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Wednesday 22.05.2019 | Name days: Emīlija
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Kariņš: policy of Latvia’s new government to surface during 2020 budget talks

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUIt is planned that the next government will start working immediately after approval in order to continue the work started by the last government and start tackling the 2020 state budget as early as spring, said prime minister candidate Krišjānis Kariņš in an interview to Latvijas Radio.

He admits that additional funds will be needed to continue already commenced tasks. Nevertheless, Kariņš is confident funding will be found, because no radical changes are planned. Following the plan and moving forward one step at a time would secure necessary funds and complete tasks.

«We are keeping an eye on economic growth in Latvia, which will definitely contribute to the state budget and planned work for the future. We will not be a revolutionary government, rather an evolutionary one. Our main objective will be sorting out all sectors and systems to ensure they function properly and Latvian residents start trusting state administration,» adds Kariņš.

As it is known, one of the priorities of Latvia’s forming government will be the sorting of the finance system, enhancement of security and rule of law, administrative territorial reform, improvement of healthcare and education quality, as well as abolishment of the mandatory procurement component system.

Partners of the forming coalition planned to hold another meeting in the morning of Monday, 21 January, to conclude work on the government declaration. This means the document may yet change.

Government priorities include improvement of competitiveness of the national economy, its productivity and investment volumes, as well as improvement of the country’s demographic situation. Government’s work on priorities is based on ‘strict fiscal discipline and plans for surplus in the state budget’.

Government goals, putting welfare of Latvian residents first, will include maintaining euro-Atlantic course, fiscal discipline, non-compromised rule of law and reduction of inequality, the document mentions.

The forming government intends to reduce income inequality in Latvia by enhancing social policy and using tax policy instruments. This is planned to be accomplished by continuing pension compensation, increasing pensioners’ non-taxable minimum and benefits for dependents.

Politicians plan to abolish MPC system in compliance with principles of rule of law, as well as prevent appearance of similar payments from other finance sources in the best interests of the state budget and residents. The declaration project includes a promise to re-evaluate the legality of MPC system.

The forming government wants to make sure the labour tax for all groups is the most competitive in Baltic States. It is also planned to motivate residents in Latvia to work. The government also has plans to review the standing immigration policy to resolve the problem of the shortage of work force.

The objective of the government is having a healthy, provided and unified society whose values include Latvian language and culture. The document mentions: «Family is the foundation of society. We will create conditions to help increase birth rates, improve quality of life, reduce emigration and increase re-emigration.»

The forming government in Latvia promises to create a sustainable healthcare financing model that includes all Latvian residents. Additionally, the government promises to adopt a more open and fair competition on the medicines market by creating a national pharmaceutical policy in order to improve the accessibility of medicines and reduce their prices.

The government declaration, among other topics, also touches upon the transition to education only in state language and the adoption of lessons to enhance patriotism on all levels of education, especially in the pre-school period.

To optimize the school system, the government plans to pay attention to the preservation of schools along the EU border and secure compliance with new education quality criteria.


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