Meeting of the National Bank Council
20 December, 2021
Continuous improvement of the monetary policy infrastructure, activities for further strengthening of the stability and resilience of the banking system, encouraging innovation in the financial system, providing space for more accessible, cheaper and more efficient payment services, strengthening of the climate change risk management and their impacts on the financial system - these are part of the activities envisaged in the Plan of Activities of the National Bank for 2022, which was adopted by the National Bank Council.
The envisaged program activities benefits the realization of the strategic goals of the National Bank set forth in the Strategic Plan adopted this June.
In order to further improve the monetary policy infrastructure, it is planned to expand the portfolio of available models, improve the operational framework of monetary operations, as well as improve the analytical basis for monitoring the developments on the foreign exchange market and implementation of the best practices in case of the National Bank’s intervention policy.
Regarding the maintenance and further strengthening of the stability and resilience of the banking system, it is envisaged to take activities for further improvement of the overall supervisory framework, to focus more on the digital space risks, the risks of climate change and the health crisis, which are imposed by the external environment as non-traditional risks. The Plan envisages further active work on several legal solutions to strengthen the financial network. Special attention is paid to innovation and competitiveness in the financial system, as well as providing better access to finance. Therefore, taking into account the consumer protection and the stability and security of the financial system as a whole, in 2022 we will work on the completion of the first National Strategy to support the FinTech sector.
In 2022, the National Bank will also work on several projects in the field of payment systems, in the context of the new legal solutions in this area. Activities for enabling entry of new payment service providers and payment system operators and introduction of new payment instruments are envisaged, as well as establishment of a oversight function for the new payment service providers (payment institutions and electronic money institutions) and a register of these providers. In the context of the need to increase the efficiency of cross-border payments, the National Bank will participate in the activities within the Regional Cooperation Council for establishing a common regional market of the Western Balkan countries.
In line with global efforts to deal with climate change, the National Bank will also take action to raise awareness of the consequences of climate change, by strengthening the analytical framework and managing climate change risks and their impact on the financial system. Given the importance of this issue, in 2022, it is planned to establish a system for regular reporting on "green" loans and sources of financing, to work on preparation of a stress testing for the banks' financial risks arising from the climate change, and to start with activities for preparation of specific guidelines for banks for proper management of climate change risks. At the same time, the National Bank will work on examining possibilities for introduction and application of a monetary instrument that would directly support the lending activity of domestic banks for financing green projects and creation of a special green bonds portfolio within the foreign reserves management.
The Plan of Activities for the next year incorporates a series of activities for proactive approach in the field of financial education and inclusion, as well as for promoting transparency and accountability in the operation of the National Bank. The implementation of the Strategy for Financial Education and Financial Inclusion for the period 2021 - 2025, as well as the preparation of a draft law on financial ombudsman will be the focal point in the following period. Increasing the transparency and accountability in the operation of the National Bank has already been singled out as a separate strategic goal with the new strategic plan. We will actively work on promoting transparency and available information on the functions, activities and operations of the National Bank, in accordance with the recommendations of the IMF Mission. This Mission is in line with the assessments of the central banks for their practices in relation to the IMF Central Bank Transparency Code, in which the National Bank voluntarily participated.