Legalization of unpermitted construction in Kosovo benefits citizens, as it ensures full access and benefits of property rights and allows citizens and businesses to use legalized buildings as collateral to finance other investment activities.  In response to these demands from citizens and municipalities, USAID supported the Kosovo Ministry of Economy and Environment to streamline the building legalization procedure, reduce costs, and engage in active public outreach on the legalization of buildings that were built without the proper permits.  USAID also supported an electronic tracking tool that allows municipalities to track implementation of the legalization at each stage of the process.

To ensure that citizens were aware of this legal opportunity, USAID’s Economic Governance Activity worked with the partner municipalities, Pristina and Gracanica, to design and launch a public awareness campaign that improved citizens’ understanding of the legalization process and increased demand for the service.  As of the end of November, the partner municipalities have legalized and registered buildings with a value of €40-50 million in the cadaster, according to the Ministry of Finance’s property valuation data.  This is a dramatic increase from May 2020, when the two partner municipalities issued building owners the first legalization decisions. 

The legalized buildings can then be used as collateral, allowing citizens and businesses to access much-needed financing and fueling economic growth in Kosovo.  USAID’s Economic Governance Activity supports Kosovo in implementing significant reforms that improve the efficiency of government operations, strengthen public financial management, and ensure the placement of self-reliant and inclusive governance capacities and systems for future reforms that address citizens’ needs.