Bank representatives in Latvia have warned that allowing mass early withdrawals from the second level pension fund would constitute a significant strategic error. They emphasize that such a move would jeopardize the financial security of a considerable portion of future pensioners, exposing them to heightened risks of poverty. This sentiment is echoed by Anželika Dobrovoļska, the head of Swedbank's asset management company, who highlights that by the end of January 2026, the accumulated capital in Latvia's second level pension fund would exceed 10 billion euros, marking one of the largest personal savings in the country.

Dobrovoļska argues that these funds are not free money but deferred salary meant for retirement. Allowing individuals to withdraw these savings prematurely contradicts global trends, where central banks and the European Commission emphasize the importance of increasing real savings for future pensions. There is a widespread understanding that relying solely on the solidarity principle, as seen in the first level pension system, is insufficient due to demographic shifts, namely an aging population and increased life expectancy.

The universal consensus among financial experts is that maintaining and increasing pension savings is essential in ensuring economic stability for retirees. The potential consequences of mass withdrawals could lead to significant long-term ramifications for the pension system, diminishing the financial security of future generations. Hence, bank officials advocate for careful consideration to prevent legislative moves that might encourage such withdrawals, prioritizing sustained savings growth over short-term disbursements.