The Central Bank of the Republic of Kosovo has formally submitted Kosovo’s application for inclusion in the geographical scope of the Single Euro Payments Area (SEPA), moving the process from final preparations to European assessment. Inclusion would enable more efficient and less costly euro payments across borders for individuals and businesses, particularly relevant given Kosovo’s remittance flows and financial links with European countries. The filing builds on a preliminary application submitted in October 2024 and subsequent reforms to align Kosovo’s legal and regulatory framework with European Union requirements. These reforms covered the Law on Payment Services, the Law on Banks and amendments to legislation on preventing money laundering and combating terrorist financing. Supporting central bank regulations complemented the legislation, alongside work to modernize payment infrastructure and meet technical requirements. Submission does not constitute admission to SEPA. The relevant European bodies will assess the legal and regulatory framework’s compliance with requirements for geographical inclusion. A positive decision would be followed by separate procedures for Kosovo’s financial institutions to participate in the relevant SEPA payment schemes, with technical and operational preparations continuing.
Central Bank of the Republic of Kosovo submits formal application for Kosovo’s inclusion in SEPA
The Central Bank of the Republic of Kosovo has submitted Kosovo’s formal application for inclusion in the Single Euro Payments Area (SEPA), following legal and regulatory reforms. Inclusion could reduce costs and improve the efficiency of euro payments across borders. European assessment must precede any approval, after which financial institutions would face separate procedures to participate in SEPA payment schemes.