

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Montenegro : Request for Purchase under the Rapid Financing Instrument; Press Release; Staff Report; and Statement by the Executive Director for Montenegro

June 25, 2020

The COVID-19 pandemic will hit Montenegro hard, as tourism is a key industry. Fiscal space has eroded in recent years due to large public capital outlays, and the COVID-19 crisis is creating new budgetary strains as health spending and other expenditures rise, while the economic contraction lowers revenues.

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Research and Papers

Infrastructure in Central, Eastern, and Southeastern Europe : Benchmarking, Macroeconomic Impact, and Policy Issues

September 28, 2020

CESEE countries lag in terms of infrastructure compared to the EU15, and deficient infrastructure is often cited as a constraint to growth and convergence. Investing in infrastructure is therefore an important long-standing policy issue for the region. In the context of the Covid-19 pandemic, infrastructure investment has also gained some ground as economies look to support activity in the recovery phase once the virus has been contained. 
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Improving Fiscal Transparency to Raise Government Efficiency and Reduce Corruption Vulnerabilities in Central, Eastern, and Southeastern Europe 

May 11, 2020

This departmental paper investigates how countries in Central, Eastern, and Southeastern Europe (CESEE) can improve fiscal transparency, thereby raising government efficiency and reducing corruption vulnerabilities.

North Macedonia—Income Convergence and EU integration 

January 27, 2020

Although growth has been solid in the past two decades, it has not been enough to substantially narrow North Macedonia’s income gap with the European Union (EU). Based on the experience of other countries, joining the EU, which North Macedonia is aspiring to, has the potential to strengthen growth prospects. Read more

Lifting Growth in the Western Balkans : The Role of Global Value Chains and Services Exports

November 18, 2019

This paper focuses on how the countries in the Western Balkans could lift exports through stronger integration with global value chains (GVCs) and broadening of services exports. The experience of countries that joined the European Union in or after 2004 shows that participation in GVCs can help small economies accelerate export and income growth. Read more

Demographic Headwinds in Central and Eastern Europe

July 15, 2019

populations of Central and Eastern European (CESEE) countries—with the exception of Turkey—are expected to decrease significantly over the next 30 years, driven by low or negative net birth rates and outward migration. These changes will have significant implications for growth, living standards and fiscal sustainability. Read more

Reassessing the Role of State-Owned Enterprises in Central, Eastern and Southeastern Europe

June 18, 2019 

The Central, Eastern, and South Eastern European (CESEE) region is ripe for a reassessment of the role of the state in economic activity. The rapid income convergence with Western Europe of the early 2000s was not always equally shared across society, and it has now slowed dramatically in many countries of the region. Read more

Public Infrastructure in the Western Balkans : Opportunities and Challenges

April 17, 2018                                    

An assessment of public infrastructure development in the Western Balkans. The paper quantifies the large gaps across various sectors/dimensions, evaluates current infrastructure plans, and discusses funding options available to countries in the region. Read more

Western Balkans: Increasing Women's Role in the Economy

September 1, 2017

The Western Balkan countries have some of the lowest female labor force participation and employment rates across Europe. Almost two-thirds of working age women in the region are either inactive or unemployed: a huge bite into human capital for a region that endures high emigration and faces declining working age population. Read more

Emigration and Its Economic Impact on Eastern Europe

July 2016

This paper examines the effects of emigration on private sector activity, competitiveness, public finances, and ultimately, growth in Central, Eastern, and Southeastern Europe (CESEE) economies as well as the pace of their income convergence to Western Europe. Read more

Cross-Country Report on Minimum Wages : Selected Issues

June 15, 2016

This paper provides a cross-country report on minimum wages. In the past few years, many countries in Central Eastern and Southeastern Europe (CESEE) have increasingly turned to minimum wage policies. Read more


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IMF and the Western Balkans


November 30, 2020

November 30, 2020

September 28, 2020

July 1, 2020

April 17, 2020

April 10, 2020

March 13, 2020

Albania: Staff Concluding Statement of the 2019 Article IV Mission
November 26, 2019

Albania : Technical Assistance Report–Monetary and Financial Statistics and Financial Accounts Mission
October 3, 2019

IMF Executive Board Concludes 2019 Second Post-Program Monitoring for Albania
July 3, 2019

Albania : Second Post-Program Monitoring Discussions-Press Release; and Staff Report
July 3, 2019

IMF to Open New Regional Office for Western Balkans
June 14, 2019

Albania: Staff Concluding Statement of the Second Post-Program Monitoring Mission
May 6, 2019

Albania : Technical Assistance Report-Revenue Administration: Supporting the Delivery of the Reform Agenda
April 2, 2019

IMF Executive Board Concludes 2018 Article IV Consultation with Albania
January 28, 2019

Albania : 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Albania
January 28, 2019

Albania: Staff Concluding Statement of the 2018 Article IV Mission
November 20, 2018



October 8, 2020

Republic of Kosovo : Technical Assistance Report-Financial Sector Stability Review

July 7, 2020

May 12, 2020

April 16, 2020

April 10, 2020

November 19, 2019

June 19, 2019

June 14, 2019

December 18, 2018

December 18, 2018

October 30, 2018

June 6, 2018

February 15, 2018

February 5, 2018

February 4, 2018

February 2, 2018

December 13, 2017

September 27, 2017

June 14, 2017

May 11, 2017

March 17, 2017


North Macedonia

November 20, 2020

May 12, 2020

April 21, 2020

April 10, 2020

January 27, 2020

January 27, 2020

January 27, 2020

November 18, 2019

June 14, 2019

January 29, 2019

Former Yugoslav Republic of Macedonia : 2018 Article IV Consultation; Press Release; Staff Report; and Statement by the Executive Director for Former Yugoslav Republic of Macedonia

January 29, 2019

The Former Yugoslav Republic of Macedonia: Staff Concluding Statement of the 2018 Article IV Mission

November 19, 2018

IMF Publishes Fiscal Transparency Evaluation for Macedonia

October 29, 2018

Former Yugoslav Republic of Macedonia : Fiscal Transparency Evaluation

October 29, 2018

Spotlight on the Former Yugoslav Republic of Macedonia: Five Ways to Reform

November 22, 2017

IMF Executive Board Concludes Article IV Consultation with Former Yugoslav Republic of Macedonia

November 22, 2017


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Regional Economic Outlook


November 2020

The coronavirus disease (COVID-19) pandemic is exacting a severe social and economic toll on Europe. By mid-October 2020, more than 240,000 people have lost their lives in Europe, while nearly 7 million people are estimated to have been infected with the virus. Early spring lockdowns, voluntary social distancing, and associated disruptions in supply chains and lower demand led to a record collapse in economic activity. Real GDP fell by about 40 percent in the second quarter of 2020 (annualized quarter-over-quarter), with deeper contraction in advanced Europe, where the virus spread first, relative to emerging Europe.

The pandemic’s toll on Europe could have been much larger without the unprecedentedly strong and multifaceted response to the crisis. Across Europe, governments deployed large fiscal packages to support households and firms, with job retention programs preserving at least 54 million jobs. Central banks embarked on substantial monetary easing through both conventional and unconventional means, to support the flow of credit and prevent financial market disruptions. Macroprudential measures were also eased to cushion the impact of the crisis on both banks and borrowers. The European Union relaxed existing rules to a

ccommodate increasing fiscal deficits and support to households and firms. In a strong display of solidarity, it is also mobilizing supranational resources to finance new anti-pandemic facilities and complement national fiscal policies.


Download the full report