Latvian Central Depository Launched Saving Notes Service

08.07.2013 RIG

On June 19, 2013 Latvian Central Depository (LCD) launched a new service of Latvian Government Saving Notes. LCD is responsible for registry keeping, distribution, and settlement of Latvian Saving Notes ensuring transaction safety and legality for investors. 

Starting from June 19, 2013 Latvian State Treasury began to offer private individuals to invest in Saving Notes. The goal of State Treasury is to provide Latvian residents with safe investment opportunities and a possibility to lend to the country for its needs and economic growth. 

Private individuals (non-residents also) can purchase Saving Notes if they have a cash account, and online access to the Internet bank, within a Latvian commercial bank. Latvian Saving Notes can be purchased through the online portal www.krajobligacijas.lv. 

Eligible individuals can choose between Saving Notes with a maturity period of 12 months, 5 years or 10 years. 6 months Saving Notes are expected since mid-July. Saving Notes interest rates are set by the Latvian State Treasury taking into account Latvian Government bond and T-Bill yields, deposit rates set by Latvian commercial banks and other factors defined by the Treasury. 

The nominal value of a Saving Note is one lat, and a minimum investment is 30 lats. Individuals can invest up to 49 thousand lats per purchase transaction. After the purchase Saving Notes are registered and kept in the buyer’s electronic securities account dedicated for Saving Notes within LCD. Saving Notes are issued electronically and are available for purchase 24 hours a day, seven days a week.

After Latvia joins the eurozone, Saving Notes will be issued in euros. The conversion from lats to euros for issued Saving Notes will be implemented in accordance with Latvia’s National Euro Changeover Plan.

About the Latvian Central Depository

Latvian Central Depository has the status of National securities depository, and performs the functions of central bank for securities: it provides electronic accounting, safe-keeping and clearing and settlement for all Latvia-listed securities as well as for other securities registered with the LCD. Latvian Central Depository is an experienced national level registrar of electronic registers – in partnership with the State Social Insurance Agency it is maintaining the register of individual accounts for the second pillar of Latvian pension system. Latvian Central Depository also runs the Central share register for securities that once were exchanged for privatization vouchers and have not been transferred to securities accounts in banks. Latvian Central Depository manages shareholder registers for private joint stock companies, thus assuring high security for shareholders’ title. Latvian Central Depository is a daughter company of NASDAQ OMX Riga (the former Riga Stock Exchange). Read more: www.depozitarijs.lv

Media Relations Contact:
Audronė Ranonytė
+370 (5) 272 34 58
audrone.ranonyte@nasdaqomx.com