US State Department urges postponement of implementation of Serbian dinar ban in Kosovo

“We call again for implementation of this decision to be postponed immediately until satisfactory procedures are established in line with European standards and the population is sufficiently educated on how transitional periods will continue. The decision was announced without adequate preparation or consultation”, a response to the US State Department for the Voice of America says.

The US State Department said it has asked authorities in Kosovo to explain what urgent problem it intends to resolve this regulation and whether emergency is needed.

We haven't heard any appropriate answers. Many Kosovo citizens now do not know how they will pay their bills or receive pensions. The move is also not in line with Kosovo's commitment to working through the facilitated dialogue by the European Union to address issues affecting the welfare of the Serb minority community”, the US State Department says, underlining that good governance and good international partnership require time to assess the consequences, listen to the prospects and consult with others for a viable solution.

“The consequences of this and similar unilateral actions limit the United States' potential as Kosovo lawyer in the International Arena”, it says in response.

Earlier in the day, US Ambassador to Kosovo Jeff Hovenier said the United States opposes the Central Bank's entry into force for the use of currency without fully prepared as it expressed concern that this could lead to new tensions in Kosovo.

We think this issue really deserves a more careful look, but also a discussion within the dialogue mediated by the European Union. We are concerned that it would potentially escalate ethnic tensions and result in problems for the daily life of a number of Kosovo citizens”, the US ambassador said after a meeting with Kosovo Prime Minister Albin Kurti.

The decision that went into effect on February 1st implies the removal of Serbia's dinar, which is still being used in Serb majority areas specifically in northern Kosovo.

The regulation sparked Belgrade's angry response and political representatives of Serbs in Kosovo, who estimate that this decision jeopardises the survival of the Serb community, but also Western diplomats' concerns that it could fuel new tensions.

The Kosovo government said on Wednesday that implementation of the regulation would take place through a transitional period of relief, but without specifying the deadline.

So we hope that the government will find a way to realise what is being said by Deputy Prime Minister Bislimi, which means there is a kind of transitional period and at which there is a pace. And some recognition of the challenges in the country before it is fully implemented”, Ambassador Havenier said, underlining that part of Serbian citizens will face many challenges in the benefits they receive.

I think people will feel cut off from a profit they rely on. Nobody wants that. We are concerned about individuals and their lives”, the American ambassador said.

Even the European Union called on Kosovo on Thursday to provide sufficient transitional periods for implementation of the Central Bank decision, which stipulates that the euro is the only currency that can be used for payment.

Kosovo Deputy Prime Minister Besnik Bislimi said communication channels should be opened between the Kosovo Central Bank and Serbia to facilitate this process.

The European Union and diplomats in Pristina agree that the regulation “aims to increase financial transparency, ensure financial sustainability and fight money laundering and counterfeiting “, but have sought to delay implementation “until the issues that ensure no one will be harmed”.

Serbian President Aleksandar Vucic discussed the issue Wednesday evening with ambassadors of top Western countries, but no details were given about the discussions.

The European Union and the United States are pressing Kosovo and Serbia to implement the agreement on normalising relations the parties agreed on nearly a year ago in Brussels and Ohrid. / VoA