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Saturday 19.08.2017 | Name days: Melānija, Imanta
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Prime Minister: minimum salary cannot be raised

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Valdis Dombrovskis

Even though the government gradually increased minimum salary, and even managed to increase it during the crisis from LVL 180 to LVL 200, it is not possible to raise the minimum salary level, notes Prime Minister Valdis Dombrovskis.

He notes that the proportion of people receiving minimum salary in the country right now makes up about one third of all working people. And this leads to the «envelope» problem, because people choose to receive their salary in envelopes, and this is something which cannot be fixed with increasing the minimum salary level.

The head of the government admits that the state budget deficit reduction next year will require around LVL 70 million. According to what he said, the goal of the government is to improve the budget balance by 0.5% each year, which is around LVL 70 million in absolute numbers. In his interview to Latvijas Radio, the Prime Minister noted that the government will achieve this through economic increase, as well as limiting the growth of expenses, because new consolidation measures are not being planned.

Dombrovskis assures that there was a surplus in the state budget in first quarter of this year, and this tendency will continue this month as well. The fact that there is a surplus in the budget surely creates some pressure and wish to go with additional budget requirements. «Although it is highly unlikely that we would be able to return to the fatty years practice, when all surplus income was divided in the second half of the year», – says the Prime Minister.

He notes that if they come up with objective reasons, then, after thorough discussions in the government, funds will be allocated at the same time reaching the goal of a lower budget deficit, because «we already spending more than we are making».

Dombrovskis reminds that the government will receive a report from the Ministry of Finance in the coming weeks. This report will contain detailed calculations for inflation reduction measures. It will also contain reviews for possible consumption tax reduction measures.

Ref: 104.109.109.1139


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  1. Igor says:

    Shitty salaries .Shitty country.

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  2. Jans says:

    I agree with you shitty saleries, but not the country, its the people who govern it are the basterds ! People cant afford to live anymore here.

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  3. Dai says:

    Valdis, what a load of bullshit . You are not interested in helping the poor people of this country. You have no idea how ordinary people live.

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  4. tom says:

    I agree, Dombrovskis time you went down to minimum wage. you have done nothing for the people of Latvia, you are just as corrupt as everyone else in your “wicked and evil dictatorship”, you call a government.

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  5. Janis says:

    Would you all rather prefer Godmanis who pushed us all in the most severe crisis in Europe?

    Dombrovskis’ achievements have been appreciated internationally. Indeed, there is no long-term unemployment in Latvia now. There are just lazy people who prefer living on benefits which costs our tax money.

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  6. Andre says:

    Janis…….., obviously you either work for the Government or your that idiot Dombrovskis in disguise. OMG your comments “Dombrovskis’ achievements” he has achieved nothing, and Latvia is such an insignifcant country on the worlds stage, you really believe that this twit has done anything good!!!! NO CHANCE!

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