Banks, Financial Services, Latvia

Juris Jakobsons.

The new bank's board will include just three current Parex banka senior executives: the current Parex banka board members Valters Abele and Guntis Belavskis, and the chairman of the bank's council, Jakobsons.

Jakobsons did not deny that he would accept such an offer. Jakobsons has been working at various banks for more than 15 years: he was the vice-president at Vereinsbank Riga and SEB banka, and the head of UniCredit Bank, informs LETA.

The new bank's council will also include just three members – Klavs Vasks and Juris Vaskans from the current Parex banka council, and Andzs Ubelis from the Finance Ministry, who will be appointed head of the new bank's board.

On Saturday, Latvian Privatization Agency submitted all the necessary documents to the Financial and Capital Market Commission to receive the banking license for the new bank. The commission is to evaluate all documents on the new bank's board and council members, and the head of the internal audit, as well as the bank's business plan. For the new bank to start operating on August 1, it has to have the license on July 1 already. However, receiving the Financial and Capital Market Commission's license may take up to three months, and some banks are known to have waited for one-and-a-half to two years for their licenses.

New management is also being looked for the other part of Parex banka – the so-called "bad bank". Nils Melngailis, the current head of Parex banka, does not wish to continue to work at the bank after it is restructured. The Privatization Agency has said that several candidates have already been assessed.