Agreement of 31 December 2013 between Latvijas Banka and the European Central Bank regarding the claim credited to Latvijas Banka by the European Central Bank under Article 30.3 of the Statute of the European System of Central Banks and of the European Central Bank

1 If the amount of the claim that the ECB is required to credit to Latvijas Banka pursuant to Article 30.3 of the Statute of the ESCB and Article 4(1) of Decision ECB/2013/53 (hereinafter the ‘claim’) is greater than EUR 163479892,24 on any of the settlement dates on which the ECB receives foreign reserve assets from Latvijas Banka pursuant to Article 3 of Decision ECB/2013/53, then the amount of the claim shall be reduced with effect from that date to EUR 163479892,24. Such reduction shall be made by offsetting against the claim the amount that Latvijas Banka is required to contribute to the ECB’s reserves and provisions with effect from 1 January 2014 pursuant to Article 48.2 of the Statute of the ESCB and Article 5(1) of Decision ECB/2013/53. The offset amount shall be treated as an advance contribution to the ECB’s reserves and provisions pursuant to Article 48.2 of the Statute of the ESCB and Article 5(1) of Decision ECB/2013/53, which shall be deemed to have been made on the date on which the offset occurs.

2 If the amount required to be contributed by Latvijas Banka to the ECB’s reserves and provisions pursuant to Article 48.2 of the Statute of the ESCB and Article 5(1) of Decision ECB/2013/53 is less than the difference between the amount of Latvijas Banka’s claim and EUR 163479892,24, then the amount of the claim shall be reduced to EUR 163479892,24: (a) by offsetting in accordance with paragraph 1 above; and (b) by the ECB paying Latvijas Banka an amount in euro equal to the amount of the shortfall remaining after such offset. Any amount required to be paid by the ECB in accordance with this paragraph shall be due on 1 January 2014. The ECB shall, in due course, give instructions for the transfer of such an amount, and of net accrued interest thereon, through the Trans-European Automated Real-time Gross settlement Express Transfer system (TARGET2). Accrued interest shall be calculated on a daily basis, using the actual over-360-day method of calculation at a rate equal to the marginal interest rate used by the Eurosystem in its most recent main refinancing operation.

3 If the amount of Latvijas Banka’s claim is less than EUR 163479892,24 on the final date on which the ECB receives foreign reserve assets from Latvijas Banka pursuant to Article 3 of Decision ECB/2013/53, then the amount of the claim shall be increased on that date to EUR 163479892,24 and Latvijas Banka shall pay the ECB an amount in euro equal to the difference. Any amount required to be paid by Latvijas Banka in accordance with this paragraph shall be due from 1 January 2014, and shall be paid in accordance with the procedures specified in Article 5(4) and (5) of Decision ECB/2013/53.

1 This Agreement shall enter into force on 1 January 2014.

2 This Agreement shall be drawn up in two duly signed originals in the English language. The ECB and Latvijas Banka shall each retain one original hereof.