UNMIK/PR/40
Press Release
02 September 1999
KOUCHNER SIGNS REGULATION ON FOREIGN CURRENCY
Pristina - Bernard Kouchner, Special Representative
of the Secretary General, today signed a regulation allowing the use of foreign
currency for payments and contracts in Kosovo.
"This is an
important first step towards the creation of functioning banking, payments and
fiscal systems in Kosovo," said Joly Dixon, Deputy Special Representive for
Economic Reconstruction and Development. "The dinar is the currency of all of
the Federal Republic of Yugoslavia. This regulation does not impose the use of
Deutsche Mark (DM). However, it recognizes that the DM has been the preferred
currency in Kosovo for some time. It is now necessary to put this on a firm
legal basis."
Residents of Kosovo have long been conducting business using foreign currency, particularly in marks. With the signing of the regulation, residents will have no legal restrictions for the possession or use of any foreign currency.
Obligatory payments to authorities, such as customs
duties, taxes and fines, will also be paid in marks. Anyone wishing to make such
payments in other currencies, such as dinars, will be allowed to do so, but an
administrative fee will be levied to cover administrative and handling
costs.
The United Nations Interim Administration in Kosovo (UNMIK)
will keep its budgets and accounts in marks. UNMIK will continue to accept
payment in dinars or any other currency in wide circulation, such as US dollars
or Swiss francs, Dixon said. However, a fee will be charged to defray the
cost for using multiple currencies.
Under the regulation, the YUD retains its legal
status and will continue to be used to the extent that businesses and people in
Kosovo so desire. Dixon said UNMIK is not considering creating or issuing a
separate currency for Kosovo.
For more information: Scott Brown (+381)
38.500223 ext 4189, Rutger Wissels (+381) 38.500223 ext
4187