Transition period for enforcing dinar ban in Kosovo ends, CBK silent

Pristina media outlets are reporting differently on the enforcement of measures against who use currencies other than the euro for cash transactions in Kosovo, while the CBK and the Kosovo Government are silent on the matter.

The dinar is still being used in Kosovo, while the Kosovo Police (KP) Region North said it has not received any orders regarding this issue, reported KoSSev.

At end of last year, the Central Bank of Kosovo passed a regulation under which the euro is the only currency allowed to be used in Kosovo.

It was to come into effect on February 1, 2024, but came under strong criticism from Belgrade, with allegations that Pristina wants to use it to abolish the dinar and payment transactions with Serbia.

International officials also criticized Pristina, mainly over the way the decision was made and the short deadline for the start of implementation, expressing concern about the impact of the regulation on the work of Serbian schools and hospitals, but also on the citizens who work in institutions operating under the Serbian system and receiving payments from Serbia.

Western diplomats called on Pristina to suspend the regulation in order to allow “a sufficiently long period of transition.”

The regulation was not suspended, however, ahead of its implementation, which was planned for February 1, Pristina decided to introduce a transition adjustment period for all those who do business in dinars.

Kosovo’s public broadcaster (RTK) reported that the transition period has ended, and that, as of May 12, the euro should be the only currency allowed in Kosovo.

KoSSev reported that the dinar is still in circulation in the north of Kosovo and that it is possible to use dinars in grocery stores, cafes, and shops in the northern part of Kosovska Mitrovica.