Annual conference of the Bank of Albania in cooperation with the Albanian Association of Banks:
“The Role of the Central Bank and the Banking System on the Path to the EU”
On November 13, 2024, the Bank of Albania (BoA), in partnership with the Albanian Association of Banks (AAB), launched its annual conference titled “The Role of the Central Bank and the Banking System on the Path to the EU”. Organized under the auspices of the Governor of the Bank of Albania, Mr. Gent Sejko, and the President of the Albanian Association of Banks, Mr. Bledar Shella, the event gathered senior representatives from central banks, the diplomatic community in Tirana, and major international financial institutions such as the International Monetary Fund, the World Bank, and the European Bank for Reconstruction and Development. Additionally, members of academia, the banking and financial sectors, the media, and experts from the Bank of Albania were in attendance.
The conference explored the role of central banks and the broader banking system as they progress toward EU integration, focusing on the reforms, challenges, and future actions needed to make this process as effective and cost-efficient as possible for all economic agents, the financial system, and the economy.
Structured in three sessions, the conference featured opening remarks from the Governor of the Bank of Albania, Mr. Gent Sejko; the President of the Albanian Association of Banks, Mr. Bledar Shella; the Chairman of the Economy and Finance Committee, Mr. Eduard Shalsi; the Minister of State and Chief Negotiator, Mrs. Majlinda Dhuka; and the Minister of Finance, Mr. Petrit Malaj.
In his address, the Governor emphasized that the overarching theme for 2024 remains “Greenlighting the path forward,” noting the official initiation of EU membership negotiations that began in October.
Mr. Bledar Shella, President of the Albanian Association of Banks, welcomed the attendees, highlighting the historic significance of this moment as Albania has never been closer to joining the advanced economies and free societies aligned with its geographic position. He emphasized that the banking sector has been progressively aligning with EU regulatory standards for years, and the sector enters this phase with substantial groundwork already laid. Now, discussions and debates about changes are entirely framed by whether these align with EU standards. This shift has accelerated the sense of responsibility, motivating the banking sector to approach this transition eagerly, with determination, energy, and confidence.
The first session focused on central banks’ perspectives regarding their adaptation, not only from a legal and regulatory standpoint but also in terms of monetary policy and banking supervision. This includes ensuring price and financial stability, which ultimately contributes to macroeconomic stability in Albania.
The second session focused on the digital transformation and its implications for the financial system, including access to, use of, and distribution of financial products and services. Western Balkan countries hold significant potential for financial digitization, and preparing to harness this potential effectively is essential. Achieving this will require all financial intermediaries, particularly banks, to accelerate their adaptation to digitalization, maximizing efficiency in this critical transition.
The third session, titled the “Panel of Governors”, centered on the institutional strategies and perspectives of regional banks concerning price stability. The governors discussed key challenges they have encountered, including the Covid-19 pandemic, the war in Ukraine, and the ongoing geopolitical uncertainties shaping the global environment. They provided insights on the current state of the region’s convergence process toward the EU and explored potential paths for accelerating this integration.
Concluding the conference, the Governor remarked: “On the path to EU membership, central banks should focus on strengthening capacity building, advancing digitalization, and deepening financial intermediation, which are essential contributions to the economy. Central banks do not need to be on this journey alone; the entire institutional framework should be strengthened to ensure faster convergence”.
Looking ahead, future challenges for the financial system will continue to include cyber risks, digitalization, innovation, and climate change. To effectively address these challenges, it will be crucial for the financial system to invest in enhancing both financial literacy and digital financial culture.
GALLERY
