Reform of Kosovo Competition Law: Closer to EU Competition Law

Abstract

After the 1999 war, Kosovo’s economic model transformed from being a state-controlled economy, as it was under former Yugoslavia, towards a market economy.1 As the market economy emerged, a competition law and a responsible institution to enforce competition law were needed. In this context, in 2004, the first Law on Competition was adopted and entered into force on 11 July 2007.2 As stated in Article 1, the purpose was to ensure development of economy by prohibiting all undertakings, engaged in economic activity within or having economic impact within the territory of Kosovo, that restrict or distort competition. Albeit the Law on Competition aimed to ensure the development of a sound market economy, it faced several setbacks to its implementation due to (i) lack of administrative capacity,3 (ii) a delay in establishing the competition authority,4 (iii) politicization regarding the method of appointing the members of the competition authority,5 and (iv) a failure in the implementation of its provisions.6