By Arben Godanca & Andrea Vujosevic

Eight months after independence, on the surface, Kosovo looks like a real state. It has a constitution, anthem and passports, but its people are unimpressed with unfulfilled promises of a better life.

Apparently it was widely spread belief amongst Kosovo's inhabitants that the resolution of Kosovo's final status will subsequently solve all its problems by default.

Yet eight months after the unilateral declaration of Kosovo's independence there are still issues that matter to ordinary people. Everyday living problems and concerns of the population are now more exposed. The unemployment rate is at around 40 per cent, and is even higher for youth. Around half of the population lives in poverty, of which two-thirds live in rural areas.

Socio-economic factors were the most pressing issues for post-independent Kosovo, according to 70 per cent of respondents to a United Nations Development Programme survey. Unemployment and poverty were perceived as the most important issues, ranking 29 per cent and 27 percent respectively.

An increased willingness of the Serb minority population to work with the Albanian majority was shown in the survey. Some 35 per cent of respondents are prepared to interact now, compared with 24 per cent in May 2008.

Since April 2005, World Vision Kosovo and 'KosInvest' began integrating micro-lending with peace building activities under a program 'Peace through Loans'. The program's aim was to create opportunities for holistic economic and social development and inclusion between different ethnic communities.

As of end September 2008, KosInvest was serving 2,325 clients, with a portfolio of US$ 3.7 million.

'Eight months after independence, KosInvest is continually working on increasing engagement of all communities. We see our work as the way out of the current situation. Through economic integration all parties, Albanians and Serbs as well as others, will have an interest to co-operate and trust can be created on all sides,' said Rusudan Kharabadze, KosInvest Executive Director.

Although the economic environment in Kosovo is not so favourable for most entrepreneurs from rural areas there is an apparent thirst for financial services in the market.

On a recent visit to Kosovo, Charles Dokmo, World Vision Middle East & Eastern Europe (MEER) Vice President highlighted funding and program support as key priorities for the national office, which has a key role to play in peace building.