bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Tuesday 19.03.2019 | Name days: Jāzeps
LatviaLatvia

Auditor General: Latvia has set wrong goals in EU funds acquisition

FaceBook
Twitter
Draugiem
print
(+1 rating, 1 votes)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RU, Inguna Sudraba

Auditor General Inguna Sudraba

The state has set wrong objectives in the European Union (EU) funds acquisition, not considering efficient use and the maximum yield of these funds, the Auditor General Inguna Sudraba indicated at Saeima European Affairs Committee meeting.

Only one objective prevails – to acquire the funds, and not to evaluate their most effective use, or the added value, LETA cites the Auditor General.

According to Sudraba, it is less considered whether the projects reach the set goals and contribute to the economy, and whether the invested money has added value. The main thing is to utilize all the money. Also, the fund management system itself is heavy, a large amount of information is requested and received, but little of it is taken into account and used, the Auditor General pointed out.

During the meeting, the Ministry of Finance representatives acknowledged that it is too late to carry out a substantial reform and merge the responsible institutions, as it was suggested by the Ministry a year and a half ago. These reforms did not received support from the government coalition, but it is too late to implement them now, as this could undermine the acquisition of funding in the remaining planning period until 2014.

Currently, seven institutions under the authority of ministries are in charge of the fund acquisition, and we should consider merging them, only starting from the next planning period.

The Finance Minister Andris Vilks remarked that a record-high funding has been allotted to the EU funds in the next year’s budget – 1.1 billion lats – and, according to the government and the international experts, next year funds will be the only major instrument for economic development.

As reported previously, the State Audit Office (SAO) found that the Ministry of Finance (MF) has improved the procedure of irrelevantly used fund recovery and control; however, it did not avert several considerable shortcomings in the EU fund acquisition surveillance system.

The surveillance system of EU fund acquisition does not create the conviction of a systemic approach to the control and analysis of fund utilization. Presently, the EU fund management is focused on faster acquisition of money, not on more effective measure implementation, evidenced by the SAO identified deficiencies in the EU fund planning and redistribution.

The SAO also established that the MF does not provide a qualitative management of the EU funds to achieve macroeconomic stability, because relevant assessment of the EU fund investment impact is not carried out.

Still, when carrying out payment request inspection, the institutions verify the expenditure supporting documents at full extent, not randomly. Thus, the MF has failed to ensure a sufficiently effective and economical use of 2.7 million lats, the SAO concluded.

As indicated by the SAO, the MF has not made improvements in the optimisation of organizational structure. The structure of the EU fund managing institutions is fragmented, small divisions perform similar functions, and the proportion of executives and employees has been retained at the level of 2009 – one executive per 1.8 employees.


Leave a reply

  1. Dasia says:

    Frankly I think that’s abosluetly good stuff.

Latvia’s 2020 budget draft sent to the parliament for first viewing

On Tuesday, 19 March, Latvian Saeima’s Budget and Finance Committee conceptually supported this year’s state budget project and decided to submit it to the parliament for its first viewing. The committee decided to submit 14 additional legislative drafts associated with the budget, as reported by Saeima’s press-service.

Minister: Latvia needs representatives in EP the country can be proud of

«Latvian voters should keep in mind that Latvia is represented by only eight members in the European Parliament. It is vital to find candidates we would not be ashamed of. There is no other recipe – if you want to affect the composition of the European Parliament, it is important to remember that results from votes. Nothing will change if we stand on the sidelines,» said Latvian Culture Minister and MEP candidate Dace Melbārde in an interview to BNN.

Rigvir medication distribution in Latvia halted temporarily

Bio-technology company Rigvir has decided to halt distribution of Rigvir medication in Latvia temporarily, as confirmed by Rigvir Group CEO Kristīne Jučkoviča.

Finance commission’s head says Latvia has too many banks for its small market

It is clear there are too many banks for Latvia’s domestic market, said chairman of Finance and Capital Market Commission Pēteris Putniņš in an interview to LTV programme Rīta Panorāma on Tuesday, 19 March.

Latvian residents become more optimistic about government’s work

In one month’s time Latvian residents’ opinion of Prime Minister Krišjānis Kariņš’s government has improved, according to data from SKDS study.

Dutch authorities arrest Utrecht tram shooter

According to Dutch authorities, the man who opened fire in a tram in Utrecht, killing three and injuring five, has been arrested.

Parliament: Latvian universities should be among 500 best in the world

Latvia’s leading universities have a clear vision for the future. It is topical for continued development of the country’s education and science sector.

Latvian minister to request police investigation in public transport company

Latvia’s Environment Protection and Regional Development Ministry has finished its analysis of the audit performed in municipal public transport company SIA Rīgas satiksme. Soon the ministry plans to ask law enforcement institutions to provide their opinion on whether or not there had been fictive employment or other violations committed by the company, as reported by TV3 news.

Latvian prime minister urges sorting the system, not raising taxes

A number of sectors require reforms to avoid raising taxes to increase revenue, said Latvian Prime Minister Krišjānis Kariņš during a meeting of Saeima’s Budget and Finance Committee on Monday, 18 March.

Stoltenberg calls NATO the most successful alliance in world history

NATO is the strongest, most successful alliance in history, wrote NATO’s Secretary General Jens Stoltenberg in an article dedicated to the expansion of the North Atlantic Treaty Organization.

Heavy rainfall in Indonesia causes floods and landslides; death toll reaches 77

Approximately 77 people have been killed in mountain villages hit by floods and landslides caused by intense rainfall in Indonesia’s Papua Province, according to the latest information reported by Indonesian authorities.

Number of job vacancies in Latvia up 33.4% in 2018

In 2018, there were 22.7 thousand job vacancies in Latvia, which is 5.7 thousand vacancies or 33.4 % more than in 2017.

Swedbank: more than 1,400 Latvian families purchased property in regions last year

In 2018, Swedbank had issued more than 1,400 loans for property purchases within 50 km radius around Riga. This is an average of six loans issued every work day, as reported by Swedbank representative Jānis Krops.

Minister: Latvia may require radical image change because of finance sector’s problems

Considering the problems in the country’s finance sector, it will be necessary to work on radically changing the country’s image, says Latvian Foreign Affairs Minister Edgars Rinkēvičs.

Riga Mayor’s wife suspected of dubious employed in public water supply company

For eight years Riga Mayor Nils Ušakovs’ office manager Iveta Strautiņa-Ušakova worked as a consultant for municipal water supply company Rīgas Ūdens, as reported by LTV investigative journalism programme De Facto.

Latvian Centre Party to take part in European Parliament elections

A list of candidates compiled by Centre Party from Latvia has been submitted for European Parliament elections. The list is composed of fifteen candidates. This makes it the fifth list of candidates to be submitted for EP elections in Latvia so far, as reported by Central Election Commission.

Air temperature in Latvia to stay positive this week; more precipitation expected

Weather will be dominated by cyclone activity this week. Wind speed will also increase in the country’s western parts in the first half of the week. At the end of the week, air temperature to become chilly at night, as reported by Latvian State Environment, Geology and Meteorology Centre.

Week in Lithuania. N-plant invites bids for repository construction contract

Lithuania's Ignalina Nuclear Power Plant, which was shut down a decade ago and is now being decommissioned, invited bids for the construction of a 100-million-euro near surface repository for low and intermediate level short-lived radioactive waste.

BNN summary of the week: when is Brexit? Estonia’s government worries; more problems with Rīgas satiksme

BNN offers a summary of this week’s topical news in a variety of categories: Attempt; Decision; Investigation; Scandal; Legislation; Expectation.

Suspect in criminal case leaves post in Alkom-Trans

SIA Alkom-Trans chairman Aleksandrs Krjačeks, who is a suspect in a criminal case regarding SIA Rīgas satiksme’s procurements, has decided to step down, according to information from Lursoft.

Eurostat: Latvia had higher annual inflation than average in EU and Eurozone

In February 2019, Latvia’s inflation was higher than the average in European Union and Eurozone, according to data published by Eurostat on Friday, 15 March.

Harmony and New Harmony to compete for seats in European Parliament

Association of parties Alternative Party, which received only 0.34% support from voters in the recent Saeima elections, has decided to start in upcoming European Parliament elections with a new name – New Harmony, as reported by Latvijas Radio.

ABLV Bank’s liquidators recover assets worth EUR 37.938 million in February

In February 2019, liquidators of ABLV Bank had successfully recovered assets worth EUR 37.938 million, which is 21% less than a month prior, according to the annual account published in Latvian Herald.

Polish Catholic church reveals mass child sex abuse by clergy

The administration of the Polish Catholic Church has stated it has since 1990 registered child sex abuse affecting 625 underage victims by 382 clergymen. Poland's Catholic Church authorities revealed the data on Thursday, March 14.

Insurer: children receive 11% more injuries during school breaks

During school breaks the frequency at which children receive injuries is 11% higher when compared to the year’s average, according to data from BTA Baltic Insurance Company.