Governor Sejko meets with the EBRD’s Vice President, Mr Mark Bowman

On 20 September 2022, the Governor of the Bank of Albania, Mr Gent Sejko, met at the premises of the Bank of Albania with the Vice President of the European Bank for Reconstruction and Development (EBRD), Mr Mark Bowman, who was accompanied by Ms Charlotte Ruhe, the Director of the ERBD for Central and South Eastern Europe and Ms Ekaterina Solovova, Representative Resident of the ERBD in Albania.

The EBRD’s Vice President, Mr Bowman, is having an official visit in Albania on 19-21 September 2022, in the framework of the support that the EBRD provides to Albania, particularly regarding the compliance of the regulatory framework with the European Union standards, the development of renewable energy sector, as well as the development of tourism and agricultural sectors.

At the beginning of the meeting, Governor Sejko presented the Vice President, Mr Bowman, and the other ERBD representatives with the main economic and financial developments in Albania. Forecasts of the Bank of Albania predict that the Albanian economy will grow in the medium-term horizon, despite the challenging external environment and its effects, said the Governor. As regards the banking sector, Mr Sejko highlighted that this sector is assessed as resilient, while liquidity is good and the banking activity is profitable and well-capitalised.

Next, the Governor highlighted the challenges to the Albanian economy given the upsurge in international prices, inflation performance in Albania and the measures undertaken by the Bank of Albania to keep inflation under control. The Bank of Albania has reacted through the monetary policy instrument to safeguard price stability in Albania – that is the main objective of the Bank of Albania – and to minimise the consequences that the prices shock may have on: the cost of living; the exchange rate; and the soundness of the banking sector in the short run and over the medium term.

During the meeting, special focus was put on the policies undertaken by the Bank of Albania in the field of de-euroization, the reduction of non-performing loans, and the digitalisation of payment systems, aiming to enhance the efficiency of the monetary policy and the payments systems for citizens and enterprises.

The Governor added that the Bank of Albania has appraised and encouraged the adoption of information technology and the digitalisation of the financial system. In this regard, a lot of work has been done for: encouraging the higher use of technology in the payment system; improving and enhancing the regulatory framework on electronic payment institutions; as well as for consumer and borrower’s protection. In addition, special attention has been paid on the improvement, development and safety of sustainable information system.

The Vice President of the ERBD, Mr Mark Bowman, commended the cooperation with the Bank of Albania, particularly with the banking system in the country, by bringing to life quite successful projects, with an added value for Albania. Mr Bowman emphasised that the EBRD will continue to remain an important partner while providing support in key fields of the economy of Albania. The EBRD is expected to invest around EUR 200 million, during 2022, particularly financing projects of private sector.