The Deposit Insurance Fund in Kosovo (DIFK) in collaboration with member banks launches the project on implementation of Risk-Based Premium System

DIFK has launched the project on implementation of Risk-Based Premium System based on EBA Guidelines. As part of the first phase of the project on implementation of Risk-Based Premium System, DIFK with the technical support of GBDS, a consulting firm, has organized informative meetings with key stakeholders of the banking sector in Kosovo, such as the Central Bank, the Association of Banks as well as member banks.

The purpose of these meetings was to inform the parties regarding the project and activities to be undertaken, as well as the role of these stakeholders in implementing the project.

In addition, during May the first workshop on implementing the Risk-Based Premium System was held for DIFK staff, which was proceeded by the second workshop held for CBK and member banks.

The purpose of these workshops is for the stakeholders to be introduced with the main concepts of Risk-Based Premium System based on EBA Guidelines on risk-based contributions for deposit guarantee schemes, including the criteria for determining risk profile, data processing and method of calculation, as well as demonstrating the new premium system before putting it into effect.

This project will significantly enhance DIFK’s capacity to assess the risk profile of member banks for the purpose of premium calculations and overall exposure assessment towards member banks, thus contributing to increased confidence in the deposit insurance scheme and the stability of the financial system.