Regulatory Alerts2015-12-22
Regulation on Distribution of Loan Assets for Banks
The Central Bank of the Republic of Kosovo has issued a regulation requiring that loan assets exceeding 10,000 euros be initially allocated to the borrower's account before distribution. Banks must support large cash disbursements with valid documentation, establish internal control systems to prevent circumvention through transaction structuring, and monitor overdraft usage. Applicable to all licensed domestic and foreign bank branches, the rule supersedes prior credit payment directives and enforces compliance through civil penalties under existing banking laws.
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