OREANDA-NEWS. November 18, 2013. At its regular meeting, the Bank of Latvia Council discussed the latest macroeconomic tendencies in Latvia, took decisions regarding future monetary policy directions as well as adopted several regulations for a successful and smooth euro changeover as of 1 January 2014.

In view of the fact that inflation indicators remain low in Latvia and the rate at which the economy develops does not pose risks to price stability in the medium term, the Bank of Latvia Council today resolved to reduce the interest rates set by the Bank of Latvia:

The Bank of Latvia refinancing rate from 1.5% to 0.25%;

the interest rates of the marginal lending facility as follows:

if the facility has been used no more than 5 working days within the past thirty days, the interest rate is reduced from 2.0% to 0.75%,

if the facility has been used no more than 10 working days within the past thirty days, – the interest rate is reduced from 3.50% to 1.5%,

if the facility has been used more than 10 working days within the past thirty days, – the interest rate is reduced from 5.0% to 2.5%;

The reserve requirement for the banks and Bank of Latvia overnight deposit facility rate remains unchanged.

The changes in the refinancing and lending rates will take effect on 24 November 2013.

The Report of the Governor of the Bank of Latvia, Ilmars Rimsevics, at 11 November press conference will be available in the news section of the Bank of Latvia’s home page www.bank.lv.