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Banking System in Latvia
|Members of banking system in Latvia||4|
|The Bank of Latvia||4|
|Banking system in Latvia||6|
|A history of the Latvian banking system||6|
|The advantages of Latvia's banks||9|
|The Latvian banking system problems||12|
Members of banking system in Latvia
The Bank of Latvia
The Bank of Latvia is an independent entity that carries out its tasks in the public interest and with a high sense of professional responsibility. It is a full-fledged participant in the European System of Central Banks and cooperates with other institutions of the European Union, developing stable and favourable environment for the economic growth of Latvia.
The Bank of Latvia is the central bank of the Republic of Latvia. The main objective of the Bank of Latvia is to implement monetary policy by controlling the amount of money in circulation with the aim to maintain price stability in the State. The Bank of Latvia is the sole bearer of the right to issue the national currency, banknotes and coins.
The Bank of Latvia's functions are set out in the Republic of Latvia Law "On the Bank of Latvia". Among the most important objectives of the national central bank are the following:
• to establish and implement monetary policy in order to ensure price stability in the country;
• to issue the national currency;
• to organise and ensure the functioning of the payment and settlement systems in Latvia;
• to collect, record and aggregate the financial information and the data of the national payment balance, as well as to publish the processed statistical information;
• to manage foreign assets;
• to act as financial agent for the government.
• to issue permits (licences) to legal persons listed in the Republic of Latvia.
Register of Enterprises, except credit institutions, for the purchase and sale of foreign currency as a business activity.
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