The period during which retailers and service providers must state their prices not just in lats, but also in euros, begins today, October 1. The requirement is mandatory for the three months ahead of the introduction of the euro and will remain in place for six months afterward, which means that prices will have to be stated in both currencies until June 30, 2014.
Latvia will join the euro zone on January 1, 2014, and until January 14, both currencies will be in circulation. Retailers and service providers who accept payments in lats, however, will only be allowed to make change in euros. After January 14, the euro will become the sole valid currency in Latvia.
It is already known that the easiest way to exchange currencies for local residents will be to deposit lats in their bank accounts. All payment accounts, deposits, loans, savings accounts and other monies in lats will automatically be converted to euros at the start of the new year. The conversion will not involve a commission fee, and it will be based on the ECOFIN exchange rate of EUR 1 = LVL 0.702804.
We would call on all retailers and service providers, in turn, to think in a timely way about the amount of euros that they will need at the beginning of next year to make change in euros. Please contact the Citadele Bank by October 21 to arrange for encashment services and the pre-delivery of the euro.
The pre-delivery service will allow your company to receive euros starting in December 2013. Encashment services will make your work easier, because your staff will not have to visit the bank to deposit cash or exchange cash for euros. We expect client flows to increase substantially once the currency is changed next year, and that means queues at our branches.
Local residents and businesspeople can find more information about the introduction of the euro and the availability of banking services on the bank’s homepage, under “Euro Introduction”.