Last barrier to Russia down

  • 2003-04-03

The Central Bank of Russia has removed Latvia from the list of states and territories whose currency operations with Russia's entities are subject to tight control, said the bank in a statement.

A respective decision made by the Central Bank of Russia March 31 will take effect in 10 days after its publication in the bank's bulletin. Latvia's Commercial Banks Association President Teodors Tverijons said that this was the last restriction adopted by Russia's central banker in regards to Latvia in 1998 which led to Latvia's de facto isolation from Russian capital.

"Common sense has won," he said.

Tverijons said that Russia adopted a total of four orders that imposed restrictions on both Latvian and Russian banks. The restrictions required Russian banks to provide additional information and other measures for settlements with Latvia's residents and hindered settlements between Latvia and Russian in national currencies of both countries.

Now it will be possible to perform settlements in national currencies of the two countries once the restriction is lifted.

"I believe that lifting of these restrictions will promote cooperation between small-and-medium sized businesses as well as between businesses in border areas," he said.