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Saturday 19.10.2019 | Name days: Drosma, Drosmis, Elīna
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Latvian government allocates considerable finances for ministries’ priorities

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The government has decided to allocate an additional amount of EUR 173.0 million from the 2020 budget to finance priorities of ministries and independent institutions.

Although last week the amount available for priorities in the 2020 budget’s fiscal space was EUR 192.4 million, Finance Ministry explained that the fiscal space covers not only measures intended to increase revenue but also measures that reduce budget revenue. As an example for measures that reduce budget revenue, Finance Ministry mentioned the increase of differentiated non-taxable minimum from EUR 230 to EUR 300 starting from 1 January 2020.

On Tuesday, 17 September, Latvia’s government decided to divide an additional amount of EUR 173.8 million. EUR 91.12 million will be divided for priorities of ministries, EUR 72.4 million will be provided for inter-industrial priorities and EUR 10.44 million for priorities of independent institutions.

Priorities of ministries and other central institutions will receive funding of EUR 91 118 661. EUR 916 236 of this amount will be provided for priorities of the Cabinet of Ministers, EUR 5.56 million will be provided for the priorities of the Corruption Prevention and Combating Bureau (KNAB), EUR 3 million – for Foreign Affairs Ministry, EUR 900 000 – for Finance Ministry, EUR 18.9 million – for Interior Affairs Ministry, EUR 6.96 million – for Welfare Ministry, and EUR 4.03 million – for Justice Ministry.

Priorities of Environment Protection and Regional Development Ministry will receive funding of EUR 1.12 million, Culture Ministry’s priorities will receive funding of EUR 13 million, Healthcare Ministry will receive EUR 7.89 million, the Central Election Commission will receive EUR 602 763. EUR 10 million will be provided for measures to combat money laundering and terrorism financing activities.

Inter-industrial priorities will receive an additional amount of EUR 72 404 538. EUR 42.11 million will be divided to ensure increase of wages for healthcare workers. EUR 1.04 million will be allocated for state study programmes, whereas in order to increase the lowest wages of teachers to EUR 750 starting with 1 September 2019, a total of EUR 22.99 million is allocated. EUR 6.26 million will be allocated to finance demography-promoting activities.

EUR 10 440 527 will be allocated for independent institutions. EUR 724 240 of this amount will be allocated for the State President’s Chancellery, EUR 67 928 for the Ombudsman’s Office, EUR 392 153 – for institutions under Justice Ministry, EUR 567 712 – for the Constitution Protection Bureau, EUR 577 980 – for the Data State Inspectorate, EUR 462 900 – for the State Audit, EUR 196 915 – for the Supreme Court, EUR 912 112 – for the Constitutional Court, EUR 625 440 – for the Office of the Prosecutor, and EUR 5.9 million – for radio and television.

Finance Ministry has time until 11 October to submit to the Cabinet of Ministers a general government budget plan, as well as medium-term budget plan for 2020, 2021 and 2022.


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