Latvia's Ministry of Finance published an update on Finance Minister Arvils Ašeradens' participation in Eurogroup and Economic and Financial Affairs Council (ECOFIN) meetings in Brussels, where ministers discussed Banking Union issues, capital markets integration and the economic effects of geopolitical shocks. Latvia supported the European Central Bank and Single Resolution Board's role in euro area financial stability, while arguing that further banking market integration should proceed in a balanced way that preserves sufficient local capital in banks and does not increase financial stability and crisis management risks for countries without common European Union safety mechanisms. At the Eurogroup, ministers reviewed the Single Resolution Board's work, cross-border bank consolidation and financial sector resilience to cybersecurity, operational continuity and geopolitical risks. In the extended Eurogroup format they also examined the Middle East crisis, which the ministry said has already affected global supply routes and energy prices, with Latvia seeing the impact mainly through energy price volatility, higher production and transport costs and indirect pressure on exports through the wider European Union market. For the ECOFIN meeting, ministers were due to consider a Council regulation to improve information-sharing between tax administrations and law enforcement by giving the European Public Prosecutor's Office and the European Anti-Fraud Office access to European Union value added tax information, and to hold political debates on a market integration and supervision package aimed at reducing market infrastructure fragmentation, improving supervisory arrangements and strengthening the role of the European Securities and Markets Authority. Latvia backed closer cooperation against cross-border value added tax fraud and supported capital markets integration, while stressing that the process should be balanced, effective and proportionate and should not create excessive administrative burden. The ministry also said ECOFIN was set to discuss the economic and financial effects of Russia's war against Ukraine, noting the EU Council's April 2026 decision on a EUR 90 billion loan for Ukraine for 2026 to 2027 and an additional sanctions package against Russia, while reiterating Latvia's support for tighter sanctions on Russia and Belarus and for measures to reduce sanctions circumvention.
Ministry of Finance (Latvia) 2026-05-05
Latvia's Ministry of Finance outlines Eurogroup and ECOFIN positions on banking union VAT data sharing and capital markets integration
Latvia’s Ministry of Finance reported on Finance Minister Arvils Ašeradens’ participation in Eurogroup and Economic and Financial Affairs Council meetings in Brussels, where ministers discussed Banking Union issues, capital markets integration and the economic impact of geopolitical shocks. Latvia backed the European Central Bank and Single Resolution Board’s role in euro area financial stability and closer cooperation against cross-border value added tax fraud, while insisting that deeper banking and capital markets integration remain balanced, preserve sufficient local bank capital and avoid excessive administrative burdens or higher financial stability risks for countries lacking common EU safety mechanisms. The ministry also noted talks on Russia’s war against Ukraine, including the EU Council’s April 2026 decision on a EUR 90 billion loan for Ukraine and additional sanctions on Russia, and reiterated Latvia’s support for tighter sanctions on Russia and Belarus and for measures to curb sanctions circumvention.