TIRANA, OCTOBER 31, 2012     Today, Prime Minister Sali Berisha, the Head of the EU Delegation of Albania, Ambassador Ettore Sequi, and USAID/Albania Mission Director, Jim Barnhart, delivered remarks at the opening of an international conference on the independence of financial regulators .  The purpose of the conference was to discuss growing evidence that independent regulators make regulations more effective and lead to smoother and more efficient operations of the market.  International finance experts from EU and Balkan countries participated in panel discussions and presented case studies on issues related to autonomy and accountability of regulators, the impact of the financial crisis, and ways to foster the development of financial industry in developed and developing countries.  USAID co-organized the conference with Albania’s Financial Supervisory Authority (FSA).  Ms. Holly Bakke, former Commissioner of the New Jersey Department of Banking and Insurance, delivered the keynote address.

USAID’s Financial Sector Development Program seeks to strengthen Albania’s financial sector stability and increase public confidence in the banking system in order to stimulate private sector growth, foreign direct investment, and job creation. The program funds 10-15 short-term missions per year to work with the Bank of Albania and Albania’s Financial Supervisory Authority to build the capacity of the institutions and personnel on risk management and supervision of commercial banking and insurance companies. 

Albania’s FSA was established in 2006 to regulate Albania’s non-banking financial sector.  USAID helped draft and comment on legal amendments on the 2006 Law on the Financial Supervisory Authority based on international best practices. Amendments to the law will also support Albania's compliance with EU directives that require financial regulators to be independent of any other authority or economic actors and held accountable to government, industry, and consumers.  The amendments will increase the level of independence and accountability of FSA as a public institution.  Later this year, the amendments will be submitted to the Council of Ministers and sent for Parliament approval.