Bank of Lithuania

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.

Risks to the financial system

In undertaking their activities, financial institutions face various risks. Learn more about most common risks to financial institutions.

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Structure of the financial system

  31/12/2018
  Number Assets, EUR millions Assets, % Annual change in assets, % Assets as % of GDP
Banks 13 28,610 77.9 4.7 63.4
Banks, excluding foreign bank branches 6 27,025 73.6 7.2 59.9
Foreign bank branches 7 1,585 4.3 -24.9 3.5
Credit unions 65 741 2.0 8.2 1.6
Central credit unions 2 163 0.4 15.5 0.4
Leasing companies 10 1,951 5.3 22.4 4.3
Insurance market 9 1,546 4.2 5.4 3.4
Life assurance undertakings 5 892 2.4 0.0 2.0
Non-life insurance undertakings 4 654 1.8 13.6 1.5
Capital market participants 75 498 1.4 -27.5 1.1
Financial brokerage firms 7 9 0.0 -20.7 0.0
Management companies 13 32 0.1 17.6 0.1
Collective investment undertakings 20 178 0.5 –14.5 0.4
Foreign collective investment undertakings 35 279 0.8 -36.6 0.6
Investment holding companies - - - - -
Pension funds 38 3,222 8.8 7.1 7.1
Second pillar pension funds 26 3,118 8.5 7.1 6.9
Third pillar pension funds 12 104 0.3 7.6 0.2
Financial system 212 36,731 100.0 5.2 81.4
Stock exchange capitalisation - 8,319 - 9.1 18.4
Listed shares - 3,335 - -11.3 7.1
Listed debt securities - 4,984 - 28.9 11.0

Sources: NASDAQ OMX Vilnius, Statistics Lithuania and Bank of Lithuania calculations.

Notes: 1) End-of-period data. 2) The totals in the table may not correspond to the sum of components due to rounding. 3) Unconsolidated bank data. 4) To ensure data comparability, annual change in assets is calculated including only those entities that were active during the entire period for which the change is calculated, if such data is available.

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Last update: 20-07-2018