(Unofficial translation)

Riga, 11 July 2013 Regulation Nr. 109


Regulation for Preparing the 'Calculation of the Reserve Base and Reserve Requirement'

Issued pursuant to
Paragraph 2 of Article 39
of the Law "On Latvijas Banka"

I. General Issues

1. The Regulation outlines the procedure for preparing and submitting the "Calculation of the Reserve Base and Reserve Requirement" (hereinafter, the Report) by credit institutions registered in the Republic of Latvia, branches, registered in the Republic of Latvia, of credit institutions registered in other countries, and credit unions registered in the Republic of Latvia subject to reserve requirements (hereinafter, a reporting institution), and stipulates the reporting deadline.

2. The terms "MFIs", "non-MFIs", "deposits redeemable at notice" and "repo transaction" are used in the same meaning as in the Latvijas Banka regulations stipulating the procedure for compiling the "Monthly Financial Position Report" of MFIs.

3. The reporting institution shall compile the Report, taking into account the requirements for the calculation of the reserve base stipulated by Regulation (EC) No. 1745/2003 of the European Central Bank of 12 September 2003 on the application of minimum reserves.

4. Information disclosed in the Report shall confirm the calculation of the reserve base and reserve requirements by the reporting institution.

5. Latvijas Banka may provide the information disclosed in the Report to the institutions referred to in Paragraph 2 of Article 40 of the Law "On Latvijas Banka", subject to the provisions stipulated by the above Law.

II. Procedure for Compilation and Submission of the Reports and Reporting Deadline

6. A reporting institution shall compile the Report for the situation as at the end of the reporting month and shall submit the above to Latvijas Banka within seven business days after the end of the reporting month.

7. The Report shall be submitted in electronic form pursuant to the Latvijas Banka regulation stipulating the procedure for electronic exchange of information with Latvijas Banka.

8. The euro shall be the reporting currency used in the Report. In the Report, liabilities denominated in foreign currencies shall be reported in euro in accordance with the official exchange rate set for the relevant foreign currency on the last day of the reporting month.

9. Where it is established that the submitted Report contains errors, the reporting institution shall submit to Latvijas Banka a corrected Report immediately but no later than within one business day preceding the start of the relevant maintenance period.

10. The Report shall also be submitted to Latvijas Banka where outstanding liabilities used in the calculation of the reserve base are zero.

III. Procedure for Filling in the Report

11. The reporting institution's liabilities used for the calculation of the reserve base and reserve requirement, as well as the reserve base and reserve requirement shall be reported in the Report.

12. The reporting institution's liabilities shall be reported in accordance with the Latvijas Banka regulations stipulating the procedure for compiling the "Monthly Financial Position Report of MFIs".

13. The reporting institution shall calculate the reserve base and reserve requirements in compliance with Regulation (EC) No. 1745/2003 of the European Central Bank of 12 September 2003 on the application of minimum reserves stipulating the requirements for the calculation of reserve base, subject to the reserve ratios and application of such ratios to the calculation of reserve requirement.

14. Liabilities to Latvia's MFIs subject to reserve requirements and liabilities to other euro area MFIs subject to reserve requirements, and to the ECB and other euro area national central banks shall be reported separately in the Report under "Liabilities to MFIs, excluding Latvijas Banka".

IV. Final Provisions

15. The Latvijas Banka Regulation No. 86 "Regulation for Calculating and Fulfilling the Minimum Reserve Requirements for Credit Institutions" of 15 March 2012 shall be deemed invalid (Latvijas Vēstnesis, 2012, No. 45).

16. The Latvijas Banka Regulation No. 108 "Regulation for Preparing the "Calculation of the Reserve Base and Reserve Requirement" for Credit Unions" of 11 July 2013 shall be deemed invalid (Latvijas Vēstnesis, 2013, No. 138).

17. The "Regulation for Calculating and Fulfilling the Minimum Reserve Requirements for Credit Institutions" of 15 March 2012 shall be applied to the Reports submitted by credit institutions for December 2013. The Reports referred to in this Paragraph shall be submitted to Latvijas Banka by 10 January 2014.

18. The "Regulation for Preparing the "Calculation of the Reserve Base and Reserve Requirement" for Credit Unions" of 11 July 2013 shall be applied to the Reports submitted by credit unions for December 2013. The Reports referred to in this Paragraph shall be submitted to Latvijas Banka by 10 January 2014.

19. The Regulation shall take effect on 1 January 2014.


Governor of Latvijas Banka

I. Rimšēvičs