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In a Balkan country two weeks from now, you can only pay in euros, even though it is not an EU member state

In a Balkan country two weeks from now, you can only pay in euros, even though it is not an EU member state

The Central Bank of Kosovo announced on Wednesday evening its decision, according to which only euros can be accepted for cash payments throughout the country from next month, that is, cash circulation will be stopped even in those settlements where the majority of Serbs live. The Serbian dinar was the main currency in these settlements until now. This remained so even when the Serbian-Kosovo conflict ended in 1998-1999 and after Kosovo declared its independence from Serbia in 2008.

The leadership in Pristina justified the current decision by saying this The Serbian dinar enters Kosovo through the Serbian institutional system, bypassing the Central Bank of Kosovoso its path is completely untraceable and can even turn into illegal activity.

According to Prishtina, the attackers who attacked police officers near the town of Banjska last September were funded through these illegal channels.

On September 24, a gunfight broke out between masked gunmen of Serb nationality and Kosovo police in northern Kosovo, which continued throughout the day. One policeman was killed, another was injured, and four attackers were shot. Although a local Serbian politician claimed responsibility for the attack, the instigators and supporters of the militants are still being investigated.

According to Serbian President Aleksandar Vucic, the move in Pristina undermines the dialogue between Serbia and Kosovo that has been ongoing for more than ten years through the mediation of Brussels, and its purpose is to expel the Serb population from Kosovo. During his meetings at the World Economic Forum in Davos, the Serbian Head of State also updated the politicians and diplomats present on the latest developments.

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Miroslav Lajcak, the European Union Commissioner responsible for the dialogue between Serbia and Kosovo, confirmed that the Serbian and Kosovo parties informed him of the plan to stop the flow of funds. He expressed his hope that the situation would not worsen because of this and that the two sides would find a peaceful solution. He added that he informed the competent bodies in the European Union of the planned action in Kosovo and Serbian concerns The European Union will soon take an official position on this issue.

According to official data, about half of the Kosovo Serb population receives their pensions, salaries or social support from the Serbian budget in dinars.

If in the future they can only pay in euros in the territory of Kosovo, this could mean a loss for them during currency exchange.

Cover image source: Getty Images

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