PRESS RELEASE
Decisions of the Supervisory Council at the meeting of 25 November 2015

In its meeting of 25 November 2015, the Supervisory Council of the Bank of Albania reviewed and decided to:

• Approve the Regulation "On the inventory of the monetary and material values at the Bank of Albania"

The Regulation introduces an improved set of rules for the organisation and manner of carrying out the physically inventory of monetary values and material assets at the Bank of Albania, reflecting the most secure elements for enhancing the quality of inventories and minimising risks.
The new Regulation stipulates:

• Expansion of competences for initiating physical inventories, giving the right also to the Inspector General.
• Conducting full-scope or partial inventories, having no limited number.
• Review of objects that may be subject to inventory, adding new elements.
• Increasing the frequency of inventories for material assets from three years to one year.
• Possibility for Audit Department employees and/or external experts to participate in the inventory process.
• Improving the selection of candidates for inventory committee members, by setting a minimum limit for members having higher education degree and those who are economists.
• Enriching with qualitative and quantitative elements of the inventory of the cash, in order for the process to be comprehensive and accurate. For this purpose, a guiding methodology has been drafted for selecting the quantity that will be checked, as well as the verification of packaging elements and the transferral of packets during the inventory.

• Approve the Regulation "On the structure, codification, and depreciation on fixed assets at the Bank of Albania"

The new Regulation is in compliance with the recommendations of the Internal Audit Department and the Supreme State Audit Institution. The purpose is to compile and update the list of types of assets at the Bank of Albania. It approximates the assets' depreciation rates to those applicable in Albania, taking into account the particularities of the Bank of Albania.

The Regulation sets out depreciation rates based on International Accounting Standards as regards  the separate identification of important parts in each item of fixed assets, which affects calculation. Also, unique and original items since the original construction of the Bank of Albania and considered as antique items bearing historic values are exempted from the calculation of depreciation.

The changes lead to lower depreciation rates for fixed assets at the bank of Albania, which are accompanied with financial effects, by reducing the institution's expenditure for such items.

Lastly, the Supervisory Council reviewed additional information related to the daily operational and functional activity of the Bank of Albania.

* Until now, the inventory of material and monetary values at the Bank of Albania has been carried out in accordance with the relevant Regulation approved by the Supervisory Council of the Bank of Albania in 2006.