PRESS RELEASE
Governor Sejko meets the World Bank representatives

On 4 April 2022 the Governor of the Bank of Albania, Gent Sejko received in an official visit at the Bank of Albania the representatives of the World Bank, Ms. Linda Van Gelder, World Bank's Regional Director for Western Balkans, based in Vienna and Mr. Emanuel Salinas, Permanent Representative of the World Bank office in Albania.

This meeting focused on the situation created by the conflict between Ukraine and Russia and the impact it is expected to have on the Albanian economy. Sanctions imposed on Russia and increased volatility and uncertainty in international markets have generated a new and challenging global economic reality-said Governor Sejko.

The Governor also said that after the in-depth analyses conducted by the Bank of Albania, this new economic reality dictated the revision of previous economic projections and the reassessment of the appropriateness of the monetary policy stance.

In this context, the Bank of Albania considered it necessary to change the direction of monetary policy with the new economic conditions, which aims to create the necessary monetary conditions to meet the inflation target, to maintain financial stability, as well as for the sustainable and long-term growth of economy and employment in Albania.

Moreover the discussions focused on the inflation performance, exchange rate, developments in the banking and financial sector, as well as the proper orientation of economic policies.

Concerning the price performance, the Governor stressed that it will be determined by the intensity and duration of this conflict, by the impact it will have on prices and international trade, as well as by the sustainability of economic growth in the country.

Regarding the banking sector, the Governor said that the activity is developing in normal conditions and the indicators of this sector are stable.

The WB representatives positively assessed the immediate and timely response of the BoA monetary policy, which helped the stability of the domestic currency, and will have its positive effects in the future.

Furthermore, they commended the important role that Bank of Albania has played in maintaining the macroeconomic stability in the country, and also expressed their readiness to continue providing technical assistance to the Bank of Albania.

They added that, even before this conflict , the Bank of Albania has contributed to the reduction of non-performing loans, to the improvement of the lending environment of the supervisory and regulatory framework, and its alignment to the best international standards.

Representatives of the WB and Governor Sejko expressed commitment to pursue joint projects in the field of payments, financial supervision, emergency intervention, education and financial inclusion, etc. Meanwhile, the Governor thanked the representatives for the support and assistance provided continuously to the Bank of Albania and other institutions in the country.