Profits down at Bank of Latvia

  • 2003-04-03

The Bank of Latvia's profit last year was 14.4 million lats (23 million euros), down nearly 35 percent from 2001, according to the annual report of the country's central bank.

The Bank of Latvia's council resolved that 5.3 million lats of last year's profit are to be transferred to state revenues and 9 million lats will be paid into the central bank reserves.

Under the law, the Latvian central bank has to pay to the state 15 percent of profits for using state capital and a part of the profit at the rate of corporate income tax for residents - which was 22 percent at the end of 2002.

Thus, the Bank of Latvia has to contribute to state revenues 37 percent of its last year's profit. After deductions the remainder of 2002 profits will be paid into the central bank reserves. Last year the Bank of Latvia's profit was 22.1 million lats.