Financial RIA Knowledge Transfer Program in Albania

The Convergence Program has organized in 2008 a regulatory impact assessment knowledge transfer program to help the local institution become familiar with RIA techniques. The latter knowledge transfer is preparing for the launch of SPI Albania.

January 31-February 01, 2008:

Session 1 –General Introduction on RIA application

The workshop provided detailed information how Better Regulation RIA process is structured and on how to assess the costs and benefits of financial regulation. Participants have then worked on a practical case study on Collateral Enforcement prepared by Convergence staff. Finally, they have carried out an Impact Assessment analysis (namely the first stage of the RIA process) on 2 regulations used at the Bulgaria FSC knowledge transfer session.

February 21-22, 2008:

Session 2 – RIA on local financial Regulations

Two Working Groups have undertaken a market consultation on proposed regulations on Risks of foreign currency loans and on Transparency. This exercise has been carried out through both desk work and a consultation feedback with local stakeholders.


The 2 WG were assigned the following issues for which possible regulatory interventions are being considered:

  • Foreign Loans: “Proposed regulation on risk management of foreign currency loans to unhedged borrowers”;
  • Regulation on Transparency: Proposed Amendment to Guideline N.49 22.04.1999 on “Transparency of the banking operations and services” and Proposed Regulation on “Minimum Requirements for disclosure of information by banks and branches of foreign banks”

WG Activity Monitoring

WG 1- Foreign Loans

Coordinator:Mr. Gerond Ziu; Members: Mrs. Brisilda Bala (BoA); Mr. Dorian Collaku (BoA); Mr. Ilirjan Ligacaj (Union Bank); Mr. Roden Pajaj (BoA); Mr. Ervin Sahatciu (BoA); Mr. Klodion Shehu (BoA);Mr. Bledar Shella (BoA).

Documents Produced

WG 2 - Regulation on Transparency

Coordinator: Mrs. Ermira Curri; Members: Ms. Elvana Troqe (BoA);Ms. Besiana Bufi (BoA); Mrs. Alba Fagu(BoA); Ms. Anila Kola (BoA); Ms. Miranda Ramaj (BoA).

Documents Produced

Facilitators: Mr. Brogi/ Mr. Passamonti

April 18, 2008

RIA Final Presentations: Session 3

The working groups will present their final reports on main Findings and Policy Recommendations to the Albania SPI Committee to conclude the RIA Knowledge Transfer Program whose skills will be applied and practiced further within the SPI Albania framework.

Prior Activities

The World Bank-Puglia Region conference on remittances in Bari on March 3-4, 2006 marked the beginning of Convergence’s activities in Albania.


Consistent with our mandate to find practical solutions to financial intermediation opportunities, we made available to participants a concise compilation of concrete regulatory and technical interventions that would improve the service level to remittance providers and recipients.


During the conference, Convergence built the case for public-private cooperation and presented an Action Plan proposal. It also summarized the proceedings of the conference.


Following the conference, Convergence teamed up with the Italian Banking Association to analyze the potential market for remittances flows to Albania from Italy.


In a well attended seminar in Tirana on July 27, ABI presented an analysis of banking habits and needs of Albanian clients of Italian banks. Convergence offered an analysis of the best partnership opportunities, on a region-by-region basis, of Italian banks for the Albanian banking community.


ABI hosted a similar meeting in Milan on November 3, 2006 where a delegation of Albanian banks met with more than ten Italian banks interested in building up their bank remittance products in connection with Albania.


Separately, as first introduction of the public-private partnership for financial sector modernization concept, Convergence helped organize a seminar in Tirana on April 3, 2006 where Prof. Francesco Cesarini illustrated the main features of the Italian Banking Association activities, based on his report. At the same event, attended by the Albanian public and private financial sector community, Convergence tabled a proposal to establish an SPI-like structure in Albania.


As an example of evidence-based policy design, Convergence prepared for the Albanian Association of Banks an analysis of the potential impact on bank intermediation of the proposed changes in collateral enforcement procedures – an activity where the AAB had prepared a technical paper for official consideration.


Convergence is ready to support the creation of an SPI Albania structure. Local public-private stakeholders have already expressed interest to create an institutional form to expedite financial sector modernization.