The Bank of Latvia has declared the availability of financial services for the population and enterprises as a priority. He calls on credit institutions to return branches to small towns in Latvia. It is planned to maintain the ATM network at its current volume, Latvian Radio 4 reports, citing Rus.Lsm. Over the past ten years, bank branches in the country have decreased by 80%. Currently, clients are served in person in approximately 70 locations. In Preili, like in many other small towns, there are no more banks. The nearest ones, in Rezekne and Daugavpils, are more than 50 kilometers away. This creates significant inconvenience for many residents. To facilitate the return of banks to the regions, the Central Bank submitted amendments to the Law on Credit Institutions for consideration by the Sejm. They provide for the resumption of the physical presence of bank employees in small towns, says Martins Kazaks, President of the Bank of Latvia. "Financial inclusion should be provided equally physically and digitally. Then the bank customer can choose which channel he will use – but it should not be the case that there is only digital access." The Sejm will consider the bill in early September. If deputies support it, the amendments could come into force after a year of the transition period, in 2026. This will allow banks to prepare. At the same time, large commercial banks view the idea of resuming the work of branches in the regions with a great deal of skepticism. The vast majority of clients resolve all issues using online banking, a mobile application or by phone, so face-to-face meetings are becoming increasingly rare, indicate representatives of Swedbank and SEB Bank. Both credit institutions believe that the best solution would not be the resumption of the branches, but mobile points that come once or several times a month and receive clients in premises allocated by the local government. At the same time, the ATM network is now optimal – both the Bank of Latvia and commercial banks agree on this. Currently, there are about 860 ATMs operating in Latvia, and every resident can withdraw cash no further than 25 kilometers from home. In addition, small amounts of money can be withdrawn from your account in more than a hundred rural stores that operate bank card payment terminals. Starting next year, another new non-cash solution will appear: in the event of a short-term lack of electricity, flooding or any other threat, Latvians will be able to pay with a payment card for fuel, medicine and essentials in the amount of up to 200 euros.
