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Press Release of March 31, 1999

 

On March 31, 1999 the Board of the Bank of Latvia approved the "Regulation for Bank Term Deposits with the Bank of Latvia" that will be effective as of April 12, 1999 and will replace the "Regulation for Term Deposits of Commercial Banks with the Bank of Latvia".

The new regulation provides an option for banks to submit their applications for term deposits electronically via the S.W.I.F.T. system. In the future not only banks and branches of foreign banks licensed by the Bank of Latvia, but also banks that have been declared insolvent, bankrupt or to be liquidated will be allowed to make term deposits with the Bank of Latvia. The regulation also prescribes amended procedures for calculation of interest on the basis of 360 days instead of 365 days as in the former regulation.

The Bank of Latvia Board allowed the joint stock company "Baltijas Starptautiska banka" to increase its paid up share capital to LVL 2 096 025.