The Deputy Prime Minister of Kosovo, Besnik Bislimi, has confirmed on Wednesday that the regulation of the Central Bank of Kosovo (CBK) which stipulates that only the euro currency will be used for cash payments, will come into effect on Thursday, February 1, as planned.
Bislimi, however, said a smooth transition would be ensured.
“Implementation of the regulation does not mean a ban on transfers from Serbia and does not mean possible financial penalties for holding the currency of another country”.
Bislimi also said that there will be a campaign to inform the citizens and that he hopes for talks between the central banks of Kosovo and Serbia to find a mechanism for transparent transfers of funds.
According to him, the Government of Kosovo is determined that “the implementation of legality in each part of the territory of Kosovo is unconditional and uncompromising”.
“At the same time, the Government of the Republic of Kosovo is committed to ensuring that the citizens adapt as quickly, as easily and without harm during the eventual transitional periods.”
Serbia, which does not recognize Kosovo’s independence, continues to use the dinar to pay pensions, social benefits and salaries for the parallel institutions it has in Kosovo.
Bislim insisted that the CBK regulation has nothing to do with the Serbian dinar in particular.
“There is no doubt that the final goal of the regulation is the protection of consumers and payments in the Republic of Kosovo. The aim of the regulation was not and is not to determine the official currency in circulation since this was determined much earlier, the same was not the focus of the regulation to stop the circulation of any specific currency”, he emphasized.
He said that the Ministry of Trade and Industry has ensured that the Business Registration Agency starts operating in four municipalities in the north, so that businesses can be registered and taxed.
Bislimi also announced that commercial banks in Kosovo have been instructed to open new branches in the municipalities in the north and that the CBK obliged them to offer basic checking accounts at no cost to their owners.
In Kosovo, in all Serbian-majority settlements, the population uses the Serbian dinar to make payments, and those who work in Serbian institutions in Kosovo also receive their salaries in dinars.
Pensions are also paid with dinars, according to the Serbian system, as well as child allowances and social benefits. In commercial establishments, in areas where Serbs live in Kosovo, in addition to the euro, the dinar is also used.
