Bank of Lithuania

1. The Board decided to issue permission to the Latvian company Akciju komercbanka "Baltikums" to operate a representative office in the Republic of Lithuania.

In the documentation presented to the Bank of Lithuania the Bank indicated that its purpose was building and developing economic relations in the Republic of Lithuania, conducting marketing research, collection and analysis of financial market information, study of development prospects and representation of the Bank’s interests.

Akciju komercbanka "Baltikums" started operating in mid-2001. The core capital of AS Baltikums is LTL 20,867,350, its assets are LTL 57,147,634 (based on the exchange rates of 7 June 2002). Permission to establish a representative office was granted to the Bank on 18 June 2002.

Further information about the Bank is available at

2. The Board decided to introduce amendments to the rules for issuing and revoking licences of commercial banks.

The amendments removed the provision that a bank under establishment is issued a banking license together with the registration certificate, as, with the entry into effect of amendments to the Law of the Republic of Lithuania on the Register of Enterprises as from 1 July 2002, registration certificates to undertakings, including banks, are issued by the State Land Cadastre and Register.

3. The Board resolved to introduce partial amendments to the Board Resolution "On Bank Insolvency"

The new edition of the Resolution specified insolvency criteria. Henceforth, a bank may be declared insolvent on at least one of the following grounds:

  • Capital adequacy calculated pursuant to the Rules for the Calculation of Capital Adequacy is equal or less than 6 per cent for three consecutive months;
  • The value of the bank’s net assets is lower than its liabilities;
  • The bank is unable to meet a reasonable financial claim of at least one creditor during a period of 14 days.

4. The Board decided to acknowledge that Sampo Bank meets the requirements and criteria set in the Government Securities Auction Regulations and Requirements to the Participants of Government Securities Auctions.

The Board also decided to accept the application of the Bank to conclude the Auction Participant’s Agreement with the BoL.

5. The Board recognised that all Government securities auction participants complied with relevant requirements and criteria and performed their obligations.

Five auction participants are currently authorised and obliged to participate in GS auctions conducted by the BoL: Hansa-LTB, Agricultural Bank of Lithuania, Bank "Snoras", Vilniaus Bank and the financial brokerage company Finasta.

The compliance of auction participants with such requirements and criteria and performance of their obligations is reviewed and discussed by the BoL annually.

6. The Board considered the request of Bank "Snoras" to mitigate the enforcement measure restricting the Bank’s operations with non-residents registered in the countries of increased asset risk.

The Board decided not to change the enforcement measure applied by Resolution of the Board of 4 July 2002.