The Central Bank of the Republic of Kosovo has added gold to its official reserve portfolio for the first time, describing the move as the initial step in a long-term strategic allocation process. The bank presents the change as part of a modernization of its reserve management framework intended to strengthen diversification, reduce risk and support the long-term resilience of the reserve portfolio in line with contemporary international central banking practice. The move comes after a broader overhaul of asset management, administration and risk management. Supporting measures included strengthened internal policies and governance, cooperation with the US Treasury, the International Monetary Fund and the World Bank, and participation in the World Bank Reserve Advisory and Management Partnership, which advanced from technical assistance to an investment management mandate. The bank also revised its correspondent banking and asset custody strategy, established relationships with central banks in the Eurosystem and with international commercial banks, and expanded engagement with providers including Clearstream for collateral management and custody services. The gold allocation is described as the first stage of a longer-term process. The bank said it will continue strengthening institutional capacity and reserve management practices.