Annual Report - Raiffeisen Bank Kosovo JSC

Corporate Banking
Liquidity and Interest Rate Risk Management
The overall liquidity and interest risk management of the Bank are the responsibilities of the
Treasury Department. The internal controls and additional risk control tools established by Raiffeisen
International Risk Management enable controlled risk management of the overall Treasury. The risk
management and risk control tools have been established according to the latest risk management
know-how, for which Raiffeisen Zentralbank has won numerous awards. The main Risk Management
Tools have been endorsed by Raiffeisen International and are applied by Raiffeisen International
Network Banks.
Liquidity reporting on a weekly basis at business segment level, monitoring of stickiness ratio
separately for all business segments, banking book limits and reports which measure the interest
risks and gaps, are currently the tools applied to manage and limit the underlying risk of conducting
business.
Active interest rate Risk Management, for example Interest Rate Swaps and variable rate loans, are
areas increasingly being focused on. These are utilised, primarily, in order to manage risk in the short
term and to offer hedging instruments for our Customers, but also to secure the long term profitability
of the Bank.
Foreign Exchange
Kosovo is a part of the Euro-zone. This has limited the potential of the Foreign Exchange business.
We have explored this potential in the USD, GBP and CHF market, and achieved a good market
share in the areas of oil derivative imports and food imports from South America and Asia. In
effect the profitable Foreign Exchange business has increased our turnover in the transfer income
commission business and increased our capabilities to offer our Customers a complete solution to
their financial requirements. We have also developed a new line of business: working with official
exchange offices in Kosovo, who collect foreign currency from the retail markets.
Glossary Macroeconomic Environment Overview Segment Reports Financial Statements Addresses
www.raiffeisen-kosovo.com
23