The impact of foreign direct investment on the tourism development in Kosovo

Abstract

During their development phase, many countrys have been practicing Foreign Direct Investment (FDI) as one of 
the sustainable socio-economic development possibilities. FDI in Kosovo is considering as an important resource 
for development of the country and so far they mainly concentrated on the process of privatization, banking and 
telecommunications sector, while tourism cannot be identified with any such investment. Although tourism in 
Kosovo is not consider a primary source for country development, it is necessary to identify effects that can 
produce FDI in tourism development, since Fdi's are not always shown effective and successful in sustainable 
development. The rapid development of tourism through favoring FDI can bring increased revenue from the 
"export" of services, creating new jobs, infrastructure development and other positive effects. On the other side, 
the rapid development reflected such environmental degradation, which is unable to protect themselves from 
such developments risks the sustainability triangle also in socio-economic aspects.