TIRANA, June 14/ATA/ The Extraordinary Intervention Fund for 2021 has increased slightly year-over-year reaching about ALL 2.7 billion, since 2018, the Bank of Albania-BoA reported on Monday.
The law stipulates that by 2027, the fund will account for 0.5% of the liabilities of the banking sector. On this basis, the target, calculated by the Bank of Albania, to be achieved in 2027 is about ALL 6.64 billion. The target has been currently met reaching the level of 40%, in line with the provisions of the relevant law and regulation.
The Extraordinary Intervention Fund can be used by the Bank of Albania for several purposes, such as: guaranteeing the bank’s assets or liabilities in extraordinary intervention, the bridge bank or asset management company; meeting the need for liquidity of the bank in the emergency intervention procedure, the bridge bank or asset management company; the purchase of the bank’s assets in the emergency intervention procedure to contribute to equity and to provide other necessary funds to the bridge bank or the asset management company; compensation for uncovered losses arising from the exemption of liabilities of the bank’s creditors in extraordinary intervention; covering the expenses of the Emergency Intervention Fund administration etc. //a.i/
