Even though there is a good chance Latvia could be included on ''gray list'', this does not mean it is inevitable - Kazaks

  • 2019-12-05
  • LETA/TBT Staff

RIGA - In an interview on the LNT television channel this morning, Bank of Latvia council member Martins Kazaks, who has been nominated to become the president of the Bank of Latvia, said that there is a good chance that the Financial Action Task Force (FATF) could include Latvia on its ''gray list'', this does not mean that this is inevitable.

''Even though there is a chance this could happen, it is not inevitable and the most likely scenario,'' he said.

He also noted that Latvia has achieved a great deal in the last year and that few countries can show similar progress. "Much has been done and at the moment there is hope that there will be no such risk and no" gray list" threatens us, but of course, at this point, until the this process has been successfully completed we cannot eliminate such a risk," said the candidate for the post of president of the Bank of Latvia.

However, he added that Latvia must prepare for all the possible scenarios.

As reported, Moneyval has placed Latvia in enhanced follow-up procedure because of the number of Low and Moderate ratings awarded for Effectiveness. Two areas were considered to have low levels of effectiveness - relevant beneficial ownership information and preventing proliferation financing. 

Moneyval plenary session in Strasbourg this week will review Latvia's progress report on implementation of the recommendations. The official conclusion of experts could be released on December 6.

Financial Intelligence Unit's head Ilze Znotina said in November that Latvia has achieved substantial and irreversible changes in combating financial and economic crimes.