Regulation on the transitional period for the implementation of the Law No. 10/L-026 on payment services

1 of 2 Pursuant to Article 35, paragraph 1 subparagraph 1.1 and Article 65 of the Law No. 03/L-209 on Central Bank of the Republic of Kosovo (Official Gazette of the Republic of Kosovo, No.77 / 16 August 2010), as amended and supplemented by Law No. 05/L –150 (Official Gazette of the Republic of Kosovo, No. 10 / 03 April 2017) and pursuant to article 136 and article 138 paragraph 2 of the Law No. 10/L-026 on Payment Services (Official Gazette of the Republic of Kosovo,No.10 / 14 May 2026), the Board of the Central Bank of the Republic of Kosovo, at its meeting held on June 29, 2026, approved the following: REGULATION ON THE TRANSITIONAL PERIOD FOR THE IMPLEMENTATION OF THE LAW NO. 10/L-026 ON PAYMENT SERVICES Article 1 Purpose and Scope

1. The purpose of this Regulation is to determine the applicable transitional period for entities and persons subject to the Law No.10/L-026 on Payment Services ("Law on Payment Services") to adjust their activities and operations to the provisions of the Law on payment services after its entry into force, in the context of the process initiated by the Central Bank of the Republic of Kosovo (CBK) to apply to the European Payment Council for the extension of the Single Euro Payments Area geographical scope to Kosovo and, consequently, the possibility for national payment service providers to join the “SEPA Schemes”, as defined in Article 3 below.
2. This Regulation shall apply to all payment service providers licensed, authorized or registered to provide payment services in Kosovo pursuant to the Law on Payment Services. Article 2 Definitions
3. The terms and definitions used in this Regulation shall have the same meaning as in the Law on Payment Services and in the Central Bank of the Republic of Kosovo Regulation on Information Accompanying Transfer of Funds and on the Establishment of Requirements for Credit Transfers and Direct Debits in Euro.
4. In addition to paragraph 1 of this Article, for the purpose of implementing this Regulation, the following terms and abbreviations shall have the following meanings: 2.1. “Bank” means a bank as defined in the Law No. 08/L-304 on Banks; 2.2. “EPC” means the European Payments Council; 2.3. “SEPA” means the Single Euro Payments Area;

2 of 2 2.4. “SEPA transfers” means payment transactions executed in SEPA schemes, totally or partially, and that shall be, under the rules of such schemes and/or as determined by the EPC, subject to the relevant SEPA schemes rules; 2.5. SEPA Scheme” means any payment scheme operated by the EPC. 2.6. Law on Banks – means Law No. 08/L-304 on Banks and/or the applicable Law on Banks; Article 3 Transitional period for payment service providers

1. All payment service providers, including banks, payment institutions and electronic money institutions, licensed, authorized or registered by the CBK that intend to participate in one or more SEPA Schemes and/or offer SEPA transfers to their clients or users shall fully adapt their activities and operations to the provisions of Sections III and IV of the Law No. 10/L-026 on Payment Services at least [one month] before applying to the EPC for participation in a SEPA Scheme or before offering or executing SEPA credit transfers to their customers or users.
2. All payment service providers referred to in the previous paragraph shall notify the CBK in advance of any application, invitation and/or negotiation to join or participate in a SEPA Scheme.
3. The CBK shall define the transitional period regarding implementation of specific CBK regulation which concern payment services providers. Article 4 Other requirements The transitional period and the obligations set out in this Regulation shall be without prejudice to the compliance by payment service providers with any applicable requirements, rules, guidelines or conditions of the EPC or the SEPA Schemes for participation in the relevant SEPA Schemes and in accordance with the applicable Scheme Rules. Article 5 Enforcement, Improvement Measures and Penalties Any violation of the provisions of this Regulation shall be subject to corrective measures and/or administrative penalties and civil penalties as defined within article 67 of the Law No. 03/L-209 on Central Bank of the Republic of Kosovo, as amended and supplemented by Law No. 05/L –150 and article 125 of the Law No. 10/L-026 on Payment Services. Article 6 Entry into force This Regulation shall enter into force 15 days from the date of its approval. Dr.sc. Bashkim Nurboja Chairperson of the Board of the Central Bank of the Republic of Kosovo