Financial Services, Latvia, Legislation
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Tuesday, 23.04.2024, 15:27
Planned legislative amendments suggest of wish to get rid of FCMC council – ombudsman
Jansons believes that the planned legislative amendments aim
to introduce a system that increases political influence on FCMC in the future.
Jansons noted that the term in the office of the incumbent
FCMC council members expires in 2022 and the current legislation provide for
strict regulations how council members may be fired, but the new bill provides
that council members are sacked by August 1, 2019, promising to pay them
one-off compensation in the amount of 80 % of their annual salaries. Jansons
claims that this is a breach of the autonomy principles and international bank
supervision principles on independence of supervisory institutions.
The bill also shows that the lawmakers may in haste change
regulations on independent institutions, and this might be done to any of the
institutions, said Jansons.
The ombudsman believes that the bill is being moved through
the parliament in haste and he calls on the parliament not to adopt it as it
would damage FCMC efficiency and independence guarantees.
As reported, the Saeima is reviewing legislative amendments
related with the principles of FCMC operations, which provide also for
replacement of the FCMC board.