Government watch. LFMI opposes the establishment of a national commercial bank

Fourteen members of the Lithuanian Parliament proposed establishing a national commercial bank referring to Article 46 of the Constitution of the Republic of Lithuania stating that “The State shall regulate economic activity so that it serves the general welfare of the Nation.”

In a policy paper LFMI noted that the Bank of Lithuania and other government institutions perform state regulation of the financial market, and Article 46 does not empower the state to become a player and provide services on the financial market while regulating economic activity.

LFMI put forward a number of arguments against the establishment of a national commercial bank and urged the lawmakers to decline the bill.