Latviski English По-русски
Monday 24.10.2016 | Name days: Renāte, Modrīte, Mudrīte

Latvia’s budget to allocate EUR 120 million for security next year

(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUThe government coalition group has agreed upon plans for the largest revenue portion – approximately EUR 120 million. It will be allocated primarily for the main budget priority – security.

After the meeting of the coalition’s work group on 18 August, Saeima deputy Karlis Sadurskis stated that the work group agreed upon a number of matters, but many more matters remain unresolved.

The coalition’s work group has agreed upon plans for 90% of revenue paid to the state budget by capital enterprises. This amounts to EUR 27 million. The base growth of financial stability fees will yield approximately EUR 3 million. The adoption of monthly transport use fees will be postponed by one year. This system is expected to give the state budget approximately EUR 30 million.

According to Sadurskis, the so-called solidarity tax fill form the largest portion of revenue. «While the current cap for social fees for salaries is EUR 4,000, we have agreed upon a specific tax that will be diverted to the state budget. It will allow the government to administer approximately EUR 40.9 million,» – said the deputy.

Member of the board of the National Alliance Einars Cilinkskis notes that the party has been trying to achieve the adoption of solidarity tax for a long time. A separate work group viewed proposals to raise excise tax rates for alcohol and gambling. NA is still expected to provide detailed information in regard to plans to raise natural resource tax for burying waste in landfills. Today’s discussion did not reach the point of additional budget expenses, said the politician.

The coalition work group also agreed to raise excise tax for fuel. This measure will allow the state budget to collect additional EUR 12.5 million. Sadurskis explained that excise tax rate will be raised the following way – additional EUR 0.03 per litre of petrol and gas, and EUR 0.01 per litre of diesel fuel.

It is also planned to raise excise tax on alcohol as well. However, the work group failed to reach an agreement on the amount of tax to raise. Nevertheless, it is clear that raising excise tax would allow the budget acquire additional EUR 3 million.

«We agreed upon approximately EUR 120 million. All of this amount will be ‘eaten’ by the budget’s main priority – security,» – said Sadurskis, adding that the aforementioned amount would be divided and diverted to the needs of Interior Ministry (EUR 61 million) and Defence Ministry (EUR 59 million).

Sadurskis also said the work group plans to continue talks about the aforementioned matters over at Finance Ministry on Wednesday, 19 August.

The Saeima deputy added that the ministry asks for approximately EUR 279 million as ‘funds necessary for survival’. Compared with the previously voiced amount of half a billion euros, this amount is smaller by nearly half. Regardless, the government will seek solutions to acquire the necessary funds.


Leave a reply

Week in Lithuania. Lithuania unveils new tourism brand

Lithuania will until 2020 use a new tourism brand to market itself to foreign tourists. The new brand, unveiled by the State Tourism Department on October 19, features the words «Lithuania. Real is beautiful» printed on a pastel mint postage stamp

Economic Diary of Latvia. The richer the people, the better the security

A very interesting matter was voiced in Latvia this week. The matter addresses the link between the overall level of welfare of the country’s residents and the country’s national security.

Four teachers in Latvia are paid wages that exceed EUR 2,000

In September 2016, the biggest teacher’s salary paid in Latvia with bonuses was EUR 2,260.27, as LETA was informed by Education and Science Ministry.

Producer price level down 1.6% in Latvia’s industry

Compared to August, the level of producer prices in Latvian industry increased by 0.3% in September 2016.

SRS Tax Debt Enforcement Office director Cerneckis steps down

On Friday, 21 October, director of Latvian State Revenue Service’s Tax Debt Enforcement Office Kaspars Cerneckis submitted his resignation.

Bookmakers predict Sadurskis’ remainder in his post for the rest of the year

Latvian Education Minister Karlis Sadurskis has been forced to distance himself from political opponents and teacher trade unions because of criticisms regarding reduced wages caused by the teachers’ pay reform. Nevertheless, political support will keep the minister in his post, bookmakers believe.

Lithuanian military discussing deployment of long-range missiles

A senior Lithuanian military officer has on October 20 stated that Lithuania is considering the deployment of long-range missiles in the country in the framework of hosting a multinational NATO battalion in 2017.

Ukraine in joint declaration with Lithuania, Poland condemns WWII aggressors

The Vekhovna Rada of Ukraine has this week adopted a joint declaration with Lithuania and Poland attaching responsibility for World War II to Germany, the USSR and the international community’s «appeasement policy».

Saeima Budget Committee conceptually approves 2017 budget project

On Thursday, 20 October, Saeima’s Budget and Finance Committee supported the state budget project for 2017, the medium-term budget contents for 2017, 2018 and 2019 and 57 legal drafts associated with the project.

Facebook sorry for removing breast cancer informative video

Facbook has expressed apologies for the removal of a breast cancer informative video shared on the social network by a Swedish foundation.

Two of the last twenty three first refugees have left Latvia

The last two of the first twenty three refugees resettled in Latvia have left for Germany, as reported by LTV.

Pregnant woman in Italy dies after doctor allegedly refused to perform abortion

Police in predominantly Catholic Italy is investigating a case of a woman pregnant with twins dying after miscarriage.

Russia applies discount on transit from Belarus

Russian Railways has applied a 25% discount on petrol, diesel fuel and crude cargo transports from oil processing plants in Belarus to Russia’s north-west ports. With that, Russia has basically provided Belarus with tariffs equal to tariffs in Baltics.

The first container train headed for Riga departs from China

On Thursday, 20 October, Latvian Transport Minister Uldis Augulis, representatives from LDz and YXE International Container Train, multiple Chinese officials and Latvia’s ambassador in China Maris Selga saw off the first test container train from China to Riga.

Customs officials intercept hashish shipment worth EUR 2 million

Latvian State Revenue Service’s Customs Police intercepted and confiscated a shipment of more than 200 kg of hashish worth EUR 2 million, as journalists were informed by SRS Customs Police Director Kaspars Podins on Thursday, 20 October.

SA: Riga Freeport has only realized one of five of our recommendations

Latvian State Audit follows the development of the largest investment projects especially carefully, because the state does not seem to handle them all that well. Krievu Island project is one of the largest investment projects, because there is European Union finances invested in it...

Job seekers in Lithuania want Western salaries, employers dumbstruck

Although Lithuanian labour market is in desperate for workforce, but those willing to toil will nod to a job offer only if the pay is really big. So big that the country‘s hirers feel like grabbing their heads upon hearing the candidates‘ salary expectations.

Overall government budget decreased in 2015

In 2015, the general government budget deficit amounted to EUR 309.0 million or 1.3% of the gross domestic product, whereas the general government consolidated gross debt amounted to EUR 8 846.3 million or 36.3% of the GDP.

SP: claims about Motorola’s murderer are an attempt to show Latvia as the enemy

Latvian Security Police views claims that Donetsk military commander Arseny Pavlov, aka Motorola, was allegedly killed by a hired killer from Latvia named Marks Ozolins is nothing more than yet another attempt at information war aimed to demonstrate Latvia and its citizens and enemies.

Estonian President Kaljulaid not to ask state to pay rent

Estonia’s new President Kersti Kaljulaid will not ask the state to pay rent for using her home unlike the former head of state Toomas Hendrik Ilves did.

Every third coin with Milda’s image has made its way to Europe

Every third euro coin with Milda’s image has found its way to Europe. The proportion of those coins in Latvia is 71% of all euro coins in circulation, according to monitoring data compiled by Citadele Bank’s CBL Cash Logistics service.

Estonia plans to increase female proportion in military

Estonia has announced plans to triple female involvement in the country’s Defence Forces and to expand the list of units accessible to woman soldiers by 2018.

Pre-paid mobile card users to be registered as part of a plan to reduce grey economy

At the meeting of state secretaries on 20 October, a proposal was presented from the transport ministry to begin registration of mobile pre-paid card users.

Next year’s budget plan and other decisions viewed by Saeima this week

On Thursday, 20 October, the Saeima will gather for an extraordinary meeting, during which deputies will discuss the next year’s budget plan and 57 associated legal drafts.

European Space Agency attempts to re-connect to its Mars probe

The European Space Agency has lost contact with its Mars probe on October 19 shortly prior to its planned landing on the planet.