For fintech operators, e-money institutions, and payment service providers, access to reliable, compliant, and scalable financial infrastructure is a decisive factor for business growth. Latvijas Banka enables direct participation in SEPA through its Electronic Clearing System (EKS), allowing non-bank payment service providers to execute instant and regular credit transfers quickly, securely, and cost-effectively. Latvia offers a unique combination of digital readiness, financial connectivity, and regulatory clarity that creates a strong platform for operating and expanding payment services across Europe.
Below are three key aspects that every European fintech company should know about the opportunities available through Latvijas Banka and the Latvian financial environment:
#1 Direct participation in SEPA through Latvijas Banka's Electronic Clearing System (EKS)
Latvijas Banka enables non-bank payment service providers to join the EKS and execute instant and regular SEPA credit transfers to any payment service provider reachable within SEPA in a reliable and cost-effective way. This eliminates reliance on intermediary institutions and ensures consistent and transparent settlement processes.
Jānis KatkovskisHead of the Payment Systems Operations Division of Latvijas Banka"Direct connectivity to the EKS places payment and e-money institutions on equal footing with established participants like credit institutions, ensuring faster transactions, enhanced transparency, and a secure platform for scalable innovation. We are seeing strong interest in this service both from institutions in Latvia and across the EU, reflecting a clear market demand for efficient and trusted SEPA infrastructure operated by a central bank. Ten European non-bank payment service providers have already joined the EKS, and more than ten are in the pipeline."
A typical example could be a European fintech institution that previously routed payments through intermediary banks or a newly licensed fintech looking for an efficient way to start operations. However, even if a fintech is not yet licensed, it can already start technical integration and testing, saving time and enabling a faster connection to the EKS once the respective licence is obtained. Several SaaS providers offer connectivity to the EKS to speed up the process, but fintechs are free to choose in-house solutions.
#2 Additional verification and payment related services
The Instant Verification Service, developed by Latvijas Banka in compliance with Regulation (EU) 2024/886 and the EPC Verification of Payee scheme, enables real-time verification of an IBAN against a payee's name or identifier. Service providers may choose to delegate the responding-side to Latvijas Banka, thereby reducing in-house availability needs.
Every Verification of Payee scheme participant can become a user of the Instant Verification Service, and the EKS system participants do not even need a separate agreement.
In addition, the Instant Payment Laboratory – a dedicated testing environment – enables fintechs and payment companies to prototype and experiment with payment solutions and related services in a secure and interoperable environment, supported by guidance from Latvijas Banka's specialists.
#3 A financial ecosystem that supports innovation
Latvia has developed a supportive regulatory and technological landscape that encourages responsible innovation. The onboarding process for Latvijas Banka's payment services is structured, transparent, and supported by professional consultation, enabling participants to join efficiently while meeting regulatory and technical requirements.
As Europe moves towards more integrated and transparent payment solutions, Latvia's combination of strong digital infrastructure, central-bank-operated payment systems, and a collaborative regulatory approach creates a favourable environment for both emerging fintechs and established payment operators.
Organisations interested in participating in the EKS or using the Instant Verification Service are invited to contact Latvijas Banka at
Further information is available at bank.lv.