The Supervisory Council of the Bank of Albania approved the 2025 H1 Financial Stability Statement and Financial Stability Report and adopted regulatory changes spanning bank resolution monitoring, payment systems and euro transfers, and the licensing and supervision of foreign exchange bureaus. The central bank assessed the financial system as stable in 2025 H1, with banking activity expanding and resilience indicators and stress-test results pointing to the sector’s ability to withstand identified risks. The review noted deposit and capital growth that was mainly directed toward lending and securities investment, a positive but slightly lower net financial result versus the same period a year earlier, and contained risks from interconnections within the financial system. The Council also approved the six-month report on compliance with the minimum requirement for own funds and eligible liabilities (MREL), setting an interim 2025 requirement of 20.2% of risk-weighted exposures versus an estimated banking sector MREL capacity of 22.6% at end-2025 H1, supported by increased issuance of unsecured eligible debt. On payments, revised regulations for AIPS, AIPS EURO, AECH and SWIFT functioning reduced charges, including commission-free electronic payments up to ALL 40,000 for consumers, nearly ten-fold lower fees for electronic payments up to ALL 10 million, and around ten-fold reductions in minimum fees and percentage rates for domestic euro payments, with expected annual savings of around EUR 40 million. Separately, amendments to the foreign exchange bureau regulation tightened licensing and supervisory requirements, including higher initial capital, documentation of capital sources and strengthened expectations on reputation, integrity and financial stability in line with international standards and Moneyval recommendations on anti-money laundering and countering the financing of terrorism. Amendments to the regulation on euro credit transfers and direct debits set SEPA cross-border transaction fees in line with EU Regulation 2021/1230, requiring cross-border fees to match domestic euro payment fees and capping fees on SEPA outgoing payments at domestic limits, as a precondition for SEPA implementation planned for 7 October 2025.
Bank of Albania 2025-09-03
Bank of Albania cuts electronic payment commissions and sets domestic-priced SEPA euro transfer fees for 7 October 2025 launch
The Supervisory Council of the Bank of Albania approved the 2025 H1 Financial Stability Statement and Report, noting a stable financial system with expanding banking activity and resilience indicators. Regulatory changes were adopted for bank resolution monitoring, payment systems, euro transfers, and foreign exchange bureau supervision, including reduced fees for electronic payments and tightened licensing requirements. Amendments aligned euro credit transfer fees with EU standards, preparing for SEPA implementation in October 2025.