Governor Ismaili: CBK committed for a resilient and competitive insurance sector

The Governor of the Central Bank of the Republic of Kosovo (CBK), Mr. Ahmet Ismaili, in his speech at an insurance conference with broad participation from domestic and international institutions, diplomatic representatives, the financial sector, and the insurance industry, emphasized the CBK’s commitment to the further development of the insurance sector in Kosovo.

He noted that the sector has marked significant progress over the years, with annual growth rate of 10% in assets, 14.7% in premiums, and 7.8% in claims paid, while the combined ratio of 91.6% demonstrates improved performance, with parameters within legal and regulatory limits.

Governor Ismaili also presented advances in the regulatory and supervisory framework, highlighting the transition from a compliance-based supervision model toward a risk-based approach, in line with the best international standards and with the support of the International Monetary Fund (IMF).

As part of the ongoing reforms, Governor Ismaili informed that the CBK is in the process of implementing the international standard IFRS 17 and preparing for the gradual implementation of Solvency II within a medium-term plan. He also mentioned that the CBK is working on advancing regulations for the provision of insurance and intermediation services, transparency, financial education, and consumer protection, with the aim of strengthening the resiliency and transparency in the sector.

He further highlighted the importance of digitalizing services and developing voluntary insurance products as part of the approach to expand financial intermediation and ensure easier access to finance, as an area that requires significant progress.

A continuous challenge that Governor Ismaili underlined as particularly important is Kosovo’s membership in the Green Card system. He described this as a national interest that would facilitate cross-border vehicle movement, reduce costs for citizens and businesses, and accelerate integration into the European area. Therefore, the CBK remains committed to raising awareness of this issue and continuously supporting the relevant institutions in this process.

In his closing remarks, Governor Ismaili reiterated the CBK’s commitment to carrying out reforms and strategic priorities, supporting initiatives that advance the sector, with the aim of creating a more developed, resilient, and competitive insurance sector, with positive effects on the economy.