Corporate governance in Kosovo has received less focus and has generally been characterised by slower development in past years. This is predominantly as a result of the dominance of family-owned business and, until recently, the existence of un-privatised Public Owned Enterprises (PEOs). However, corporate governance is addressed in Kosovo’s legislation on business entities, POEs and state-owned enterprises, as well as the legislation on the banking sector. The Central Bank of Kosovo as an integrated financial regulator has been at the forefront of promoting good practices in corporate governance and continues to encourage financial institutions under its supervision to improve their corporate governance practices.
RTC Consulting and Recura working together with the International Finance Corporation (IFC), a World Bank Group member, offer services in corporate governance to companies, financial institutions and the wider market through one-to-one consultations, training events, workshops and various other tailored activities.
Corporate governance is more than simply about compliance. It brings real benefits to business by outlining clear structures, processes, and frameworks for achieving corporate objectives. Good corporate governance practices when properly integrated into a company’s objectives and strategy enable quicker progress towards the achievement of business goals and a higher return on investment.
Key features of how good corporate governance practices help companies include, but are not limited to:
• Enhancing performance, operations, competitiveness, profitability and long-term value
• Establishing clear roles, responsibilities and accountabilities
• Improving decision-making processes and the quality of decisions taken
• Defining and implementing corporate strategy and direction
• Expanding in a sustainable manner
• Identifying and managing risks
• Enhancing the substance and structures of internal controls
• Creating appropriate incentives in line with business strategy
• Attracting capital, investment, and business partners
• Building reputation and trust by the strengthening of stakeholder relationships
• Future-proofing by preparing the business for the next generations of employees and leaders
RTC supports the Corporate Governance Program in Kosovo by delivering clients the following services:
• Assisting companies in Kosovo to implement good corporate governance practices by delivering workshops, training events, seminars, conferences and best practice
• Developing Corporate Governance-related knowledge products for both business and government
• Monitoring new legislation, regulation, codes and other business tools to support the Corporate Governance Framework and providing input on the corporate governance aspect of such legislation, regulations, codes or other tools to support the CG Framework