The Central Bank of Latvia has reviewed how critical financial services performed during the severe August storm, finding that simultaneous electricity and communications failures limited access to cash and card payments despite existing resilience measures. Everyday banking services remained available where customers had power, communications and online banking access, but 183 of Latvia’s 869 ATMs experienced disruptions, mainly because of power outages. Of the 94 critical ATMs subject to enhanced continuity requirements, 77 remained operational, although most were in areas without prolonged outages. Several hundred offline card payments were completed, but this option still required electricity and an operating retailer. ATMs inside shopping centers were also inaccessible when the premises could not open, underscoring that resilient banking infrastructure cannot function without supporting utilities and retail facilities. The central bank has raised ATM availability issues with the responsible authorities and proposed essential services centers at locations such as retailers or petrol stations, where people could buy essential goods using offline card payments and obtain cash. It also suggested that national resilience planning may need to prioritize backup power for critical communications towers and retailers, and advised households to keep enough cash in small denominations to cover one week of needs.
Central Bank of Latvia storm review finds critical payments remain dependent on power and communications
The Central Bank of Latvia found that simultaneous power and communications failures during the August storm limited critical cash and payment services, with 183 of 869 ATMs disrupted. It proposed essential services centers offering goods, offline card payments and cash access, while calling for stronger backup arrangements for communications and retail infrastructure. Households were advised to hold one week’s cash needs in small-denomination banknotes.