New Unity and Progressives to nominate Kazaks for reappointment as Bank of Latvia Governor

RIGA - The ruling New Unity and Progressives will nominate current Bank of Latvia Governor Martins Kazaks for reappointment to the post.

Edmunds Jurevics, chair of the New Unity group in the Saeima, told reporters following the weekly coalition meeting on Monday that New Unity still believes that it would best for the government coalition to agree on a single candidate. However, upon consulting partners, it has been decided to join the Progressives' call for Kazaks' reappointment for a second term.

New candidates are to be nominated as the first office term of current Bank of Latvia Governor Kazaks expires on December 21 this year. Kazaks was elected Governor of the Bank of Latvia for a five-year term on December 12, 2019 when 76 MPs voted in his favor.

Kazaks has confirmed that he would be ready to continue leading the Bank of Latvia, but politicians have so far maintained their position not to discuss the issue of the choice of the central bank's next head at length, arguing that they first have to deal with the adoption of next year's state budget, which was scheduled for the first week of December. There has been no loud criticism of Kazaks' job performance from politicians, but there is no unequivocal support either.

As reported, the Union of Greens and Farmers has has nominated Reinis Berzins, Chairman of the Board of the Development Finance Institution Altum (Altum), for the position of Bank of Latvia Governor.

Greens/Farmers argue that under Berzins' leadership, the Latvian central bank will manage to make the banking sector work for the benefit of the national economy and defend national interests both in Latvia and internationally.

Except for Greens/Farmers, the other coalition partners had not yet proposed their candidates for the next Bank of Latvia Governor. The opposition Stability has nominated Pavels Kuzmins for the top banking post, describing him as an experienced financier.

In accordance with the law on the Bank of Latvia, the Saeima elects the central bank's governor for a five-year term upon recommendation of at least 10 lawmakers. The same person may take the post for no more than two successive terms.