We aim to contribute to the stability of Lithuania’s financial system, hence we constantly monitor and assess vulnerabilities in the system as well as take measures to ward them off. In pursuing this goal, we not only carry out a full-fledged analysis of the financial system, but also actively mitigate threats to it, thereby implementing macroprudential policy.
The primary objective of macroprudential policy is to ensure financial stability. We have at our disposal a wide range of macroprudential instruments that help reduce imbalances and their impact on the financial system. Major instruments include the Responsible Lending Regulations, limiting unsustainable household indebtedness, and capital buffers applied to banks, used for enhancing resilience of the financial system.
We prepare and publish Financial Stability Reviews, surveys of financial institutions, enterprises, households and real estate market participants, as well as other information related to financial stability. In conducting various stress tests, we regularly assess the financial system’s resilience to adverse internal and external shocks.