2006-07-28
1. The Board took a decision to make an order in 2006 to 2008 for 60 million pieces of 1 centas circulation coins of 1991 issue, as well as 28 million pieces of 2 centas coins, 10 million litas 5 centas coins
1. The Board took a decision to make an order in 2006 to 2008 for 60 million pieces of 1 centas circulation coins of 1991 issue, as well as 28 million pieces of 2 centas coins, 10 million litas 5 centas coins, 14 million pieces of 10 centas and 9 million pieces of 20 centas circulation coins of 2007 issue to be minted.
2. The Board was presented the Lithuanian Economic Review prepared by the Economics Department of the Bank.
3. The Board was presented the report on the management of foreign assets in the first half of 2006. The Market Operations Department underlined in its report the record-low interest rate environment of investment. Low interest rates and prevailing growth of long-term interest rates had a major effect on the investment results. Safety and liquidity remain the key priorities for the management of foreign reserves. The report presented an overview of the parameters of foreign reserve-related risks as well as the analysis of various scenarios of market behaviour and their effects on the Bank’s financial results. The investment strategies used by the Bank have proved consistent in terms of the requirements raised for them.
4. The Board was presented a report on the Bank’s budget revenues and expenditure in the first half of 2006.
5. The Board gave permission to UAB Medicinos Bankas to include a 10-year subordinated loan from the bank’s stockholder Saulius Karosas into Tier II capital. The capital basis of Medicinos Bankas will go up to LTL 58.3 million after the newly received subordinated loan is included in the bank’s Tier II capital, based on the data as of 1 July this year.
6. The Board established that according to paragraph 13(2)(5) of the Rules for the Calculation of Capital Adequacy, approved by Resolution No. 172 of the Board of the Bank of Lithuania on 21 December 2000, a bank may classify retained assets of the current year as Tier II capital only upon the submission to the Bank of Lithuania of requested documents and receiving permission of the Bank of Lithuania. The procedure will be in force until the end this year.
7. The Bank of Lithuania was presented a report on the operations of the domestic credit institutions and the work of the Credit Institutions Supervision Department in the second quarter of 2006.
8. The Board of the Bank of Lithuania gave permission to AB Bankas Snoras to include into Tier II capital a subordinated loan of EUR 20 million (equivalent of LTL 69.056 million) received from Vladimir Antonov. The loan has been issued for 15 years. After Snoras includes the newly received subordinated loan into its Tier II capital, its capital base will increase to LTL 223 million.