European union – albania stabilisation and association committee 11 March 2015 table of contents political criteria 3
|
|  Yüklə 2.37 Mb.
|
Point 5. Internal Market 5.1 Financial Services, including banking and non-banking sectors 5.1.1 Banking sector As regards legislative developments, during the April 2014 – March 2015 period, the Bank of Albania has continued the revision process of the regulatory framework in accordance with the provisions of the banking law, the Basel Committee recommendations, EU directives and developments in the Albanian banking system. In this regard, several regulations and amendments have been approved by the Supervisory Council (SC) of the Bank of Albania. The Supervisory Council of the Bank of Albania by the Decision no.69, dated 18.12.2014 approved the Regulation “On regulatory capital of banks”. The new regulation “On capital adequacy ratio”22, which entered into force on 31 December 2014, harmonises the Bank of Albania's regulatory framework requirements to Basel Committee requirements on New Capital Accord, known as Basel II, and European directives on the activity of credit institutions. The Bank of Albania uses the standardised approach for the calculation of the capital requirement for credit, market and operational risk, reflected in the Capital Adequacy Ratio (CAR). The regulation complies with the requirements of the new EU regulation No. 575/2013 on prudential requirements for credit institutions and investment firms, specifically with the provisions of part II on regulatory capital. In order to effectively implement the Law on Payment System, Bank of Albania has adopted a regulation "On the organization and functioning of the National Committee of the Payments System”, which was approved by the Supervisory Council decision No. 37 dated 25.06.2014. The Committee shall hold its first meeting during 2015. Aiming to align its oversight function with ECB standards, the Supervisory Council has approved the “Oversight Policy Document for Payment and Settlement Systems by its Decision No. 32, dated 30.04.2014. This policy document aims to implement in the Albanian payments systems market the “Eurosystem Oversight Policy Framework” (July 2011) as well as the new CPSS-IOSCO principles for Financial Market Infrastructures (April 2012). The policy document enriches the oversight function with tools and methods generated by the provisions of the Law on Payment Systems. In addition, during the reporting period, the Supervisory Council of Bank of Albania approved some amendments (by the Decision no.55, dated 01.10.2014) to the regulation “On granting the license and exercise of banking activity of banks and branches of foreign banks in the Republic of Albania”. The aim of these amendments is to implement the recommendations outlined in the context of the joint IMF-World Bank FSAP mission (2013) on the assessment of the observance of the 29 principles of Basel Committee for an Effective Supervision (Basel Core Principles for Effective Banking Supervision). In order to strengthen the supervisory processes and to enhance the market discipline with respect to consumer protection, were approved several amendments (by the decision no. 31 dated 30.04.2014) to the existing Regulation No. 31, dated 06.06.2007 “On licensing, organisation, activity and supervision of foreign exchange bureaus”. These amendments are a response to concerns evidenced during the inspection of foreign exchange bureaus, related to the transparency of their practice vis-à-vis customers of foreign exchange services. Regarding preparations for Basel III, the Supervisory Council of Bank of Albania by the Decision No.43, dated 30.07.2014 approved some amendments to Regulation “On capital adequacy ratio (CAR)”. According to these amendments the parallel running (testing) period is now in place, and banks are providing the data to Bank of Albania according to the new COREP (Common Reports) templates approved by Decision no.43, dated 30.07.2014. The revision of the prudential requirements on bank own funds concluded within the year 2014, in accordance with the European regulation on the activity of the credit institutions, with the approval of regulation “On regulatory capital of the bank”, by the Decision No. 69, dated 18.12.2014 of the Supervisory Council of Bank of Albania. Provisions of this Regulation are drafted partly in line with Regulation (EU) No.575/2013 “On prudential requirements for credit institutions and investment firms”. This Regulation will enter into force in March 31, 2015. Regulation No.60, dated 19.08.2008 “For the minimum requirements of disclosing information from banks and foreign bank branches” has been revised according to the Basel II/III requirements (Pillar 3 - on market discipline) and European Regulation No.575/2013 “On prudential requirements for credit institutions and investment firms” as well. The draft-regulation is under the discussion process and will be approved by Supervisory Council of Bank of Albania by the first quarter of 2015. The Supervision Department of the Bank of Albania has already begun its preparatory work for moving toward Basel III. In the second half of 2015 BoA will start an impact study with banking sector for assessing the level of LCR in Albanian Banking System. Based on these results, Bank of Albania will see the possibility of refining the liquidity ratio already in force. With regard to administrative capacity, based on the implementation of the medium-term strategy of the Bank of Albania for the period (2013 -2015), the main objective of the Supervision Department is to ensure sound banking activity in Albania to guarantee citizens’ savings safeguard financial stability and contribute to the positive performance of the overall economy. To achieve this objective, the Bank of Albania will focus on the following pillars:
The Supervision Department currently consists of 45 employees. According to the organizational structure Supervision Department is composed by 50 employees. Supervision Department in collaboration with the Department of Human Resources are at the stage of identifying potential candidates based on criteria of each profile in order to fulfill the vacant positions aiming to recruit individuals who will contribute to increasing the capacity of the Department of Supervision. During the reporting period April 2014-February 2015 administrative capacities of the Supervision Department has been increased by 7 new employees. The Composition and functions of the Supervision Department: in accordance with the Supervisory Council Decision No. 05 dated 27 January 2010 “On organization and Function of the Supervision Department”, the Supervision Department has the following units under its organizational structure:
The Supervision Department carries out the following functions: a) Licensing function; b) Regulatory function; c) Supervisory function; d) Supervision development function; e) Disciplining function; 5.1.2 Non-banking sector (insurance and securities market, including investment funds) The Financial Supervisory Authority (hereinafter AFSA), in 2014 consolidated its work in the drafting and revision of the regulatory and supervisory framework in order to approximate it further with the European Union acquis in the field of non-banking financial market, pursuant also to Article 89 of the SAA, recommendations of the Progress Report of the European Commission in 2014 and the recommendations of the Sub Committee of the European Union - Albania "Internal Market and Competition", of 8 April 2014, with the aim of further improving the market, strengthening supervision and its institutional capacity. In the field of insurance, in May of 2014, the Parliament approved Law no. 52, dated 22.05.2014 "On the insurance and reinsurance activity". The law, which came into force on the 4th of July 2014, determines the principles and specifies the procedures relating to the establishment, organization, management, operation and supervision of insurance, reinsurance and insurance intermediary activity, so that the insurance market operates in a safe, sustainable and transparent environment. Secondary legislation in the field of insurance is further completed aiming an effective supervision of the activities of the operators of this market. In 2014 the AFSA has drafted or amended 10 bylaws as follows:
On legislative developments in the field of voluntary pension, the AFSA, in cooperation with the World Bank experts continued to work on the amendments to the Law No. 10197 dated 10.12.2009 "On the voluntary pension funds". Changes in the law aim its alignment with Directive 2003/41/EC of the European Parliament and the European Council of 3 June 2003 “On the activities and supervision of institutions for occupational pension”, and also with the principles of supervision of private pension of the International Organisation of Pension Supervisors (IOPS), as well as with the OECD Guidelines. The AFSA is now working to reflect the comments and suggestions of the stakeholders as appropriately in the amendments of this law. In the field of securities, during 2014 the AFSA has adopted new bylaws or amended existing ones, as follows:
Data on the securities market: The volume of secondary market of Government securities during the year 2014 was dominated by transactions in short-term instruments (T-Bills) at 77.74%. The remaining part was long-term instruments (notes and bonds) at 22.26%. In terms of the number of transactions, 98.35% of all transactions in the secondary market of Government securities were in T-Bills. Statistical data on the Government securities retail market for the year 2014 indicate that the market was dominated by transactions "Purchase in the primary market" and "Settlement of nominal value at maturity" with respectively 61.87% and 19.95% of the total volume. Transactions of the individual investors, dominate at the Government securities secondary market with 97.67% of all transactions in the market. Collective Investment Undertakings: During 2014 in the market of investment funds exercised their activity two funds, namely "Raiffeisen Investment Fund Prestige'' and ''Raiffeisen Invest Euro Fund''. Market value in 31.12.2014 of the net assets of these funds amounted to around All 63.74 billion with an increase of 26.64% compared to 31.12.2013. The market was dominated by investment in Government Bonds, who comprise around 78.85% of fund assets. Institutional/administrative capacity and operational independence, including the Albanian Financial Supervisory Authority (AFSA), on the 17th of July 2014 entered into force the Law No. 54/2014 Amending Law No. 9572 of 3 July 2006 “On the Financial Supervisory Authority”. This Law was adopted by the Parliament of Albania on May 29, 2014. Its amendments will strengthen the supervisory and regulatory role of the Albanian Financial Supervisory Authority in the context of achieving its goals through the reinforcement of its independence and accountability. The Law was drafted by AFSA in cooperation with international experts from the Financial Service Voluntary Corps. According to the amendments the AFSA Board will consist of 5 members, of which only 3 (three) were appointed in December 2014, and 2 (two) of them are respectively the General Executive Director and Vice Executive Director of the Authority. In the mean time the Chairman of the AFSA Board has not yet been approved. The new board after one month from its approval should adopt the organizational structure of the Authority. In order to fully implement the new Law No. 54/2014, the Parliament also approved the following changes in two other laws: Law No. 58/2004, dated 12.06.2014 "On some amendments to Law No.9584 dated 17.7.2006 “On salaries, bonuses and structures of independent constitutional institutions and other institutions established by law", as amended; and Law No. 178/2014, dated 18.12.2014 "On some amendments and additions to Law no. 152/2013 "On the Civil Servant". Structure of the AFSA and professional qualification: In fulfillment of the recommendations for strengthening of the administrative capacity on human resource development and professional growth of the staff capacity, the Authority during 2014 focused on: encouraging and motivating employees; ongoing trainings of the employees; hiring of more qualitative human resources. In order to increase the professional expertise, during 2014 the technical staff participated in training activities by making a combination of the professional development personal interests and of the institution's objectives. 5.2 Public Procurement In the framework of approximation, in December 2014, was approved the Law No. 182/2014, “On some amendments and addenda to the Law No. 9643 of 20.11.2006, “On public procurement”, as amended. The draft law, was consulted with line ministries, some of the biggest contracting authorities, and OECD/SIGMA. Their standings were considered and reflected to the respective provisions. The amendments are in line with the new directive 2014/24/EU, consisting of the exception case related to employment contracts, the tender security, which was left as a possibility to be submitted by the economic operators, only for the public procurement procedures above the high value thresholds. To the abovementioned law on public procurement are foreseen some other addenda and amendments, aiming the accuracy of its current provisions and to avoid cases of their misinterpretation by the contracting authorities, in framework of efficiency increasing of procurement procedures. As well there was approved the DCM No. 914 of 29.12.2014, “On the approval of public procurement regulations”, abolishing the DCM No. 1 of 10.01.2007, “On the approval of public procurement regulations”, as amended, as well as all the other PPA instructions. On 29.12.2014, there was approved the DCM No. 918, “On the performance of public procurement procedures with electronic means”. This decision redefines the obligation for electronic performance of procurement procedures. Pursuant to referred amendments to the law and public procurement rules, by DCM No. 1 of 22.01.2015, PPA did approve the new standard tender documents for each kind of procedure, respectively for works, goods and services. In order to assist the contracting authorities to implement the new legislation on public procurement, PPA prepared and approved the following instructions:
As regards enforcement of legislation, in implementation to the Law No 9643 of 20.11.2006, “On public procurement”, as amended, during 2014 were monitored 81 procurement procedures. The monitoring process was focused to the verification of public procurement legislation implementation, and provides the legal advice for the problems encountered during the conduct of procedures. The most part of monitored procurement procedures were negotiated without publication of the contract notice, in order to identify the reasons and legality of such procedures as chosen by contracting authorities. Reporting on cases and reasons for the negotiations without publications procedures has been one of the highlighted requests of the European Commission, regarding public procurement field. In cases where were identified violations of contracting authorities in respecting the legal and sub-legal requirements when conducting the procedures, PPA decided for the relevant administrative measures. In February 2015, PPA approved the plan and the procedures to be controlled during the period February-May 2015. During 2014, PPA analyzed a considered number of such recommendations, as provided by Supreme State Audit and Internal Audits of other institutions. During 2014, PPA, in collaboration with SIGMA, prepared the strategy document on the development of public procurement system, which afterwards was included to the Public Finance Management Strategy, 2014-2020. This strategy was approved by the Council of Ministers in the month of December 2014. The part of public procurement included to the cited strategy defines main goals in development of the public procurement system and measures required for their achievement. Finalization of the strategy on the development of public procurement system was one of the European Commission recommendations at the respective Subcommittee Meeting, held in 2014. Likewise, in the part of public procurement, at Public Finance Management Strategy, to address the EU recommendations, was foreseen the establishment of efficient mechanisms for coordination of procurement and concessions systems. With regard to the institutional capacity, by DCM No. 12 of 14.01.2015, “On the redistribution of the employees numbers, among the Ministry of Defence and the Public Procurement Agency, for the year of 2015”, the number of PPA employees was increased with 5 more persons, leading to its total number to 28 persons. Pursuant to this decision, will be made the relevant changes to the PPA structure and organigram. Increasing of PPA staff is in line with the recommendations submitted to the European Commission assessment report, held in 2014, with regard to the independence and functioning of independent institutions in Albania, according to which, amongst others, is recommended to evaluate accordingly the adequacy of the staff of PPA (23 people). Towards capacity building of procurement employees, in contracting authorities, PPA, in collaboration with the Albanian School of Public Administration (ASPA), during 2014, organized several trainings. 5.3 Right of Establishment and Freedom to Provide Services Services: Update on the screening process for the transposition of the Services Directive. Coordination of the work at inter-ministerial level Coordination of work at inter-ministerial level is guaranteed and carried out according to:
The screening report on mining is finalised and findings and recommendations are shared with all stakeholders involved. The report concludes that there is no need for legislative amendments in the mining sector. The requirements are compliant with the overriding reason as defined by the Services Directive. The screening process in mining and the prepared report are used as a training model for the other sectorial screenings. Therefore, the first discussion of the process, methodology and questionnaire filling out in mining was shared with the technical working group on VET. Following the same approach as with mining, the screening report of VET is at the final stage of preparation. Amendments to national legislation identified as necessary during the screening, will be included in the National Plan for European Integration during its annual update for 2015. The draft law “On services in the Republic Of Albania” is prepared. The draft has partially transposed the Services Directive, excluding provisions mandatory for EU Member States. Currently, the draft law is under discussion within the technical working group. The formal consultation process will start in February 2015. It would be a two tier consultation process, with the private sector and line ministries. Due to complexity and intricate nature of this particular piece of legislation, the consultation process will include lawyers, attorneys and representatives of other legal services. In addition to this, a draft law on some amendments and addenda to Law No 9723 of 3.05.2007 “On National registration Center”, as amended, is prepared aiming partial transpose of Directive 2009/109/EC of the European Parliament and of the Council of 16 September 2009 amending Council Directives 77/91/EEC, 78/855/EEC and 82/891/EEC, and Directive 2005/56/EC as regards reporting and documentation requirements in the case of mergers and divisions, as regards reporting and documentation requirements. The draft law was endorsed by the Council of Ministers and is submitted for adoption to the Albanian Parliament. Concerning concrete steps envisaged to prepare the alignment with the Services Directive, three additional sectoral legislation screenings are planned. These sectors include: tax services, social and legal services. The deadline for the screenings is September 2015. A list of other sectors to be screened is being set up based on the screening reports prepared by other member States during the accession process. |