Lithuania's Ministry of Finance, together with the Bank of Lithuania, has developed a new supervisory model proposed to be applied to the National Development Bank ILTE, drawing on international experience and input from the European Investment Bank and the European Bank for Reconstruction and Development. Although ILTE is not a commercial bank, the framework would apply banking prudential standards through proportionate and activity-specific capital, risk management, governance, and control requirements. The model is intended to strengthen risk supervision, internal control, transparency and digital security, and to clarify institutional responsibilities, with the stated aim of supporting stable and efficient operations while maintaining operational flexibility. The Ministry of Finance plans to submit a draft law on the National Development Bank for coordination, setting out the principles for implementing the new supervisory model.
Ministry of Finance (Lithuania) 2026-03-19
Lithuania's Ministry of Finance develops new supervisory model applying EU banking prudential standards to National Development Bank ILTE
Lithuania's Ministry of Finance and the Bank of Lithuania have developed a supervisory model for the National Development Bank ILTE, incorporating insights from the European Investment Bank and the European Bank for Reconstruction and Development. The framework applies banking prudential standards with proportionate capital, risk management, governance, and control requirements to enhance risk supervision, transparency, and digital security. A draft law outlining the implementation principles will be submitted for coordination.