Istog, with around 40,000 inhabitants, is strategically set in north-western Kosovo and has long been known for its flourishing agriculture sector. This rapidly developing municipality, which covers around 50 villages including the town of Istog, offers significant investment attractions which include extensive natural resources, skilled and dedicated human capital, and a very business-friendly municipal government.
Istog was established in 1913, and functioned as a district centre from 1912 until 1947. The district system was dissolved in 1960, but in 1978 Istog was officially designated a town. Today, Istog is one of Kosovo’s fastest-growing municipalities. It has a youthful population, with only 6% older than age 65.
Successful projects with USAID
Istog welcomes foreign investors. In November 2011, Istog celebrated two successful projects completed with the support of the USAID: a pedestrian walkway in Istog city and a new public-lighting system in the village of Vrella. Istog’s mayor, Haki Rugova, commented at the inauguration ceremony, “These projects supported by the USAID are particularly important for the citizens of Istog municipality since they will significantly improve our citizens’ quality of life.”
USAID Special Advisor Craig Buck explains that Istog is one of 21 ‘Democratic Effective Municipalities Initiative’ partner-municipalities chosen by the USAID in Kosovo, and that Istog received the coveted USAID Municipal Service Performance Management awards in two categories last year: administrative services and urban planning. He noted at the inauguration ceremony marking the new walkway and lighting system, “Istog has worked with the USAID for many years. We at the USAID are pleased to have such a strong partnership and the results of that partnership speak for themselves with these two new projects. I hope that when the citizens of Istog stroll along this sidewalk and enjoy the new lighting, they will appreciate the benefits of continuing cooperation between government and citizens for the benefit of the Istog community.”
Agriculture, trade-dominated local economy
Istog’s main economic sector is agriculture, which employs around 65% of the local population. Cereals, fruits and vegetables are the top crops, while Istog also has thriving stock-breeding activities as well as fisheries and a well-developed forestry sector. Stock-breeding in particular is seen as having particularly strong growth prospects in Istog thanks to abundant high-quality pastures and growing demand for meat in regional markets. Istog also welcomes investments in food-processing operations which will make use of local crops. Istog’s mountain areas are ideal for cultivating herbs, another growth segment in the agriculture sector.
The municipality has a dynamic trade sector, particularly concerning internal trade. In fact, trading is the dominant activity in Istog’s private sector; of the 2,036 registered businesses in the municipality, just over 700 are involved in trade.
Tourism sector with growth prospects
Istog also has significant tourism appeal. The picturesque Bjeshkët e Nemuna Mountains and Mokna forest are located in Istog municipality and are rich in flora and fauna, while one of Kosovo’s best-known natural spas, Banja, is also near Istog city. The municipality’s beautiful, unspoiled natural areas are ideal sites for sports facilities, eco-tourism services, spas, hotels and resorts.
In addition to its natural attractions, Istog has a rich cultural heritage. Formerly known as the Podgur region, the area that is now Istog has been continuously inhabited since prehistoric times. Many monuments from the past can be found throughout the municipality, from mosques and Catholic and Orthodox churches to ancient towers, water mills and caves.
One of three municipalities participating in Green Agenda
To protect its heritage while also pursuing economic growth, Istog has become one of the three municipalities in Kosovo which are participating in the Green Agenda programme, which aims to promote sustainable development and the preservation of local natural resources and culture. Green Agenda cites a number of natural and cultural attractions in Istog which can be sustainably developed for tourism, including Istogu springs, Banja hot springs, and other natural springs; architectural landmarks; caves; and unspoiled mountain areas.
Istog has a well-developed educational system including pre-primary, primary and secondary educational institutions, which welcomed a total of around 9,700 school children in 2011. Istog also has its own healthcare system which includes five family healthcare centres and ten mobile healthcare units. Banja village has a Rehabilitation and Recreation Centre which is very popular among patients suffering from rheumatic diseases.
Dynamic, modern Istog welcomes the chance to develop productive international partnerships and will continue to provide a business-friendly environment for investors.
