bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Friday 19.01.2018 | Name days: Alnis, Andulis
LatviaLatvia

Economic Diary of Latvia. Banks are combining their efforts

FaceBook
Twitter
Draugiem
print
(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUThis week, it became known about the biggest merging process in the banking sector in the past several years. Nordea and DNB have announced their plans to combine their experience, knowledge and efforts in Baltic States.

«Nordea and DNB banks have signed an agreement on combining efforts in Estonia, Latvia and Lithuania to create a new leading bank in these countries with strong Nordic roots,» – this announcement was received by the banks’ clients on Thursday.

It is emphasized that the two banks will combine their efforts. Nordea, for example, has good positions in the segment of large companies. DNB, on the other hand, is a strong player in the segment of small and medium-sized companies. By combining their resources, the banks will become more powerful and influential players in terms of client services as well. In addition, the new bank will have wide accessibility and geographical range, considering the strong positions of Nordea Bank in Estonia and DNB Bank in Lithuania, as well as their equal positions in Latvia, as mentioned in the two banks’ reports on the planned merging.

The deal on the two banks’ merge will be concluded in Q2 2017. Until then, Nordea and DNB will continue working as separate, competing banks.

The merging of the two banks will create a powerful player in Latvia, which will benefit to the general level of competition on the financial market, as noted by President of Latvian Commercial Banks Association Maris Bicevskis.

To have fun and to undergo treatment

This week, the Central Statistical Bureau of Latvia announced results of Latvian hotels and other places of accommodation for the first half-year of 2016. As it turned out, foreign guests have spent 1,892 million nights in Latvia, which is 6.5% more in comparison with the same period of 2015. In Q2 2016, the number of foreign tourists in Latvia reached 432.7 thousand people. 29.6% of them came from neighbouring countries: Russia (10.9%), Lithuania (8.6%), Estonia (8.1%) and Belarus (2%). There has also been an increase in the number of guests from USA (+56.6%), Spain (+33.4%), UK (+27%), Lithuania (+17.9%), Poland (+17.4%) and Finland (+13.5%).

It is possible that many of those who travel to Latvia do so not just to enjoy the country’s beautiful nature and tourist attractions, but also to fix up their health. According to data from Latvia’s Medicine Export Association, the volume of medical services provided to foreigners in Latvia last year had increased 18%. The amount of money foreign guests spend on medical services in Latvia has reached EUR 5 billion.

Virotherapy as a new method for treatment of oncological illnesses is considered one of the most perspective segments of medical services. The same applies to diagnostic of illnesses and dentistry, according to the association’s president Olaf Strautins. According to him, Latvia’s trump card is the balance between price and quality. High level of specialization is also an important factor.

The issue is exhausted

This week, the meeting of the three UGF ministers with Russia’s Vice-Prime Minister Arkady Dvorkovich was discussed at the meeting of Coalition Parties Council. Participants of this meeting decided…to close the matter for good.

Agriculture Minister Janis Duklavs presented his explanations to the members of the council. He now says the matter has exhausted itself. Prime Minister Maris Kucinskis has noted that Duklavs had provided reasonable arguments in favour of the aforementioned meeting. Kucinskis added that this meeting has had no effect on Latvia’s official external policy. The meeting should instead be viewed as assistance to Latvian producers.

Partners of the coalition, on the other hand, criticized the three ministers and expressed hope that it will not happen again. Foreign Affairs Minister Edgars Rinkevics assured that everyone learned their lesson from this meeting, and nothing of the sort will ever happen again.

President of Latvia Raimonds Vejonis has said that ‘it is in the government’s competency to decide who meets with whom and in what context’. In spite of this meeting, Latvia’s stance in regards to economic sanctions has not changed, the president said.

In general, the most common words used by politicians in regards to the meeting were ‘lesson’ and ‘not happening again’. According to Rinkevics, the Foreign Ministry had been informed in advance of the meeting between Duklavs and Dvorkovich. He did not know, however, about other ministers taking part in the meeting. Rinkevics also mentioned that the situation was played out very suspiciously and more resembles efforts of Russian diplomacy, considering that the this whole story has cast a shadow over Latvia as an ally of the European Union in terms of sanctions against Russia.

Green gold

While the matter regarding exports of goods with added value remains questionable, Latvia continues increasing the volume of green gold abroad. According to Agriculture Ministry’s data, the total value of goods exported by Latvia’s forestry sector was EUR 1,053 billion in the first half-year of 2016, which is 3.2% more in comparison with the same period of 2015.

Since the beginning of the year, Latvia has exported wood and wooden goods worth a total of EUR 904.44 million – 4% more in comparison with the first half-year of 2015. Most of the export consists of wood pellets. Latvia has so far exported 993.8 thousand tons of wood pellets worth EUR 117 million in 2016.

As before, UK, Germany and Sweden remain the largest markets for goods exported by Latvia’s forestry industry.

Ref: 017.109.109.6782


Leave a reply

Lithuanian bishops: skipping fasting on February 16 this year is not a sin

In an unprecedented move, the Conference of Lithuanian Bishops, the governing body of the Lithuanian Catholic Church, said that meat dishes okay for the people of faith on February 16, which marks the 100-year anniversary of Lithuania's statehood and the Lent Friday, which is traditionally a day of fasting for religious Catholic people.

Coincidence? Votes from Harmony and UGF ensure Sudraba remains the head of Oligarchs case committee

On Thursday, 18 January, the majority of Saeima members voted against the proposal to dismiss Inguna Sudraba from the post of the head of parliamentary investigative committee in charge of the review of the infamous Oligarchs case.

Kaljulaid criticised over involvement of acclaimed, but unrestrained director in centennial reception

As Estonia readies for the presidential reception to honour the 100th anniversary of Estonia, its President Kersti Kaljulaid is being criticised in an open letter for trusting Tallinn’s NO99 theatre, whose director physically assaulted a female colleague.

22.1% of Latvia’s residents subjected to risk of poverty

In 2017, 425 thousand persons or 22.1 % of Latvia population were at risk of poverty in 2016 – 0.3 percentage points less than in 2015. Equivalent income of this part of the population were below 330 euros monthly.

LAAC: Latvia’s milk market can be sorted out by joining forces in exports

Latvian Association of Agricultural Cooperatives (LAAC) has received support and praise for the public discussion regarding rapid milk procurement price changes, which is something that has recently affected the majority of agricultural cooperatives. This has helped cooperatives band together in order to sort out the milk market. This idea came from the example set by grain producer cooperatives, which did the same thing fifteen years ago, as reported by the association’s representatives.

Forevers announces its decision to exit from Latvian Federation of Food Companies

Forevers meat processing company has decided to exit from Latvian Federation of Food Companies (LFFC). The contract between two parties will be terminated in January.

Saeima’s Oligarchs case investigative committee hastily approves final report

In spite of objections, grammatical errors, criticisms about lacking effort, as well as Inguna Sudraba’s unfit status to lead the committee, members decided to move the meeting from 11:00 to 08:00 and approve the final report in a rushed vote.

Removal of 1 and 2 euro cent coins from circulation suggested by Bank of Estonia

Estonian central bank is willing to follow the eurozone trend of limiting the circulation of euro 1-cent and 2-cent coins and in time to remove them entirely from circulation in the Baltic country.

Cert.lv: attacks on e-health system and LETA were likely ordered

Attacks on e-health system and LETA agency were likely ordered, said Cert.lv deputy manager Varis Teivāns in an interview to Rīta Panorāma programme of LTV.

As Catalan parliament reconvenes, it elects pro-independence speaker

The Catalan regional parliament has in its first sitting since its ousting and snap December election elected a separatist-minded politician as its Chairman, which indicates that the attempts to break the region away from Spain would continue.

Latvia’s National Armed forces receive new Harris tactical radio equipment

In 2017, Latvia received tactical military radios worth USD 10.5 million from American Harris Corporation. Procurement of radio equipment will further improve command function and help develop a lasting communication system with other NATO member states, as reported by Latvian Defence Ministry.

MEP: Europe continues strengthening its energy independence

«The European Parliament has voiced strong support towards Europe’s energy independence and moving its energy policy away from Russia’s monopoly by investing in energy efficiency and renewable energy resources,» said MEP Krišjānis Kariņš after the vote on Clean Energy Act’s first reading in Strasbourg.

Apple expected to pay additional 38 billion USD in taxes for money kept abroad

Motivated by the U.S. tax reform, Apple will pay about 38 billion U.S. dollars (31 billion euros) in tax on the roughly 250 billion dollars (204 billion euros) the computer technology firm keeps outside of its country of origin as it plans to focus more on its contribution to the American economy.

Latvian police commenced three criminal processes for contraband of drugs this year

In the first two weeks of 2018, State Revenue Service’s Customs Police commenced three criminal processes in regards to illegal drugs contraband in postal packages from Lithuania to Latvia.

Betsafe: To Latvia from the Heart has laughable chance of entering next Saeima

With declining ratings, Inguna Sudraba’s party To Latvia from The Heart has been left with laughable chances of entering the next Saeima, Betsafe bookmakers say.

EU Affairs Committee: EU Digital Single Market motivated Latvia to perform reforms

European Union’s Digital Single Market strategy offered new opportunities for Latvian businessmen to actively present their services in other member states. The strategy also served as an impulse for the business environment and state administration. The strategy motivates our government to walk the road of reformation more actively and clean up messes that have remained for a long time, said chairperson of Saeima’s European Affairs Committee Lolita Čigāne on Wednesday, 17 January.

Expert: Zhdanok’s decision to leave EP was carefully calculated to revive Latvian Russians Union

The decision made by member of the European Parliament (EP) and leader of Latvian Russians Union (LRU) Tatyana Zhdanok, in accordance with which she intends to leave the European Parliament to instead focus on LRU’s election campaign, was a carefully calculated step to reanimate the party, said dean of Social Sciences Faculty of the University of Latvia Juris Rozenvalds.

Maxima Latvia expects price decline up to 15% in 2018

Following Maxima Latvija’s decision to reduce prices for nearly 1,000 important goods, it is expected that a similar step will be made by other players in the industry. This could mean prices for everyday goods could decline by up to 15%, as BNN was informed by the company.

Latvia’s economy reaches highest peak since 2015

Residents’ mood has improved for most positions of the study. Residents were positive the most about ongoing changes for Latvia’s economy, the value of which has reached its peak since July 2015. In spite of optimistic changes, however, 30% of respondents are critical about ongoing economic changes in Latvia, according to results of the latest Baltic International Bank’s Latvian Barometer.

Riga exchange hopes for new securities issuers this year

There are hopes to see new Latvian businesses release shares on the stock market this year, says chairperson of Nasdaq Riga Daiga Auziņa-Melalksne.

Latvian universities to offer students an innovative grant system

To help develop students’ innovative and business abilities, Latvian Education and Science Ministry has developed a new student grant system, which will focus mainly on supporting innovative projects and research and further improve cooperation between universities and leading businesses to attract human resources, the ministry reports.

Russian sociologists fear closure, quit publishing election polls

Russian leading independent polling organisation Levada Center has stated it has quit releasing results of polls on the country’s spring presidential election citing concern that the authorities could close it down for what they see as meddling in politics.

Court maintains pledge on former LAR leader’s bank accounts and owned property

Court has applied pledge status on property and bank accounts owned by Riga City Council member Mārtiņš Bondars to enforce EUR 15 million from him as part of Latvijas Krajbanka criminal case, as reported by TV3 News.

McDonald’s to use unrecycled packaging for 7 more years

World’s largest catering chain McDonalds has set the aim of ensuring that by 2025 all its packaging would be from either from recycled or renewable materials, which would be an increase current proportion of a half.

Saeima speaker: Judicial Affairs Council’s work should be more apparent

Work performed by the Judicial Affairs Council should be made more apparent, said Saeima speaker Ināra Mūrniece during her meeting with Supreme Court chairman Ivars Bičkovičs.

Would you be ready to boycott something in your life?

View Results

Loading ... Loading ...

Polls Archive



Category feed: Feed: