The CBK Governor: All individuals can receive funds in euros

The Governor of the Central Bank of Kosovo, Ahmet Ismaili, met with the Ambassador of the United States to Kosovo, Jeffrey Hovenier, and on that occasion explained the main aspects of the new Regulation on Cash Transactions, emphasizing that all individuals had access to bank accounts and could receive funds in euros through various legal channels, as stated in the CBK's announcement.

The Governor of the CBK announced that there were four bank branches, three microfinance institutions (creditors), and over 15 non-banking financial institutions for payment and exchange operating in the four northern municipalities. The number of branches and offices of financial institutions operating in that area was increasing, as financial inclusion was the goal of the CBK.

"It has been clarified that the Regulation in question neither prohibits nor restricts the acceptance of funds into euro-denominated bank accounts in licensed banks nor does it limit the currency exchange activities carried out by banking or non-banking financial institutions licensed by the CBK. Therefore, all individuals have access to bank accounts and can receive funds in euros through various legal channels. So, all citizens who already have a euro-denominated bank account in any licensed bank in Kosovo can use it to receive funds from any country," the announcement states.

While those who do not yet have an account, can open one in any bank according to the CBK's Regulation on Access to Payment Accounts for Basic Services, which, starting from January 1, 2024, has no fees for opening or maintaining accounts for vulnerable groups and social schemes.

Enhancing the regulatory framework to combat counterfeit money, ensuring a regulated and transparent cash supply to the economy contributing to the preservation and enhancement of the integrity of the financial system and the euro currency itself were among the main topics of this informative meeting.

Ismaili also mentioned other legal changes approved by the CBK, which, together with this regulation, aim to align with best practices related to preserving the integrity of the euro currency and the financial system in general. In line with these changes, the impacts and limitations of this regulation were emphasized, as well as existing legal possibilities for access to secure financial services.

The meeting also discussed existing opportunities, alternatives, and access to financing through various licensed financial channels operating in Kosovo.

"Ismaili emphasized that the foundations of the CBK, as an independent constitutional institution that must be respected by all, lay in cooperation and recognition of partnership and support from partner countries, led by the United States, along with other friendly countries and international financial institutions. The CBK remains determined to enhance the legal and supervisory framework in implementing its constitutional mandate and remains committed to continuing informational activities and raising public awareness," the statement concludes.