Published: 28.11.2022

One of the strategic directions of Latvijas Banka is FinTech support, as well as promoting innovation in the financial system.

FinTech is technology-based financial innovation that enables the development of a new business model or a way of applying it, a new process or service that changes the former approach. It should focus on promoting competition, providing a better quality, more efficient, faster and modern service to the Latvian customer.

In cooperation with other public institutions the intention of Latvijas Banka is to create a friendly environment for FinTech, which would promote innovative financial services in Latvia and attract new companies to provide these services.

Our objectives:

  • to promote the development of FinTech environment,
  • to provide support for new and existing financial market participants,
  • to encourage an innovative and friendly environment in the financial sector,
  • to ensure regulation and consumer protection,
  • to identify and assess the risks to participants and outline supervisory measures,
  • to improve regulation.

Latvijas Banka's Innovation Hub provides professional advice in the field of innovative technology in the Latvian and English languages to the financial sector operators and owners of innovative business ideas.

Latvijas Banka's Regulatory Sandbox, existing or potential financial market participants have an opportunity to test innovative services and verify their compliance with regulatory requirements.

Latvijas Banka is empowered to supervise the financial sector. Therefore in parallel with providing expert advice on FinTech or the application for the Regulatory Sandbox, Latvijas Banka encourages consideration of the issues related to fair commercial practices, consumer rights protection, personal data processing and applicable taxes, which are responsibility of the State Revenue Service, the Consumer Rights Protection Centre of the Data State Inspectorate.

Support for start-ups in various programs has been also provided by the Investment and Development Agency of Latvia, as well as associations established by market participants.