Harmonization in the Supervision of Credit Institutions

On 25 November 2004, the Riigikogu adopted the Credit Institutions Act Amendment Act. Once again, European Union law required the changes. These changes bring increased regulatory detail, particularly regarding activity licences and the acquisition of a qualifying holding. It is no longer necessary to apply for prior permission from the Financial Supervisory Authority to increase or transfer a qualified holding. It suffices to provide advance written notice to the Financial Supervisory Authority. The Financial Supervisory Authority may then either notify the acquirer of the shares that they have no objection to the acquisition, and set a deadline during which the shares must be acquired, or alternatively it may forbid the acquisition of a qualifying holding.