Lithuania’s banks have largely escaped the worst effects of the dual crises of the Covid-19 pandemic and the war in nearby Ukraine, at least so far, with banking sector fundamentals remaining strong and the emergence of fintech players further spurring marketplace development.
“The banking sector has performed better than expected – much better than we expected as a regulator, honestly speaking,” says Simonas Krėpšta, a board member at the Bank of Lithuania. “So far, we really don’t see any negative trends in the banking sector. We see some companies which are overdue on their payments, but that’s on a very individual level so far.”
