The Central Bank of the Republic of Kosovo (BQK) reported that Governor Ahmet Ismaili spoke on a high-level panel at the Green Business and Industry Summit 2025, setting out the central bank’s approach to strengthening the financial system’s ability to manage climate risks and support green financing. In the discussion on decarbonisation as a national priority, he framed climate risks as financial stability risks rather than a compliance-only issue. The Governor highlighted steps already taken by the BQK, including integrating climate risk management into its Strategic Plan, joining the Sustainable Banking and Finance Network (SBFN), issuing guidance on reporting exposures to transition risks, adopting a Syndicated Loans Guideline to encourage green financing for large and long-term projects including clean energy and other capital-intensive investments, issuing an advisory letter on managing climate and environmental risks, and adopting a Strategic Roadmap for Climate and Environmental Risk Management for 2025–2027. He also pointed to advances in the BQK’s reserve investment policies to invest in financial instruments aligned with environmental, social and governance (ESG) principles, alongside the use of scenario analysis, systemic risk assessments, improved data and institutional coordination. He called for stronger national, regional and international cooperation to accelerate the green transition and noted the Western Balkans TIPS Clone instant payments project as a potential model for broader cooperation, including in capital markets to expand investment opportunities aligned with ESG principles.

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