minute information on the financial markets not only to carry out monetary policy but also to perform its function as the lender of last resort. though stripped of the banking supervisory function, the bok has been given the statutory right to request managerial information from banks and to ask the fss to examine banks with it on a joint basis. it can also ask the fss to examine banks on specific areas of concern to the central bank. in actual practice, though, the bok has had considerable difficulty in gathering information. banks often took a negative attitude toward the bok ’ s demand for managerial information. moreover, the bok has no right to demand information from non - bank financial institutions. under these circumstances, the bok has prevailed upon the fss to provide it with materials such as the reports filed by financial institutions. this january, the bok, the fss, and the kdic agreed a memorandum of understanding providing for a dramatic increase in information sharing among them. this means that the central bank is now able to collect managerial information both from banks and non - bank financial institutions. another area of concern was the on - site examinations to check banks ’ managerial status. in its early days, the fss was reluctant to accept the bok ’ s requests for bank examination, even though it was legally stipulated that the fss should accept the bok ’ s demands for bank examination. in 2002, the fss went so far as to turn down the bok ’ s demand for a joint examination. this clash spurred the two organizations to draw up a memorandum of understanding in october 2002 after a hard negotiation. under it, the fss must accept the bok ’ s demand for joint examination provided the mpc decides this necessary. the arrangements, nonetheless, suffer from the limitation that the bank has no option but to stick to the fss ’ s examination schedule. it is still impossible for the bok to hold an on - site examination when it judges this warranted. it was a big issue whether to give the bok the power of independent examination, even at the time of reforming the financial supervisory system in 1997. on that occasion, the bok took the position that it should be free to examine banks at its own discretion. the national assembly, however, accepted the government ’ s argument that if the bok examined banks independently of the fss, the burden on the financial institutions might be too heavy and that joint examinations should be held with the bok joining in

3 bis - central bankers'speeches financing with more favourable conditions. on the other hand, insurance - covered agricultural products, despite efforts in this sector, remain at low levels, where the sum insured is totally non - significant. however, in terms of legal infrastructure and technical capacities, progress has been made, which serves as a good basis for the future. we encourage lending institutions to increase lending to the agricultural sector with more affordable conditions and insurance companies to increase voluntary products and coverage, especially in the agricultural sector, while we recommend to the ministry of agriculture, forestry and rural development, when drafting such policies, to enable agricultural insurance to be prerequisites for farmers when obtaining grants and subsidies, in order to ensure the sustainability of investments, yields and sector as a whole. thus, regarding agricultural insurance, the cbk, based on its scope and as an implementing partner in this project, has contributed to the licensing, regulation and supervision of the activities and products of insurance companies, which have expressed interest in expanding their activity to cover the risks associated with the agricultural sector. insurers initially built their capacities through staff training on product development, insuring, measuring risks through actuaries and providing these products to clients dealing with the agricultural sector. this project should also be of particular importance due to the fact that it would enable customers in the agricultural sector to have more favourable conditions through financing from banks and lending institutions, increased competition, sustainability and development independence without becoming a burden of state aid to cover losses associated with climate events such as frosts, hail, drought or excessive climate rainfall. therefore, although the legal and regulatory basis as well as the initial capacities have been built, despite the engagement, the field results still leave much to be desired, and require serious review, so the opportunities should be seen to advance these schemes with more innovative and comprehensive forms, as a prerequisite for further growth of this sector and contributing to the real economy. on this occasion, i want to thank the international finance corporation for the ongoing support given to public institutions, businesses and financial institutions operating in kosovo as well as the ministry of agriculture, forestry and rural development for the contribution to this project and the willingness to further advance this sector of vital importance to the country's economy. we are witnesses that the climate risks and the environment have become a problem of this century where governments, regulators, businesses and individuals are taking the necessary actions in response to this critical issue. therefore, the cbk has addressed this issue through