North Macedonia's central bank has placed Alta Banka Bitola under temporary administration for up to three months after its Serbian parent lost its operating license.
- About EUR 2 million was withdrawn from Alta Banka Bitola in cash or through transfers.
- The National Bank of Serbia revoked the license of Alta Banka in Serbia, and the Deposit Insurance Agency took over its management.
- Card holders face a weekly withdrawal limit of 10,000 denars (about 19,000 Serbian dinars).
- The central bank says the Bitola bank is liquid, well capitalized and meets supervisory standards.
- Montenegro's central bank separately revoked the payment services license of Alta Pay Group.
North Macedonia's central bank has placed Alta Banka AD Bitola under temporary administration, after roughly EUR 2 million was withdrawn from the bank in cash or through transfers. The measure will last a maximum of three months, said Trajko Slaveski, Governor of the National Bank of North Macedonia.
The move follows regulatory action against the bank's Serbian owner. The National Bank of Serbia revoked the operating license of Alta Banka in Serbia and transferred its management to the Deposit Insurance Agency. On Saturday the bank said that bankruptcy proceedings had been opened, in line with legislation and decisions of the competent regulators.
What the temporary administration means
Slaveski said that under the temporary administration, the management of the bank's assets will be taken over by persons appointed by the National Bank of North Macedonia.
For the duration of the measure, clients will face a withdrawal limit on cards issued by Alta Banka Bitola:
- Maximum of 10,000 denars per week
- Equivalent to about 19,000 Serbian dinars, according to the source
Slaveski said that Alta Banka AD Bitola is liquid, well capitalized and meets supervisory standards. According to him, the restrictions are temporary and aim to protect the bank's funds and the interests of depositors.
He added that the Serbian Alta Banka has a deadline to sell the shares it holds in the Bitola bank. He did not specify the time frame.
Montenegro revokes license of Alta Pay Group
In a separate decision, the Council of the Central Bank of Montenegro revoked the payment services license of Alta Pay Group from Podgorica. The central bank said the company no longer meets the conditions prescribed by law for carrying out that activity.
The decision was made under Montenegro's Law on Payment Operations, following a comprehensive assessment of regulatory requirements. These include the suitability of the holder of a qualifying stake and the need to ensure stable, secure and lawful operation of a payment institution.
The Central Bank of Montenegro stated that the decision poses no risk to the country's financial stability and does not affect the regular functioning of the payment system. It also noted that Alta Pay Group is not a bank, does not accept deposits from citizens or businesses and has no influence on the stability of the financial system.
The central bank said it had taken all actions within its authority in a timely manner, in light of recent events, to ensure that the institution meets its obligations and that the interests of users are protected.
What comes next
The temporary administration in North Macedonia is set to last up to three months. The deadline for the Serbian Alta Banka to sell its stake in the Bitola bank has not been made public. More details on the rights of Alta Banka clients in Serbia are to be published by the bank's administrators, according to the bank's earlier statement.
Frequently asked questions
Why did North Macedonia's central bank place Alta Banka Bitola under temporary administration?
The measure followed the withdrawal of roughly EUR 2 million from the bank and regulatory action against its Serbian owner, whose license was revoked by the National Bank of Serbia. The central bank says the step aims to protect the bank's funds and depositors' interests.
How long will the temporary administration last?
The temporary administration will last a maximum of three months. Persons appointed by the National Bank of North Macedonia will take over management of the bank's assets during this period.
Are there limits on withdrawing money from Alta Banka Bitola?
Yes, clients face a withdrawal limit of 10,000 denars per week on cards issued by Alta Banka Bitola. The central bank describes the restrictions as temporary.
What happened to Alta Pay Group?
The Central Bank of Montenegro revoked the payment services license of Alta Pay Group from Podgorica, saying the company no longer meets legal requirements. The central bank stated the decision poses no risk to Montenegro's financial stability.
