CBK’s 2024 Annual Report Approved: Financial Stability Confirmed, Strengthening of Financial System Integrity and Long-Term Institutional Sustainability

The Central Bank of the Republic of Kosovo (CBK) has approved the 2024 Annual Report, which comprehensively summarizes the institution’s commitments and achievements in ensuring financial stability, maintaining public trust, strengthening the integrity of the financial system and monetary sovereignty, as well as ensuring the sustainability of CBK as an independent constitutional institution.

The report reflects the country’s macroeconomic developments, highlighting a real economic growth of 4.4% and a slowdown in inflation to 1.6%, indicating improved macroeconomic conditions and prudent fiscal and monetary management. This progress is further supported by the low level of public debt relative to GDP (16.5%).

The report finds that the financial sector has remained stable, operating within sound financial parameters and delivering good performance, which confirms financial stability and the expansion of access to safe financial services. This is evidenced by CBK’s measures to ensure proper capitalization of the banking sector and to strengthen financial supervision, in line with its primary objective—financial stability. Through a prudent approach and proactive measures, CBK has minimized systemic risks and ensured a stable and resilient environment against global challenges. This stance has also been endorsed by international financial institutions, including Kosovo’s first sovereign credit rating received in 2024.

The report also details CBK’s efforts to safeguard the integrity of the financial system, protect the euro as the sole legal tender, and the legality of the operation of institutions in the Republic of Kosovo. CBK has taken decisive action against practices that threaten monetary stability and has enhanced financial inclusion, including the implementation of the basic accounts regulation, resulting in over 390,000 such accounts and expanded access to financial institutions nationwide.

On the legal and regulatory front, the report highlights the successful finalization of several important laws and regulations, thereby strengthening the institutional framework and preparing Kosovo for further integration into the European financial system. The submission of the SEPA pre-application represents a major strategic step toward this objective.

Institutionally, the report highlights progress in internal reforms, including the strengthening of governance, internal audit, risk control, and the development of staff capacities and policies aimed at retaining and supporting professional personnel.

CBK has continued to ensure adequate financial and budgetary sustainability, which also underpins its constitutional independence. This has been achieved by meeting the statutory capital reserve thresholds through stable profits, as well as covering its institutional needs. As a result, from the annual distributable profit of €30.8 million, the CBK has allocated €15.4 million to the state budget, for the second consecutive year (in 2023, it was €10.37 million), in addition to the annual interest of €9.1 million paid on the accounts and deposits of the state budget.

In the area of international and regional cooperation, the report underscores the strengthening of relations with partner central banks, participation in international forums, and capacity building through experience exchange. The organization of the International Conference for the CBK’s 25th Anniversary marked one of the most prominent and professionally executed events, with the highest level of international participation ever recorded, representing a landmark moment in promoting both the Central Bank and the Republic of Kosovo.

The report also shows that CBK successfully fulfilled all obligations arising from its programs with the International Monetary Fund, thereby strengthening institutional credibility and its commitment to economic development goals and protection from external shocks, while also creating additional fiscal space for potential future needs.

In conclusion, CBK expresses its gratitude to its staff for their professional dedication, to its governing bodies for their support and strategic vision, to the institutions of the Republic of Kosovo, domestic and international partners for fruitful cooperation, and to the general public for their trust and support.

The report, approved by the CBK Board, also includes the audited financial statements for 2024 with the clean (unmodified) audit opinion, and will be submitted to the Assembly of the Republic of Kosovo within the legal deadline, in accordance with Articles 28 and 59 of the Law on the Central Bank of the Republic of Kosovo, and is published on the institution’s official website:
https://bqk-kos.org/wp-content/uploads/2025/07/CBK_AR_2024-1.pdf?lang=en.