Implementation of the euro in Latvia on 1 January 2014

Latvia is replacing its currency, the lats, with the euro on 1 January 2014.

The conversion rate is set at 0.702804 Latvian lats to one euro, which corresponds to the current central rate of the lats in the EU's exchange rate mechanism (ERM II).

To ensure full introduction of the euro in Latvia, amendments to about 118 effective laws and regulations shall be made and new laws and regulations approved.

From January 15 of 2014, only payments in euro will be accepted in Latvia. Salaries, pensions and welfare payments will also be paid out in euro.

The companies shall in a timely manner prepare to the adoption, which commences as of October 1, 2013. Significant changes are foreseen in the field of accountancy (the period of circulation of both lats and euro, mandatory price reflection in both currencies, etc.). a quarter before and 6 months after the €-day €  is the the period of dual price display in the lats, and euro.

Significant amendments are planned in the Commercial Law. As of July 9, 2013 new companies may register the share capital in Euro. According to the Commercial law minimum share capital of the limited liability company is 2845 euro (or 1 euro for micro company).

According to planned amendments in the Commercial Law from January 1, 2014 minimum share capital of the limited liability company will be  2800 euro (or 1 euro for micro company).

As of January 1, 2014 amendments to the Articles of Association and re-registration of the share capital into Euro shall be performed. This is a mandatory procedure. The deadline for submission of the appropriate amendments is June, 30, 2016.

It is planned that no confirmation of the sworn notary will be required to the Articles of Association, decision of the shareholder and new division of the shareholder register, as well as, no state fee will be applicable if all amendments are connected with the replacing of the lats with euro.