The United States ambassador in Pristina, Jeffrey Hovenier, reiterated on Monday the request to the Government of Kosovo to postpone the decision on the implementation of the regulation of the Central Bank of Kosovo (CBK).
He made these statements after a meeting held on Monday with the Prime Minister of Kosovo, Albin Kurti, and other foreign diplomats.
The CBK regulation – which came into force on February 1 – stipulates that the sole currency for payment transactions in Kosovo will be the euro.
Thus, the use of the dinar by Serbs in Kosovo is prevented.
“We certainly support efforts to prevent financial crimes, money laundering, terrorism financing, and the like, but we have deep concerns about the way this regulation is being implemented, as we believe it does not take into account some community concerns,” stated Hovenier.
When asked if the U.S. Government could take action against Kosovo if it does not respond to this request, Hovenier said, “We hope the Government will be a partner with us”, adding that if the opposite happens, it “will have an impact on the quality of our partnership”.
Hovenier said that although the United States welcomes Kosovo’s decision to respect the country’s Constitution, the U.S. believes that there should be an educational period for the new regulation.
When asked about the Government’s reaction to his request and the international factor, Hovenier said he “will let them speak” in this direction.
The United States, the European Union, and other mechanisms criticized the Government of Kosovo a few days ago for not implementing the regulation.
Kosovo’s Deputy Prime Minister, Besnik Bislimi, has pledged to ensure a smooth transition.
Hovenier hopes that during this transitional period, the concerns of the international community will be taken into account.
Regarding the dinar
In Serb-majority municipalities in Kosovo, the Serbian dinar has been circulating since the post-war period.
The Serbian state pays salaries, pensions, social assistance, and other benefits to Serbs in Kosovo – through a parallel system.
The Law on Local Government Finance in Kosovo allows for the sending of financial aid from Serbia.
This year, Serbia has allocated 139 million euros for Serbs in Kosovo – about 11 million more than in 2023.
The Serb List – the largest party of Serbs in Kosovo – strongly criticized the decision of the CBK, considering the authorities’ decision as an attempt to expel Serbs from Kosovo.
Serbian President Aleksandar Vučić has pledged that Serbia will find institutions that will obtain licenses to enable money transfers for Serbs in Kosovo.
The head of the CBK, Ahmet Ismaili, mentioned financial integrity as the main reason for implementing the regulation a few days ago.
According to him, the decision protects Kosovo “from counterfeit money, terrorism financing, and the use of non-original currencies”.
Others mention tax evasion in the absence of control over the dinar.
