Latvia's Ministry of Finance published an update on a Financial Sector Development Council (FSAP) meeting, chaired by Prime Minister Evika Siliņa, focused on measures to support more active lending to non-financial companies by strengthening access to finance and capital flows. The council continued work on a draft approach to limiting commission fees charged to legal persons when repaying loans early or refinancing with another lender, but agreed to pause any decision on further progress pending a three-month market review. The draft fee-limitation framework was discussed alongside views from the Finance Industry Association and the Fintech Latvia association. The stated policy aim is to promote competition by improving client mobility between lenders, thereby improving financial service terms for Latvia-registered companies and reducing barriers to loan and leasing refinancing and early repayment. Over the three-month period, supervisory authorities will gather additional data on the level of commission fees and monitor market developments, after which the need to continue advancing the regulation will be reassessed. FSAP also reviewed a draft communication plan that the Ministry of Finance began developing after the 17 June 2025 FSAP meeting together with the Financial Intelligence Service, Latvijas Banka and the Latvian Investment and Development Agency, intended to provide targeted communication to the public and international partners on the results of Latvia’s assessment of its anti-money laundering, counter-terrorist financing and proliferation financing regime.

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