The American Chamber of Commerce in Kosovo presented three alternative solutions to the Central Bank of Kosovo's regulation on payment transactions, which prohibits the use of dinars, reports Kosovo Online.
"While the American Chamber of Commerce in Kosovo understands the need for regulatory oversight in order to ensure financial stability, it is necessary to consider the short-term implications that regulation has on the financial position of the citizens of Kosovo," the statement said.
According to the American Chamber, although the euro retains the status of a legal means of payment in Kosovo, this does not exclude the use of other currencies in transactions - in cases where the parties involved reach a mutual agreement.
In facilitating transactions related to the Serbian dinar, the American Chamber suggests the use of money transfer institutions between Kosovo and Serbia.
Although considered feasible, that option may be less practical and more expensive for individuals. The Chamber therefore proposes opening a bank account of the Government of Serbia for interstate transactions with corresponding dinar accounts in Kosovo banks
That method offers a practical solution through existing banking relationships, with all possible logistical complexity, the American Chamber of Commerce stated.
The next variant involves direct transfers of funds from any bank in Serbia to any specific bank in Kosovo for distribution to the accounts of individual users.
This option simplifies the process while ensuring compliance with regulatory requirements.
In all alternatives, as stated, it is crucial to resolve the issue of licensing institutions for currency import, in order to ensure an adequate supply of dinars in Kosovo.
