Banks, EU – Baltic States, Financial Services, Latvia, Legislation

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Dombrovskis, a former economics minister of Latvia, indicated that Brexit creates not only challenges, but also opportunities. “Great Britain’s decision to depart from the EU is clearly a big shock and huge challenge to the EU government and also to those member states that benefit from EU funds, including Latvia. But at the same time it is also important to see the opportunities arising from such fundamental changes in the EU,” Dombrovskis said.

In his words, several British banks have already indicated that they consider partial relocation to other EU member states. Frankfurt, Dublin and Madrid are regarded as the main favorites, but Latvia’s chances in this competition for human and financial capital are not bad either, Dombrovskis said.

“The Lithuanian government with its proactive steps, for instance, has persuaded such internationally renowned financial institutions as Barclays and Western Union to relocate some of their operations to Vilnius, which has provided several hundred well-paid jobs in the Lithuanian capital. Latvia has to be ready not only to offer good conditions to the potential investors, but also to ensure active and coordinated work of its state authorities, to prove that Riga and Latvia are the best places for doing business,” the economist said.