The USA noted the urgency of fundamental changes and legislation updates from the government of Latvia.
The Assistant secretary for terrorist financing of the US Treasury called for immediate action to address everlasting statutory issues by the government in Riga.
Latvia abandones secrecy laws following pressure from the US government and the requested change in order to maintain the dollar licence of the country.
One major item noted by the USA was the lack of enforcement powers granted to the supervisor.
The bank supervisor has accused the government of undue intervention in the supervisory activities.
This input comes a few months before the initiation is f the Moneyval review of the country.
Latvia has stated that going to the grey list as a result of the review could be dramatically damaging for the economy.
Latvia’s central bank governor is under a number of investigations for corruption, bribery and money laundering as a rollout of the ABLV scandal which led to the bank’s liquidation.