Governor Mehmeti meets with the working group on amending the Law on Banks, Microfinance Institutions and Non-Bank Financial Institutions

 Governor of the Central Bank of Kosovo Fehmi Mehmeti met with the Working Group of the Committee on Budget and Finances regarding the Supervision of implementation of the Law No. 04 / L-093 on Banks, Microfinance Institutions and Non-Bank Financial Institutions in Kosovo.
Governor Mehmeti said that the CBK has a central register that is accessible to the public on its official website, including licensed financial institutions such as banks, microfinance institutions and all licensed and registered institutions by the CBK.
He stated that the current legal framework meets the needs for operation and supervision of banks and financial institutions. Given that EU legislation is a dynamic process that is constantly being amended and supplemented, the CBK with the purpose of amending/supplementing the Law on Banks, MFIs and NBFIs has established a working group, which is responsible for reviewing EU legislation and supplementing the actual Law pursuant to the EU legislation.
At this meeting, Governor Mehmeti stated that the CBK will continue to perform its duties as stipulated by law, and is committed together with other institutions to contribute in solving the functioning of microfinance institutions and financial institutions in Kosovo.
"The current Law on Banks, MFIs and NBFIs was adopted in 2012 and has been in the spirit of EU legislation at the time of its adoption. Given that EU legislation is a dynamic process that is constantly being amended and supplemented, the CBK with the purpose of amending/supplementing the Law on Banks, MFIs and NBFIs has established a working group, which is responsible for reviewing EU legislation and supplementing the actual Law pursuant to the EU legislation”, said Governor Mehmeti.
The Governor has announced that all MFIs and NBFIs keep records, prepare and submit monthly, quarterly and annual financial reports, according to the CBK requirements.
"MFIs and NBFIs with the exception of MFIs that perform currency exchange activities, carry out annual audit in accordance with International Financial Reporting Standards, and the engagement of auditors by these institutions is done with the prior approval of the CBK. Until now, there is no MFI transformed into MFI NGO or NGO transformed into Joint Stock Company or other forms of business organization. "
In this meeting, Governor Fehmi Mehmeti has announced that the banking sector in Kosovo is continuously increasing and developing, evidenced by the increase of the main indicators in the comparative period 30.4.2018 - 30.4.2017.
“Lending activity increase 10.4%, deposits 4.8% and 5.8% increase in assets, while on the other hand there is a significant decrease of non-performing loans to 2.9% from 4.3% as of April 2017. The banking sector is the main pillar in financing the country's economy through financing of businesses and households. The value of total loans on April 30, 2018 reached 2.55 billion euros. The banking sector in Kosovo continues to be safe, stable, liquid and well-capitalized, with a steady increase.”