Published: 29.11.2022 Updated: 24.05.2024

Where at first sight it seems that any authorisation issued by Latvijas Banka is required for the provision of your new innovative service, please learn more about licensing requirements for the provision of regulated financial services (deposit-taking, investment management, capital raising, issuance of financial instruments, provision of payment or electronic money services, insurance).

Allowances available to providers of innovative electronic payment services

For persons intending to provide only an innovative payment service which requires authorisation of a payment institution or electronic money institution, the Law on Payment Services and Electronic Money provides for financial allowances.

In particular, for a person who submits documents for obtaining a licence or registration of a payment institution or an electronic money institution and who intends to provide only innovative payment service, the fee for examining documents is set at EUR 450.

Whereas following the registration or authorisation for such payment institution or electronic money institution, the annual charge for covering expenditure of Latvijas Banka related to the regulation and supervision of the financial market and its participants is set at EUR 1000 for the first three years.

Existing market participant wishing to introduce an innovative solution to the provision of financial service

Financial services, the provision of which must be first authorised, are governed by different laws and regulations.

Market participants supervised by Latvijas Banka shall have the right to provide the authorised financial services after obtaining authorisation.  Market participants do not need to obtain separate authorisation from Latvijas Banka for the introduction of innovative solutions to the provision of their financial services.

Nevertheless, they have to assess whether the innovative solution does not lead to significant changes in the financial service arrangements or does not generate a new financial service that has not been previously provided. In such case, the market participant must inform Latvijas Banka.

It is the responsibility of a market participant to assess at all times the management of innovative solution implementation risk and the impact on the activities of market participant.