Banks, Cooperation, Financial Services, Latvia, USA
International Internet Magazine. Baltic States news & analytics
Friday, 29.03.2024, 09:55
The introduction of recommendations of independent testing will raise the operating standards and international competitiveness of Latvia’s banks
All the tested banks plan to implement the recommendations
by the end of 2017, thereby improving their control systems and provision of
services. The heads of all the banks will allocate the required resources and
will personally monitor the qualitative and punctual expenditure of such funds.
As of
November of this year, 12 Latvian banks which are focussed on serving foreign
clients had completed independent testing performed by US consultants using a
common methodology. The independent testing evaluated the compliance of
internal control systems with US standards for the prevention of the
legalisation of illegally-obtained funds and financing terrorism, and
recommendations have been prepared for further improvement.
Latvia’s
banks comply with EU and Latvian operational standards. Therefore, compliance
with US requirements is additional affirmation that Latvia’s banks wish to work
within the strictest best practice standards, thereby exceeding the
requirements set by EU and Latvian regulatory acts. Fulfilment of these quality
standards also strengthens the reputation of Latvia’s banking sector and
cooperation with foreign correspondent banks, moreover the testing process
provided valuable experience and increased the practical knowledge of bank
employees.
Preventing
the legalisation of illegally obtained funds is an increasingly important
everyday task for Latvia’s banks, which are devoting and will continue to
devote all necessary effort and resources to performing this duty in accordance
with international best practice and regulations.