2023
“Transforming Our World: the 2030 Agenda for Sustainable Development”, was the training workshop with the United Nations Albania on sustainable development to address and discuss ways to accelerate progress on SDGs. The activity was organized on February 9, 2023, generating great interest among bank representatives.
This is one of the initiatives undertaken by the Albanian Association of Banks in the frameworks of the Sustainable Development Goals and the adaption of the banking activity towards sustainable development. The yearly report of AAB on SDGs is one of the AAB publications, which reflects the banking sector’s contribution and the goals banks aim for.
On February 28, 2023, a roundtable was organized by the World Bank, in cooperation with the Albanian Association of Banks (AAB), with the participation of the Governor of the Bank of Albania, Mr. Gent Sejko, Deputy Minister of Finance and Economy, Ms. Adela Xhemali, Deputy Minister of Agriculture and Rural Development, Mr. Enio Civici and directors of commercial banks. The purpose of the meeting was to discuss the issues affecting access to finance in Albania and what can be done to enhance financing to MSMEs.
In his speech, the Permanent Representative of the World Bank Office in Albania, Mr. Emanuel Salinas, said that the purpose of this table is to discuss the problems of access to finance for micro, small, and medium enterprises (MSMEs) and farmers. Access to finance is a problem not only for Albania but also for the whole world.
Governor Sejko stated, among others, that the banking sector in the country is well-capitalized and liquid, as well as its support for the private sector has been growing. However, he added that the financial sector can play a more important role in sustainable long-term economic growth in the country.
At the meeting, triggered by the presentations by representatives of the World Bank, there was a discussion on guarantee schemes for increasing credit, financial infrastructure, regulatory and legal aspects, diversification of products, and the need for financing agriculture.
Bank representatives raised concerns related to the cooperation of state institutions in the development of guarantees, for new developments in the market in addition to lending with collateral, for reducing informality, clarifying ownership, finding schemes that ease the impact of credit risk on regulatory capital, etc.
At the end of the meeting, it was agreed to establish a working group that will follow and further develop in detail the proposals made at the meeting.
On March 7, 2023, AAB and CRIF, a company specializing in providing innovative digital solutions for banks, financial institutions, utility companies, and businesses, at every stage of the relationship with customers, organized a workshop on Open Banking. Through practical examples applied by the CRIF company, the activity aimed to present to the attendees a complete picture of the Open Banking implementation process. Participants in this workshop were representatives of the Bank of Albania and commercial banks.
The representatives of the CRIF company, during their presentation, referred to the current situation in the market and the approach that CRIF applies. They demonstrated how the whole process works, followed by an interactive discussion with the participants.
This event was organized considering the interest of banks in this new service as well as the extensive experience of the CRIF company in the Open Banking market, one of the most innovative concepts introduced by PSD2, also reflected in the new law on payment services, which is expected to start its application in Albania in January 2024.
AAB collaborated with CRIFF company and Golden Dimension (GD), a member of the Berlin Group Standard, and part of the Berlin Group Advisory board as well, and organized an online workshop on April 7, 2023. The topic of the workshop was PSD2-API: Road to Compliance.
As a follow-up to the Open Banking workshop organized on March 7th, and due to the high interest in the first workshop, the PSD2-API: Road to Compliance workshop was meant for the support required by banks for the activation of PSD2 – API. The workshop gathered more than 45 participants from member banks.
The presentations given by the Golden Dimension and CRIFF representatives focused on the introduction of the GD’s next solutions that could help banks and discussed the open banking framework, solution building blocks, implementation roadmap, and GD vision for the Albanian market. Discovering Open Banking architecture and testing Open Banking APIs was a highlight of the workshop.
On April 25, 2023, the AAB facilitated a presentation by the Asseco Group, showcasing solutions for Open Banking implementation in alignment with the revised Payment Service Directive (PSD2). Speakers brought to participants the solutions the company offers and applies to banks to achieve the implementation of Open Banking in accordance with all requirements of the revised Payment Service Directive (PSD2).
Asseco Group operates in the field of information technology and with activity in about 60 countries worldwide.
The AAB organized a workshop on local currency financing and currency hedging in Tirana on May 22, 2023, in collaboration with TCX. Long-term financing in local currency creates business opportunities, in all sectors, and contributes to the development of capital markets. However, it also requires effective currency exposure management. In this context, AAB facilitated the organization of a workshop by TCX, on local currency financing and protection against exchange rate movements.
During the workshop, participants discussed how TCX supports international lenders in providing long-term funds denominated in local currency for the benefit of local financial institutions and how to avoid direct or indirect currency mismatches.
The activity was attended by bank representatives.
About TCX:
Foreign Exchange Fund N.V. (“TCX”) is a development finance initiative supported by development finance institutions. It influences lending institutions and provides solutions for currency protection in developing and border countries. The products aim to facilitate local currency financing and help local financial institutions manage their accounts against exchange rate risk
On May 23, 2023, the AAB hosted an Audit Committee Workshop as part of Internal Audit Awareness Month. The workshop featured presentations by industry experts, including discussions on key risks in the Albanian banking sector, new international standards of internal auditing, and the application of the three control lines model mandated by the Bank of Albania.
Key highlights of the Audit Committee workshop:
- Identification of the 3 main risks of the Albanian banking sector and the internal audit approach in this direction, presented by Ediola Bicaku, Intesa Sanpaolo Bank Albania.
- New International Standards of Internal Auditing, presented by Dorida Stambolla, Raiffeisen Bank.
- The three control lines model applies, referring to the standards and regulation 67 of the Bank of Albania, a discussion brought by Veridian Hoxha, Banka Tregtare Kombëtare.
On June 26, 2023, the AAB, in partnership with BACEE, hosted a webinar titled “Introduction to ESG”, delivered by Interfima. The session provided an overview of the ESG framework, and EU regulatory tools, and discussed the implications of ESG compliance for banks”. The online workshop was organized by AAB in collaboration with BACEE (Banking Association for Central and Eastern Europe) today 26 June 2023. It was attended virtually by over 30 representatives from banks.
Environmental, Social, and Governance (ESG) has gained increasing attention over the past few years. The workshop provided an overview of an ESG framework and the regulatory tools of EU implementation. It provided insight into the high-level implications of ESG compliance for banks and also discussed the practical risks of poor ESG implementation.
The Albanian Association of Bank (AAB) and International Finance Corporation (IFC), member of the World Bank Group (WBG), jointly organized the seminar entitled “Preparing for the Storm: A Discussion Around Workout Process.” The activity is organized within the mandate of the Debt Resolution and Business Exit Project Phase II, supported by the Swiss Embassy – State Secretariat for Economic Affairs (SECO), and was held on November 1st, 2023.
The discussion focused on the challenges that banks face in the workout process through an open conversation with participants such as credit risk, collection, and legal recovery officers about efficient department structure and workout methodologies. Topics included the role of the in-house legal, coordination with new business and portfolio departments, warning signs that would trigger specialized involvement, and basic principles of a workout strategy.
On December 15, 2023, AAB organized a compelling HR Committee workshop featuring the expert Mrs. Larissa Winter from AIEx. The session focused on coaching skills, new year resolutions, and personal growth, fostering an interactive and inspiring atmosphere. Participants explored goal-setting, resilience, and skill development, aligning personal aspirations with organizational objectives.
Emphasizing a positive and growth-oriented environment, the session facilitated discussions among HR committee members, sparking innovative ideas to boost employee engagement, enhance workplace diversity and inclusion, and encourage professional growth.
Together, we aim to create an inclusive, motivating environment for all.
