Bank of Lithuania
2011-05-19

The codes of ethics for the Board of the Bank of Lithuania and for the staff supplemented    

Today, the Board of the Bank of Lithuania supplemented the codes of ethics for the Board of the Bank of Lithuania and for the staff with wordings that define more clearly when a member of the Board or a staff member must stand aloof from the discussion and preparation of draft decisions regarding an undertaking in which an individual close to him has private interests. This must be done where the individual close to a member of the Board or to a staff member is the head of that undertaking.  

The codes of ethics that had been effective until now had established the principles and standards to be observed by members of the Board and staff members in order to avoid situations that may result in a conflict between public and private interests. However, the codes had not established who should be held the head of the undertaking in which the individual close to a staff member has private interests. In the supplemented codes of ethics, the descriptions of the head comply with the Republic of Lithuania Law on Banks, Law on the Central Credit Union, and Law on the Credit Unions.  

Another 4 paymentinstitution licences

By decision of the Board of the Bank of Lithuania, payment institution licences were granted to another four undertakings: UAB ”Jonavos paslaugos”, AB “Panevėžio butų ūkis“,  UAB “Tauragės butų ūkis” and UAB “Viena sąskaita”. An intermediator of UAB “Perlo paslaugos”, UAB “Norfos mažmena” was also included in the public list of payment institutions. A total of 11 undertakings have been granted licences for the provision of payment services.   

General Provisions for the Calculation of Capital Adequacy amended

The Board of the Bank of Lithuania amended the General Provisions for the Calculation of Capital Adequacy taking into account the amendments to the Republic of Lithuania Law on Financial Institutions and the Republic of Lithuania Law on Banks adopted on 21 April 2011. The Provisions established the procedure for calculating capital adequacy and assessed credit, market and operational risks. The requirements shall be applicable to all commercial banks holding a licence from the Bank of Lithuania and to the Central Credit Union.  

Aiming at the uniform use of concepts in the document of financial institutions and of the Bank of Lithuania, in the amended Provisions group of interrelated clients was characterised the same as in the Law on Financial Institutions.   

In the Provisions, the name of the component of capital which, by the shareholders’ decision, can be compiled of the profit of the previous financial year and is meant for the acquisition of treasury stock (“special retained reserve”) was made the same as in the Law.          

As the requirement of large exposures in excess of 10 per cent of the bank’s capital was eliminated in the Law on Banks, it was deleted in the Bank of Lithuania’s document. The requirement will no longer be applied either to the banking book or the trading book.  

Decision on collector coin mintages

The Board of the Bank of Lithuania approved a revised programme of issue of collector (commemorative) coins for 2010–2011 envisaging to issue this year 5,000 pieces of gold coins dedicated to Basketball, silver coins dedicated to the Vilnius Upper Castle (from the “Historical and Architectural Monuments of Lithuania” series) and to the Games of the XXX Olympiad in London (5,000 pieces of each).