New Kosova Report

Pension fund to invest in Kosovo

Thursday, 04 September 2008

Kosovo Trust of Pensional Savings has decided to start investing in Kosovo new contributions made to the fund.

The fund will research opportunities about placing about five million euros worth of contributions in the market of short-term investments and certificates of deposit. Main goal are Kosovo banks, but not necessarily, said the international member of the board, Harvey Camber.

Trust money up to now has been invested in international financial markets. But due to the poor performance in the last year, recording a fall, the board decided to invest the money in Kosovo instead.

So far from the fund only 15 million euros have been invested in two foreign banks in Kosovo, Raiffeisen and Pro-Credit. Kosovo banks were not interested, says Director of the Trust Adrian Zalli.

"When the tender opened, unfortunately only three banks competed for these amounts. We believe that with the board’s decision yesterday, more money will be placed with Kosovar banks," said Zalli.

According to Zalli, the law does not allow the 292 million euro already deposited outside Kosovo to be invested in Kosovo.