The Bank of Lithuania has recently celebrated the 93rd anniversary since its establishment. It is the first year that the central bank is not implementing Lithuania′s monetary policy, so people are curious about how its functions have changed since joining the eurozone. Today′s open day had people of all age groups lining up to see the original building of the central bank in Kaunas and to learn more about its history.
The Bank of Lithuania was originally established in Kaunas, as it was the capital of Lithuania at the time. Until then, Lithuania depended on the German Darlehenkasse Ost (Eastern Loan Fund) for its currency. The government and the central bank of newly independent Lithuania worked hard to earn trust from international finance markets for its new currency, litas. The circulation of litas was halted in 1941 during the first Soviet occupation. Obviously, after independence was reestablished, the central bank moved to Vilnius. But it still owns the impressive building in Kaunas. Continue reading