What challenges does Kosovo face and can the new government handle them?

Tuesday, 6 January 2026 —

On 28 December, Kosovo held snap parliamentary elections, giving the partially recognised Balkan country a real chance to emerge from a deep political crisis and begin building effective state institutions.

Read more about how political developments in Kosovo may unfold in the article by Western Balkans expert Volodymyr Tsybulnyk: A chance for Kosovo: can snap elections bring peace to the region? 

The winner of the snap parliamentary elections, as last year, was the Vetëvendosje (Self-Determination) party of Kosovo’s Prime Minister Albin Kurti. However, this time the party gained 8 more seats than in the previous elections held in February 2025.

The party now holds 56 of 120 seats in parliament and will need to engage coalition partners.

Clearly, Kurti is expected to begin talks with non-Serb parties, primarily Albanian minority parties, as well as the Alliance for the Future of Kosovo (which won 6 seats), whose leaders have not ruled out a coalition with Vetëvendosje.

This will allow the formation of a coalition in which allies hold several leadership positions in state institutions though not key ones.

Meanwhile, parliament will be effectively under control, enabling Kurti to unblock the urgently needed €6 billion in funding from the EU’s Western Balkans Growth Plan to resume reforms.

Before the early elections, the main international players in the region were highly invested in Kosovo, each pursuing its own interests sometimes overlapping, sometimes competing and occasionally directly opposed.

The new Kosovo government will face both old and new challenges.

The first challenge is this year’s presidential election. The president is elected by parliament, making it crucial for Kurti to secure a stable majority.

By putting forward his own candidate for president, Kurti could bring the entire top leadership under his control, including the speaker (a position he is unlikely to give to any potential ally), the president and the prime minister.

This could pave the way for rapid parliamentary approval of the reforms needed. However, such concentration of power in the ruling party is not necessarily a positive sign for democratic development.

The second challenge is that the new government must achieve the full removal of all sanctions imposed on Kosovo in 2023.

On the agenda is participation in the EU’s efforts to combat illegal migration. In this context, Kosovo is considering building return centers for asylum seekers from certain countries whose applications have been rejected.

In return, Pristina expects assistance in strengthening its security against potential Russian and Serbian threats, including military ones.

Finally, the third and most difficult challenge is the normalisation of relations with Serbia, which all Western partners insist upon.

A key step will be the creation of the Association of Serbian Municipalities widely regarded as essential for progress.

However, it is unclear whether Kurti will be able to overcome his strong opposition to such an entity.

For a compromise to succeed, Belgrade must also make concessions, such as allowing Kosovo to join international organisations and halting efforts to retract recognition of Kosovo’s independence.

Although Ukraine does not officially recognise Kosovo, it also has an interest in the swift resolution of Kosovo’s political crisis.

Kosovo supports Ukraine’s fight against Russian aggression, despite its limited resources.

In return, Kyiv could finally consider opening either a Ukrainian embassy office in Pristina, a trade representation or even start providing consular services on a visiting basis.

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