REPUBLIC OF LITHUANIA

REPUBLIC OF LITHUANIA REPUBLIC OF LITHUANIA LAW ON FOREIGN CURRENCY IN THE REPUBLIC OF LITHUANIA Article

1. The Concept of Foreign Currency Foreign currency shall be the currency of any foreign state or the currency used commonly by two or more foreign states. Article
2. Keeping of Foreign Currency Legal and natural persons of the Republic of Lithuania shall have the right to open foreign currency accounts with the banks of the Republic of Lithuania as well as with foreign banks. Legal persons of the Republic of Lithuania and economic entities not possessing the right of a legal person may open accounts with banks in foreign states upon receipt of a permit from the Bank of Lithuania. Legal and natural persons of foreign states shall have the right to keep foreign currency in banks of the Republic of Lithuania. Article
3. Utilisation of Foreign Currency Foreign currency may only be used for payments to, and settlements with, legal and natural persons of foreign states who are outside of the Republic of Lithuania. Legal and natural persons of the Republic of Lithuania and of foreign states may withdraw funds from their respective bank currency accounts and bank deposits as well as interest on them either in foreign currency or in litas according to the appropriate daily exchange rate. Operations in foreign currency (purchase, selling, exchange, extention of loans, etc.) may only be performed by banks which have obtained a licence from the Bank of Lithuania. The procedure for the performance of operations in foreign currency shall be established by the Bank of Lithuania. Article
4. Foreign Loans Inter-state and inter-bank agreements as well as agreements with international credit institutions and organisations concerning the receipt or extention of loans to foreign countries must be registered with the Ministry of Finance of the Republic of Lithuania. The same procedure shall apply to agreements concerning loans in foreign currency, the redemption of which shall be guaranteed by the Government of the Republic of Lithuania and the Bank of Lithuania. The procedure for the registration of loan agreements, distribution of loans, and redemption thereof shall be established by the Government of the Republic of Lithuania and the Bank of Lithuania. Article
5. Import and Export of Capital The import of foreign capital that is invested in the Republic of Lithuania as well as the export of said capital, the generated profit, and dividends shall be established by the Law on Foreign Investment in the Republic of Lithuania. Article
6. The Exchange Rate of the Litas in Managing Accounting All enterprises, institutions, organisations, and banks must conduct accounting according to the official exchange rate of litas with respect to foreign currency, as promulgated by the Bank of Lithuania. Article
7. Liability of Violation of this Law Persons who violate the procedure for the utilisation, operations, export and import of foreign currency shall be liable under the laws of the Republic of Lithuania. Article
8. Final Provisions Enterprises, institutions, organisations, banks, insurance organisations of all types of ownership shall convert the portion of authorised capital held in foreign currency, as well as shares, dividends, tantiems, insurance indemnities, insurance sums and other payments into litas according to the data of August 1, 1993 and in accordance with the official exchange rate established by the Bank of Lithuania or any other procedure established by the Government of the Republic of Lithuania. Obligations in foreign currency which must be discharged in Lithuania and the term of maturity of which ends after August 1, 1993, with the exception of the obligations of banks to pay deposits from foreign currency accounts and interest thereon, as well as obligations to banks concerning the repayment of loans granted in foreign currency, shall be discharged in litas according to the official exchange rate established by the Bank of Lithuania. Article
9. Entry into Force of this Law This law shall become effective as of August 1,
10. I promulgate this Law adopted by the Seimas of the Republic of Lithuania. ALGIRDAS BRAZAUSKAS President of the Republic Vilnius 7 July 1993 No. I-202