20.09.2017

News

Fintech boom in Lithuania: new type of financial institution

A new concept of a specialized bank has been incorporated into Lithuania’s legal framework of banking legislation from 1 January 2017.

With some exceptions, specialized banks will not be able to provide investment services, manage investment, pension funds or be active by providing other services related to securities emissions.

However , on other operational levels specialized banks will not differ from full service banks.

Specialized banks have significant competitive advantages and opens the European financial market at lower incorporation and operational costs.

This new type of financial institution is a creation of a regulatory environment and favorable ecosystem for foreign FinTech companies, established to attract foreign financial institutions and FinTech start-ups to Lithuania.

Authorities at both national and municipal levels have shown strong levels of commitment to the previously mentioned goals and Lithuania has an ambitious goal; to become the FinTech leader in the Baltic and Nordic regions.

Key advantages of specialized bank concept:

Need help applying?

Contact Partner Saulius Aviza (saulius.aviza@njordlaw.lt) or Assistant attorney Gerda Nama-june (gerda.namajune@njordlaw.lt) if you are interested in obtaining a specialized bank license or need any other related help.

Read more about this new type of financial institution here.

Latest news

Restructuring is not bankruptcy!

Often businesses think that restructuring equals bankruptcy, but that is not even remotely true. Restructuring is not the same as bankruptcy! If the purpose of bankruptcy proceedings is to liquidate the business, then the goal of restructuring is preserving it.

NJORD Estonia gives advice: Submit your restructuring application on time

For a successful restructuring, it’s extremely important to submit the restructuring application on time. There is no point in starting the restructuring proceedings at the last minute if the business has already used up all the resources necessary for a successful restructuring proceeding. According to legal literature, the main cause for a failed restructuring is […]

NJORD Estonia explains: Restructuring – what is it?

The Reorganisation Act defines restructuring (legal term reorganisation) as follows: “The reorganisation of an enterprise means the application of a set of measures in order for an enterprise to overcome economic difficulties, to restore its liquidity, improve its profitability and ensure its sustainable management.” Not the worst definition, but still might be quite confusing.

Get the latest legal news

We gladly share our knowledge with you. Subscribe to our newsletters.

Subscribe here