PRESS RELEASE
Governor Sejko attended the 21st Euromoney Central and Eastern European Forum

On 19-21 January 2016, Euromoney hosted in Vienna, Austria, the 21st Central and Eastern European Forum. This annual forum brings together the region's leading personalities in the area of politics, economy and finance.

The format of the Forum consisted in a number panels in which participants discussed on the latest economic and financial development. The panel of central bank governors from the Central and Eastern European countries on 'Monetary Policy Debate" was of particular importance.

The Governor of the Bank of Albania, Mr Gent Sejko, attended this panel and discussed on the effects of Fed's and ECB's monetary policy on these economies.   Governor Sejko emphasised that the expansionary monetary policy implemented by the European Central Bank has contributed to the growth of demand for exports from these countries and lower interest rates on euro loans, which, in turn, generates more opportunities in the economies of these countries. 

With regard to the effects of this monetary policy on the Albanian economy, Governor Sejko said that, as a considerable part of the credit portfolio is in euro, the lowering of interest rates on euro loans means less stress on the Albanian economy and financial system. 

In relation to the tight monetary policy implemented by the Fed, the Governor stated that, except for the oil price, these policies are not expected to have direct and immediate effects on the Albanian economy.

Concluding, the Governor pointed out that, regarding the monetary policy and the economy, the main challenge to the Bank of Albania is to establish favourable conditions to boost lending in Albania. 

In this year's Euromoney CEE Forum, the round table on Albania had a special place. As a guest speaker in this round table, Governor Sejko provided an overview of the latest economic and financial developments in Albania.  He emphasised the importance of foreign direct investments for the country's economic development.  Regarding the developments in the Albanian banking system, the Governor stated that the financial indicators show that the banking system is sound, resilient to shocks and capable to contribute to Albania's economic development. The Governor also presented to the round table the inter-institutional plan of the Bank of Albania and the Government of Albania to reduce the level of non-performing loans. These measures are expected to help further reduce the level of non-performing loans and to boost lending.

In addition, during the Forum days in Vienna, Governor Sejko met with high-level representatives from the European Bank for Reconstruction and Development, with Mr Phil Bennet - First Vice President, and Mr Nick Tesseymen - the Managing Director for Financial Institutions. Governor Sejko said that the EBRD has given significant contribution and support to the economic development of Albania, through financial investments in crucial areas of the economy and valuable technical assistance to the Bank of Albania.  At the conclusion of the meeting, Governor Sejko underscored the importance of developing capital markets in Albania. For this purpose, assistance from international partners is needed.  The development of these markets would considerably help financing businesses that operate in Central and Eastern Europe countries. 

Governor Sejko met also with Mr Peter Tils - Chief Executive Officer of Central & Eastern Europe Region, Deutsche Bank and Dr. Dagmar Linder - Managing Director in Regional Management for Central and Eastern Europe, Deutsche Bank.