Authorities mobilised after microfinance institution IuteCredit sues the Republic of Kosovo

Gazeta Express

26/10/2020 14:04

The Estonian parent company of the microfinance institution IuteCrtedit Kosovo has submitted a request for arbitration to the International Court of Arbitration after the Central Bank of Kosovo has revoked its license.

Minister of Justice, Selim Selimi, met Monday the Governor of Central Bank of Kosovo, Fehmi Mehmeti, which was attended also by the general state lawyer, Sami Istrefi. Selimi wrote on Facebook that he assured the CBK that they will take all necessary steps to face the Arbitrage Court. “The Ministry, in this case the State Lawyer asks the relevant authorities be prepared and respect the legal deadlines of the Arbitrage Court in order not to get punished. No one can benefit by harming citizens or violating applicable laws,” Selimi wrote.

According to IuteCredit Europe, by revoking the business licence, Kosovo breached several obligations under the Foreign Investment Law.

According to the announcement of the Central Bank of Kosovo from December 6, 2019, the licenses for the business in this country have been revoked for loan originators IuteCredit and Monego, which as the CBK said have consistently deviated from their business plans, on the basis of which they obtained licenses to operate in Kosovo, thus bringing something to our market other than what they had promised they would bring.

IuteCredit is an Estonian-origin international microcredit and fintech company focusing mostly on instalment loans, including car loans. /GazetaExpress/