Latvia's Ministry of Finance prepares amendments to the Altum law to clarify state support decision-making and route risk-based disputes to civil courts

Latvia's Ministry of Finance, working with the development finance institution Altum, has prepared amendments to the Development Finance Institution Law to more clearly define how Altum takes decisions under state aid and development programmes and to strengthen its internal governance. The draft would expressly require Altum to develop internal policies and procedures that match its operational risks, codifying practices already applied in operations and aiming to improve legal clarity. It also provides that Altum decisions based on economic and risk considerations, including decisions typical of credit institutions, would not be subject to review by administrative courts, with related disputes instead handled under civil procedure, including where Altum refuses to cooperate with a client on risk grounds. The amendments are planned to be submitted to the Cabinet of Ministers for consideration by 1 November 2025.