Latvia's Ministry of Finance announced that the Cabinet has approved a 13-bill package, prepared with the Bank of Latvia, to transfer the registration, licensing and supervision of nonbank consumer lenders and credit intermediaries from the Consumer Rights Protection Centre to the Bank of Latvia. The reform also shifts protection of financial services consumers' rights and interests to the Bank of Latvia and gives it responsibility for supervising unfair commercial practices and advertising in services provided by financial market participants. The central amendments to the Consumer Rights Protection Law would bring licensing, registration, supervision, data analysis and consumer protection together in one institution. This would replace the current split oversight of nonbank consumer lenders across the Bank of Latvia, the Consumer Rights Protection Centre and the State Revenue Service, which the ministry said creates parallel inspections and differing requirements for the same firms. Related amendments would align a wider set of laws across financial services, anti-money laundering, sanctions, advertising, accessibility, private pensions, crowdfunding and civil procedure. The ministry linked the reform to a move toward a single risk-based supervisory model and noted that MONEYVAL's assessment of Latvia also pointed to the need for stronger coordination and more efficient use of resources. The package will now be submitted to the Saeima for adoption. The transfer of supervisory functions is set to take effect on 1 January 2027, with some delegation provisions applying from 1 January 2028, and licences and registrations issued by the Consumer Rights Protection Centre will remain valid during the transition.

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