The Central Bank of the Republic of Kosovo said Governor Ahmet Ismaili used a panel at a regional governors' meeting hosted by the Croatian National Bank to outline Kosovo's latest economic and financial developments and the country’s financial sector reform agenda. In remarks focused on digital assets in traditional finance, he highlighted progress on integrating into the Single Euro Payments Area, developing instant payments through the TIPS Clone initiative, and building a comprehensive regulatory framework for payment services and crypto-assets aligned with European Union practices. Ismaili said Kosovo’s economic outlook remains exposed to uncertainty from global energy markets and geopolitical developments, although inflation is expected to moderate gradually over the medium term. He argued that central banks should support innovation while protecting monetary integrity, financial stability, consumer protection and fair competition, and said rapid digital transformation requires proactive, risk-based regulation. He also pointed to the need to strengthen supervisory capacity, cyber resilience and regional cooperation, noting that leverage, transparency, interconnectedness and operational vulnerabilities remain relevant risks. The reforms outlined are intended to support greater financial inclusion, stronger competition and lower transaction costs, particularly for cross-border payments and remittances. On central bank digital currencies, he said Kosovo is closely following developments around the digital euro and is preparing for alignment with future European payments frameworks, reflecting the country’s status as a euroized economy.