History and Contribution of the Microfinance Sector in Kosovo

The history

The microfinance sector in Kosovo has a rich and important history that begins after the end of the war in 1999. In order to rebuild the economy and improve the living conditions of the population, microfinance institutions (MFIs) were established to provide financial support to those who were more affected by the consequences of the war and to promote the economic development of the country.

In the first post-war years, the need for small and medium financing was extremely great. In this period, MFIs began to offer loans to small and medium enterprises, farmers and individuals, who did not have access to traditional financial services. These institutions played a key role in creating opportunities for self-employment and the development of new enterprises.
Over the years, the microfinance sector in Kosovo has evolved and strengthened significantly. In the beginning, MFIs operated mainly as non-governmental and non-profit organizations, but over time some of them transformed into stable and regulated financial institutions. Today, the microfinance sector constitutes an important part of the financial system of Kosovo and contributes to the economic growth of the country.


Microfinance institutions in Kosovo have had a great positive impact on the country's society and economy. Among their main contributions are:

  • Economic Development and Job Creation: By providing loans to small and medium enterprises, MFIs have helped to create and expand businesses, which has led to the creation of thousands of new jobs.
  • Financial Inclusion: MFIs have played an important role in the financial inclusion of segments of the population that have traditionally had limited access to banking services, including women, youth and marginalized groups.
  • Improving Living Standards: Through loans and other financial products, MFIs have helped Kosovar families improve living conditions, invest in education and health, and face emergency situations.
  • Rural Development: MFIs have been particularly important in the development of rural areas, providing financing for agricultural and agribusiness activities, which have helped modernize the agricultural sector and improve productivity.
  • Financial Education: In addition to lending services, many MFIs offer financial education programs to their clients, helping them better manage their finances and make more informed financial decisions.
  • AMIK Student Scholarship Foundation: In 2023, AMIK established the Student Scholarship Foundation, an initiative that aims to support the education of young people in Kosovo. Through this foundation, scholarships are distributed to distinguished students and those with financial needs. This initiative will continue in 2024, offering new opportunities for educating young people and improving their professional skills.
  • The Association of Microfinance Institutions of Kosovo (AMIK) plays a key role in supporting and promoting this important sector. AMIK is committed to representing the interests of its members, promoting good practices and raising the capacities of microfinance institutions in the country.
    Through their dedication and commitment, microfinance institutions in Kosovo continue to be an important engine of economic development and improving the well-being of Kosovo's citizens.