The Ministry of Trade and Industry (MTI) signs a cooperation agreement with the International Finance Corporation – IFC, member of the World Bank Group, which is represented by Mr Damien Shiels, Manager of Finance, Competitiveness, and Innovation Global Practice (FCI) and Mr Patrick, representing the Swiss Development Agency – SECO.
In her speech, the acting Minister of Trade and Industry, Arbëreshë Krasniqi, highly appreciated the work and partnership insofar with IFC, member of the World Bank Group, and reaffirmed the interest and willingness in continuing this cooperation in the future. On this occasion, the acting Minister Arbëreshë Krasniqi expressed gratitude to the Swiss government and its agency, SEKO, for being amongst the most active donors in Kosovo and for supporting this project of high importance to the MTI.
““Debt Settlement Program” aims to assist Kosovo government in its efforts to improve its pre-bankruptcy regime, address insolvency in the country and prompt the use of the bankruptcy framework. This is expected to lead to improved credit recovery and increased credit return to creditors, and to enable rehabilitation of potential businesses and mitigate liquidation of ineffective companies and return their assets to productive use”, said Krasniqi.
According to the acting Minister Krasniqi, the following activities will be included within this project: Review of the insolvency and of other laws to remove possible ambiguities and other obstacles in implementing the bankruptcy process. It will also include: developing secondary legislation required for the effective implementation of the law; drafting the regulations and guidelines necessary to promote debt settlement before bankruptcy; encouraging stakeholders to engage in voluntary negotiations through the establishment of out-of-court settlement mechanisms that will enable the parties to negotiate in good faith and reach agreements with a view to avoiding the official filing of lawsuits.
“Through this Memorandum of Understanding, we aim to help create a safer climate for business in Kosovo, where interests of creditors, debtors, or even other parties are more protected, which will also affect the continuous improvement of foreign investments in Kosovo”, stressed the acting Minister Krasniqi.
She further said that we deeply believe that through this project, Kosovo will mark improvements in the process of bankruptcy and restructuring of commercial enterprises in Kosovo and thus improve its position in the world rankings of relevant indicators in the Doing Business Report, as well as will be part of the regional processes where IFC is giving valuable input in changing public perceptions of bankruptcy and reducing bad credit.
Finally, the acting Minister Arbëreshë Krasniqi emphasized that the Ministry of Trade and Industry is grateful to IFC and the Swiss Government for the support insofar and expressed willingness to continue the cooperation in projects and joint works that are waiting to influence positively the economic development in our country.