Use of Resolution Fund

The use of the resources of the bank resolution fund is decided by the Bank of Albania, as the resolution authority, to cover the needs related to the effective application of the resolution tools, for the following purposes:

1. to guarantee the assets or the liabilities of the bank under resolution, its subsidiaries, a bridge bank or an asset management vehicle;
2. to provide with liquidity  the bank under resolution, its subsidiaries, the  bridge bank or the asset management company;
3. to purchase assets of the bank under resolution;
4. to contribute in capital and ensure other necessary funds to a bridge bank or an asset management company;
5. to pay compensation to shareholders or creditors in accordance with Article 58 of Law no.133/2016;
6. to compensate the bank under resolution the uncovered loss arising due to the exclusion of eligible liabilities of certain creditors arising from the application of the bail-in tool in accordance with paragraph 1 of Article 31 of Law no.133/2016;
7. to take any action by combining the possible actions provided in letters "a" to "f" herein;
8. to pay reasonable costs incurred by the Resolution Authority in relation to the application of the resolution tools or powers if not compensated in accordance with paragraph 4 of Article  25 of Law no.133/2016;
9. to cover the costs for administration of the "Resolution Fund";
10. to repay obligations and loans obtained pursuant to Article 72 of  Law no.133/2016;
11. for every payment for damage compensation pursuant to a final administrative or court decision, in accordance with the provisions of this Law