Latvia is an important partner for a strong Europe, increasing our resilience and support for Ukraine. This afternoon I therefore called my Latvian counterpart Prime Minister @AndrisKulbergs to congratulate him on his election victory last weekend.
We looked ahead to next week's European Council and talked in particular about our efforts on a modern and affordable EU budget. A budget that is ready for the future, focused on our priorities: increasing our security, strengthening our competitiveness and managing migration. I look forward to our further cooperation.
Already now border guards and soldiers can use firearms to detain saboteurs and other persons who illegally enter our country, but I will propose amending legal provisions to give greater freedom of action to our state's defenders. Those who guard the state border – border guards, soldiers and other officials – must be confident that they will not be held criminally liable for the lawful use of firearms and special means.
Latvia is an important partner for a strong Europe, increasing our resilience and support for Ukraine. That is why I called my Latvian colleague Prime Minister @AndrisKulbergs this afternoon to congratulate him on his election victory last weekend. We looked ahead to next week's European Council and discussed in particular our commitment to a modern and affordable EU budget. A budget that is ready for the future, focused on our priorities: increasing our security, strengthening our competitiveness and managing migration. I look forward to our further cooperation.
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Ministru prezidents
Reply
Thank you, Volodymyr. It is important that we have strong governments across NATO’s and the EU’s Eastern Flank, especially in countries bordering the aggressor in the East.
This is essential to safeguard our democratic values, strengthen our defence and security, and at the same time carry out the reforms needed to grow our economies.
Defence industry cooperation is an area where we must continue building on the strong progress we have already made together with you and 🇺🇦.
Support for Ukraine is—and will remain—a priority for Latvia 🇱🇻 and for 🇪🇺. By fighting back against Russia’s occupying forces, Ukraine is not only defending its own freedom and sovereignty—you are helping keep all of Europe safe.
We stand with Ukraine. 🇱🇻🤝🇺🇦
My warmest congratulations to @AndrisKulbergs on his convincing victory in Latvia’s parliamentary elections.
This strong result reflects the trust of the Latvian people in your leadership and vision for the country. Ukraine deeply values Latvia’s unwavering friendship and support. I look forward to further strengthening our strategic partnership.
Wishing you every success in serving the Latvian people!
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Tieslietu ministrs
Tweet
🇱🇻 In these photos my son grows. And in a sense, so does our Latvia.
Valters and I have a tradition. At every election, one photo at the ballot box. Always together.
In the first photos he is very small - still in my arms. Later he is already standing next to me. Today he is already 14.
And this time, looking at our old photos, one thought struck me: these are the last Saeima elections in which Valters is still standing next to me. In the next ones he will make his choice himself. With his own conviction and his own hand.
Perhaps that is how time is best measured. Not in years, but in how the child we once carried in our arms grows into a person who will have to take responsibility for our Latvian state.
Today I also made my choice - for people and a team that I trust and am convinced can solve the accumulated problems in security, economy, finance, education, health and other matters - for list No. 7, the United List @Apvienotais_ and the prime minister - Andris Kulbergs! @AndrisKulbergs 🌼
But regardless of what your choice is, go and make it.
Because election day is not only about politicians. It is about all of us Latvian patriots, our families and Latvia, which one day we will fully hand over to our children's hands.
Today our hands are still together at the ballot box. Next time - everyone will already have their own voice. 🇱🇻
Day No. 90 in the prime minister's chair (Thursday, Oct 1) – SPECIAL ANNOUNCEMENT TO ALL ILL-WISHERS – 80% of the government's work HAS BEEN DONE! A decision on RailBaltica has also been adopted;
📊 79% of the ministers' TOP3 priority tasks — DONE.
Today we reviewed the results of the first four months of the government's work.
Of the 61 priority major TOP3 tasks of ministers, 48 have been completed — 79%.
Of the 106 planned smaller tasks, 88, or 83%, have been achieved.
In the remaining month the government will work, we will complete the remaining 20%.
Among what has been done since the last meeting this month:
- 4 ministers have completed their tasks 100%
o @VARAM_Latvija@Edgars_T main achievement = the election system has been developed and handed over – the mark for the work done will be given by voters on October 3.
o KEM @JanisVitenbergs main task is the launch of the heat market overhaul – the Rīgas Siltums tariff rectification plan with 12 points and clear deadlines.
o @Tieslietas@EdvardsSmiltens prepared the law on the status of 30,000 Ukrainians in Latvia, so they can work and stay after March 1, 2027.
o @EM_gov_lv@valainis completed the simplified construction process (bureaucracy genuinely reduced); fast-track coordination for street vendors and businesses introduced.
✅7 ministers have almost completed their Top3, just 1 completed task short as of today
o @Finmin@MarisKucinskis almost completed all tasks with Tuesday's Finance Ministry report and cost-control measures already by the end of 2026.
o FinMin completed an important task – all procurements will be published from the first €, done ahead of the 2028 date set in law.
o @Iekslietas@janisdombrava submitted a revised migration report and an immigration-fighting plan.
✅Remaining tasks – ministers still have a month left, until November 3:
o 4 tasks require a political decision to be completed;
o 2 tasks depend on the adoption of the new EU MFF multiannual budget;
o 1 task - @veselibasmin@H_AbuMeri the unified appointment system will be completed within a month, once the cybersecurity tests are finished.
Tasks completed in 4 months, in addition to the government declaration:
✅The problem of NGO money-wasting and opaque funding allocation has been brought to the fore. The Finance Ministry has been tasked with developing a clear funding allocation procedure, with an efficiency assessment and the application of an open competition.
✅Suspension of the TET/LMT non-commercial transaction, preparation of a new, transparent solution that meets state interests.
✅Cooperation with FRANCE achieved to strengthen Latvia's security.
✅At the Eastern flank prime ministers' level, support achieved for the €7 billion initiative from the new EU MFF budget, where the justification is to be sought in the impact from the aggressor state in the East and the war in Ukraine.
✅Construction of the 6th stage launched at the airport – the new terminal that had been delayed for years.
✅Cybersecurity – requirements for the security rules of critical infrastructure data centres adopted, work that had not been done for 2.5 years; in this government we did it in 1 month.
o Cybersecurity monitoring equipment installed for 15 critical IT systems https://t.co/3UE7BCYahN for infrastructure protection/monitoring.
✅ICT moratorium – with the support of the European Public Prosecutor's Office, a cartel in state IT procurement has been halted. The imposed procurement moratorium stopped corruption, saved €21 million in the state budget and forced ICT projects worth €130 million to be reassessed, whose usefulness must be evaluated from zero.
✅A historic decision on the centralisation of ICT systems achieved;
✅Operation "VILKATIS" made it possible to neutralise a Russia-organised hybrid attack of illegal migration through Belarus, combining the border guard, the state police, the national armed forces and KVC.
✅OCTA regulation – I have personally been driving amendments in the Saeima for 3 years, so that a traffic accident victim is protected by an insurance guarantee fund if the guilty party flees the scene. In addition, it will be decided that an OCTA accident victim can turn to their own insurer instead of the guilty party as today. This will finally change the historic mistake, shifting the emphasis from the cheapest price to quality.
The government's work is not finished. Until the end of the government's mandate, we will not slow down the pace.
More on #RailBaltica in the next post
1/2
Day No. 90 in the prime minister's chair (Thursday, Oct 1) – SPECIAL ANNOUNCEMENT TO ALL ILL-WISHERS – 80% of the government's work HAS BEEN DONE! A decision on RailBaltica has also been adopted;
📊 79% of the ministers' TOP3 priority tasks — DONE.
Today we reviewed the results of the first four months of the government's work.
Of the 61 priority major TOP3 tasks of ministers, 48 have been completed — 79%.
Of the 106 planned smaller tasks, 88, or 83%, have been achieved.
In the remaining month the government will work, we will complete the remaining 20%.
Among what has been done since the last meeting this month:
- 4 ministers have completed their tasks 100%
o @VARAM_Latvija@Edgars_T main achievement = the election system has been developed and handed over – the mark for the work done will be given by voters on October 3.
o KEM @JanisVitenbergs main task is the launch of the heat market overhaul – the Rīgas Siltums tariff rectification plan with 12 points and clear deadlines.
o @Tieslietas@EdvardsSmiltens prepared the law on the status of 30,000 Ukrainians in Latvia, so they can work and stay after March 1, 2027.
o @EM_gov_lv@valainis completed the simplified construction process (bureaucracy genuinely reduced); fast-track coordination for street vendors and businesses introduced.
✅7 ministers have almost completed their Top3, just 1 completed task short as of today
o @Finmin@MarisKucinskis almost completed all tasks with Tuesday's Finance Ministry report and cost-control measures already by the end of 2026.
o FinMin completed an important task – all procurements will be published from the first €, done ahead of the 2028 date set in law.
o @Iekslietas@janisdombrava submitted a revised migration report and an immigration-fighting plan.
✅Remaining tasks – ministers still have a month left, until November 3:
o 4 tasks require a political decision to be completed;
o 2 tasks depend on the adoption of the new EU MFF multiannual budget;
o 1 task - @veselibasmin@H_AbuMeri the unified appointment system will be completed within a month, once the cybersecurity tests are finished.
Tasks completed in 4 months, in addition to the government declaration:
✅The problem of NGO money-wasting and opaque funding allocation has been brought to the fore. The Finance Ministry has been tasked with developing a clear funding allocation procedure, with an efficiency assessment and the application of an open competition.
✅Suspension of the TET/LMT non-commercial transaction, preparation of a new, transparent solution that meets state interests.
✅Cooperation with FRANCE achieved to strengthen Latvia's security.
✅At the Eastern flank prime ministers' level, support achieved for the €7 billion initiative from the new EU MFF budget, where the justification is to be sought in the impact from the aggressor state in the East and the war in Ukraine.
✅Construction of the 6th stage launched at the airport – the new terminal that had been delayed for years.
✅Cybersecurity – requirements for the security rules of critical infrastructure data centres adopted, work that had not been done for 2.5 years; in this government we did it in 1 month.
o Cybersecurity monitoring equipment installed for 15 critical IT systems https://t.co/3UE7BCYahN for infrastructure protection/monitoring.
✅ICT moratorium – with the support of the European Public Prosecutor's Office, a cartel in state IT procurement has been halted. The imposed procurement moratorium stopped corruption, saved €21 million in the state budget and forced ICT projects worth €130 million to be reassessed, whose usefulness must be evaluated from zero.
✅A historic decision on the centralisation of ICT systems achieved;
✅Operation "VILKATIS" made it possible to neutralise a Russia-organised hybrid attack of illegal migration through Belarus, combining the border guard, the state police, the national armed forces and KVC.
✅OCTA regulation – I have personally been driving amendments in the Saeima for 3 years, so that a traffic accident victim is protected by an insurance guarantee fund if the guilty party flees the scene. In addition, it will be decided that an OCTA accident victim can turn to their own insurer instead of the guilty party as today. This will finally change the historic mistake, shifting the emphasis from the cheapest price to quality.
The government's work is not finished. Until the end of the government's mandate, we will not slow down the pace.
More on #RailBaltica in the next post
1/2
Day No. 90 in the prime minister's chair (Thursday, Oct 1) – SPECIAL ANNOUNCEMENT TO ALL ILL-WISHERS – 80% of the government's work HAS BEEN DONE! A decision on RailBaltica has also been adopted;
📊 79% of the ministers' TOP3 priority tasks — DONE.
Today we reviewed the results of the first four months of the government's work.
Of the 61 priority major TOP3 tasks of ministers, 48 have been completed — 79%.
Of the 106 planned smaller tasks, 88, or 83%, have been achieved.
In the remaining month the government will work, we will complete the remaining 20%.
Among what has been done since the last meeting this month:
- 4 ministers have completed their tasks 100%
o @VARAM_Latvija@Edgars_T main achievement = the election system has been developed and handed over – the mark for the work done will be given by voters on October 3.
o KEM @JanisVitenbergs main task is the launch of the heat market overhaul – the Rīgas Siltums tariff rectification plan with 12 points and clear deadlines.
o @Tieslietas@EdvardsSmiltens prepared the law on the status of 30,000 Ukrainians in Latvia, so they can work and stay after March 1, 2027.
o @EM_gov_lv@valainis completed the simplified construction process (bureaucracy genuinely reduced); fast-track coordination for street vendors and businesses introduced.
✅7 ministers have almost completed their Top3, just 1 completed task short as of today
o @Finmin@MarisKucinskis almost completed all tasks with Tuesday's Finance Ministry report and cost-control measures already by the end of 2026.
o FinMin completed an important task – all procurements will be published from the first €, done ahead of the 2028 date set in law.
o @Iekslietas@janisdombrava submitted a revised migration report and an immigration-fighting plan.
✅Remaining tasks – ministers still have a month left, until November 3:
o 4 tasks require a political decision to be completed;
o 2 tasks depend on the adoption of the new EU MFF multiannual budget;
o 1 task - @veselibasmin@H_AbuMeri the unified appointment system will be completed within a month, once the cybersecurity tests are finished.
Tasks completed in 4 months, in addition to the government declaration:
✅The problem of NGO money-wasting and opaque funding allocation has been brought to the fore. The Finance Ministry has been tasked with developing a clear funding allocation procedure, with an efficiency assessment and the application of an open competition.
✅Suspension of the TET/LMT non-commercial transaction, preparation of a new, transparent solution that meets state interests.
✅Cooperation with FRANCE achieved to strengthen Latvia's security.
✅At the Eastern flank prime ministers' level, support achieved for the €7 billion initiative from the new EU MFF budget, where the justification is to be sought in the impact from the aggressor state in the East and the war in Ukraine.
✅Construction of the 6th stage launched at the airport – the new terminal that had been delayed for years.
✅Cybersecurity – requirements for the security rules of critical infrastructure data centres adopted, work that had not been done for 2.5 years; in this government we did it in 1 month.
o Cybersecurity monitoring equipment installed for 15 critical IT systems https://t.co/3UE7BCYahN for infrastructure protection/monitoring.
✅ICT moratorium – with the support of the European Public Prosecutor's Office, a cartel in state IT procurement has been halted. The imposed procurement moratorium stopped corruption, saved €21 million in the state budget and forced ICT projects worth €130 million to be reassessed, whose usefulness must be evaluated from zero.
✅A historic decision on the centralisation of ICT systems achieved;
✅Operation "VILKATIS" made it possible to neutralise a Russia-organised hybrid attack of illegal migration through Belarus, combining the border guard, the state police, the national armed forces and KVC.
✅OCTA regulation – I have personally been driving amendments in the Saeima for 3 years, so that a traffic accident victim is protected by an insurance guarantee fund if the guilty party flees the scene. In addition, it will be decided that an OCTA accident victim can turn to their own insurer instead of the guilty party as today. This will finally change the historic mistake, shifting the emphasis from the cheapest price to quality.
The government's work is not finished. Until the end of the government's mandate, we will not slow down the pace.
More on #RailBaltica in the next post
1/2
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Ministru prezidents
Tweet
Day No. 90 in the prime minister's chair (Thursday, Oct 1) – SPECIAL ANNOUNCEMENT TO ALL ILL-WISHERS – 80% of the government's work HAS BEEN DONE! A decision on RailBaltica has also been adopted;
📊 79% of the ministers' TOP3 priority tasks — DONE.
Today we reviewed the results of the first four months of the government's work.
Of the 61 priority major TOP3 tasks of ministers, 48 have been completed — 79%.
Of the 106 planned smaller tasks, 88, or 83%, have been achieved.
In the remaining month the government will work, we will complete the remaining 20%.
Among what has been done since the last meeting this month:
- 4 ministers have completed their tasks 100%
o @VARAM_Latvija@Edgars_T main achievement = the election system has been developed and handed over – the mark for the work done will be given by voters on October 3.
o KEM @JanisVitenbergs main task is the launch of the heat market overhaul – the Rīgas Siltums tariff rectification plan with 12 points and clear deadlines.
o @Tieslietas@EdvardsSmiltens prepared the law on the status of 30,000 Ukrainians in Latvia, so they can work and stay after March 1, 2027.
o @EM_gov_lv@valainis completed the simplified construction process (bureaucracy genuinely reduced); fast-track coordination for street vendors and businesses introduced.
✅7 ministers have almost completed their Top3, just 1 completed task short as of today
o @Finmin@MarisKucinskis almost completed all tasks with Tuesday's Finance Ministry report and cost-control measures already by the end of 2026.
o FinMin completed an important task – all procurements will be published from the first €, done ahead of the 2028 date set in law.
o @Iekslietas@janisdombrava submitted a revised migration report and an immigration-fighting plan.
✅Remaining tasks – ministers still have a month left, until November 3:
o 4 tasks require a political decision to be completed;
o 2 tasks depend on the adoption of the new EU MFF multiannual budget;
o 1 task - @veselibasmin@H_AbuMeri the unified appointment system will be completed within a month, once the cybersecurity tests are finished.
Tasks completed in 4 months, in addition to the government declaration:
✅The problem of NGO money-wasting and opaque funding allocation has been brought to the fore. The Finance Ministry has been tasked with developing a clear funding allocation procedure, with an efficiency assessment and the application of an open competition.
✅Suspension of the TET/LMT non-commercial transaction, preparation of a new, transparent solution that meets state interests.
✅Cooperation with FRANCE achieved to strengthen Latvia's security.
✅At the Eastern flank prime ministers' level, support achieved for the €7 billion initiative from the new EU MFF budget, where the justification is to be sought in the impact from the aggressor state in the East and the war in Ukraine.
✅Construction of the 6th stage launched at the airport – the new terminal that had been delayed for years.
✅Cybersecurity – requirements for the security rules of critical infrastructure data centres adopted, work that had not been done for 2.5 years; in this government we did it in 1 month.
o Cybersecurity monitoring equipment installed for 15 critical IT systems https://t.co/3UE7BCYahN for infrastructure protection/monitoring.
✅ICT moratorium – with the support of the European Public Prosecutor's Office, a cartel in state IT procurement has been halted. The imposed procurement moratorium stopped corruption, saved €21 million in the state budget and forced ICT projects worth €130 million to be reassessed, whose usefulness must be evaluated from zero.
✅A historic decision on the centralisation of ICT systems achieved;
✅Operation "VILKATIS" made it possible to neutralise a Russia-organised hybrid attack of illegal migration through Belarus, combining the border guard, the state police, the national armed forces and KVC.
✅OCTA regulation – I have personally been driving amendments in the Saeima for 3 years, so that a traffic accident victim is protected by an insurance guarantee fund if the guilty party flees the scene. In addition, it will be decided that an OCTA accident victim can turn to their own insurer instead of the guilty party as today. This will finally change the historic mistake, shifting the emphasis from the cheapest price to quality.
The government's work is not finished. Until the end of the government's mandate, we will not slow down the pace.
More on #RailBaltica in the next post
1/2
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Politiķis un žurnālists
Reply
@io7246 No, Saakashvili started by actually firing all the road police officers, and the rest understood that it could happen to them too. That did not stop the new interior minister from setting up a luxurious apartment with a gym and a jacuzzi for himself on the top floor of the ministry building.
Salaries for delusional bureaucrats must be halved and the money given back to the police. My Georgian students told me how Saakashvili stopped corruption on the roads in Georgia! Georgia! Saaka did it by increasing police salaries 3x! https://t.co/U7v4nSYiKG
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Tieslietu ministrs
Tweet
I am particularly concerned that school-age children are being involved in the illegal e-cigarette trade.
At first it may be selling banned e-cigarette liquids to peers. But a young person can come under the influence of criminal groups and become involved in the distribution of other banned substances too. 🛡️
It seems important to look at this problem more broadly. Behind each such case is a child whose safety and future we must not neglect. We must be able to spot risks in time, protect children, and take action against those who exploit them for profit.
📌 Today, at the Crime Prevention Council, we agreed that the responsible ministries must prepare concrete solutions within two months. It is important to me that they also have a clear place for preventive work.
📌 We also discussed the management of seized property. It is important to me that, while criminal proceedings continue, the property is properly managed and its value preserved. At the Ministry of Justice, we have already prepared amendments to the law providing that managers will be appointed by the Cabinet of Ministers. In particular, a solution must be found for the management of capital shares, shares and financial instruments of companies, because it requires special legal and financial knowledge.
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Tieslietu ministrs
Tweet
⏱️ In 1 minute: the main accomplishments in the office of Minister of Justice
In four months we have achieved concrete results in all three priorities set by @Tieslietas: assistance to victims of military incidents, a stronger and more independent judiciary, support for Ukraine. At the same time, we have reduced bureaucracy and strengthened election security.
Behind each of this work is a person who needs help, a timely court decision, or certainty about their future. That is exactly how policy results should be measured.
My responsibility is to ensure that the state is able to protect, help, and provide justice. With such determination I will continue the work I have started! 🇱🇻
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Biedrības 'Latvijas restarts' biedrs
Reply
@JanisIesalnieks@taisnibaskalps@VL_TBLNNK@Apvienotais_ Easy shock about this situation. A scumbag for a party. Will hire lawyers, bring in crisis managers, blame others and forget. But the young girl's life is ruined.
@CerinsAivis@taisnibaskalps@VL_TBLNNK@Apvienotais_ Did the Istanbul Convention somehow help the minor orphan who was seduced this summer by the Progressives' deputy Eņģelis? Or the thousands of women and children who are raped by immigrants in Sweden, Britain, Spain, etc., Istanbul Convention member states?
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Politiķis un žurnālists
Reply
@UsulisBintars I have read it. And exactly so — the convention is just paper, because violence must be combated with national legislation and effective law enforcement work. In all European countries where migrant terror against women occurs, this convention is in force. So?
@karlis_serzants Seržant, as an ex-politician, maybe you should still be able to read that "evil" Istanbul Convention once??? And then think a little. Can you? The convention does not guarantee that all sorts of perverted types, no matter which party they are in — Pro, JV, LPV or AS — will not commit their perversions.
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Ekonomists (FM ministra birojs)
Reply
@AivarsLokmanis@KBBergis That is chosen by society. Ours is red, wants almost everything for free. 'The state must provide' is surely already the top thesis among all others. It goes alongside 'the entrepreneur is a thief and the thief must go to prison.' Also to fill up fuel with a discount, why not? Lenin lives forever✊
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Biedrības 'Latvijas restarts' biedrs
Reply
@taisnibaskalps@VL_TBLNNK@Apvienotais_ 1- A fairly plausible hypothesis that ST is a springboard document + I agree that we can introduce laws ourselves. In reality they already were/are. The biggest problem is with police capacity and capabilities. 2- I also agree.
@CerinsAivis@VL_TBLNNK@Apvienotais_ 1) Aivis, if all the left parties advocate for it so much, it means that the future plans for this paper are different; additionally, it requires additional spending from us. We can introduce our own laws ourselves, and for now this is yet another trough, and Latvia has no money. 2. It is a matter of principle.
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Biedrības 'Latvijas restarts' biedrs
Reply
@taisnibaskalps@VL_TBLNNK@Apvienotais_ Not so long ago, when there was a lack of substance in the conversation, people talked about the weather. The new trend is the Istanbul Convention 😅🤷🏽
We primarily need to think about how not to go bankrupt. If someone beats/humiliates/blackmails women/children/fellow citizens, then the scoundrel must be punished with or without conventions. Am I wrong? 🙏🏼
APVIENOTAIS SARAKSTS - Latvijas Zaļā partija, Latvijas Reģionu Apvienība, Liepājas partija · Ministru prezidents
Tweet
Day No. 85 in the prime minister's chair (Monday) – 💰 Parties — who promises more? 📊 Budget scenarios; 🇳🇵 News from Nepal
The day was spent working with @MarisKucinskis, @Finmin and @Valstskase officials and managers, analysing state finances, economic forecasts, saving opportunities and various scenarios.
📊 Figures, data and facts:
➖ The financial policy and spending management of previous governments have long been irresponsible — the budget deficit has been kept at the maximum possible limit, regularly borrowing money also for everyday spending. Such an approach had become the norm, and the whole Latvian society and sectors have become accustomed to this model.
➖ In 2028, the largest budget deficit is forecast — €2.7 billion, or 5.4%!
➖ Just servicing the state debt, i.e. interest payments, will already cost €681 million next year. This money will have to be found somewhere — so somewhere less will have to be spent.
Debt servicing costs have risen from €155 million in 2021 to €681 million in 2027, because the price of money has become significantly higher.
➖ By 2030, the budget plans adopted by New Unity's finance ministers and prime minister provide for a deficit of around €2 billion every year. That is not safe and sustainable management of state finances.
➖ The Siliņa government (JV) left behind decisions adopted in the Cabinet of Ministers or laws worth €421 million in 2027, and this amount rises to €663 million in 2030 — WITHOUT ANY FINANCIAL COVERAGE.
Of which:
🏥 €264 million — for health care
👩🏫 €56 million — for teachers' salaries
➖ Latvia's current and forecast economic growth is stagnatingly low — around +2% a year, but its contribution to the budget is largely eaten up by forecast annual inflation of +3.5%.
➖ The largest increase in budget expenditure is for defence and security — +32%, amounting to around €2 billion a year.
➖ The state has long been programmed to live at the maximum permissible budget deficit, without reviewing existing expenditure and on top of that adding another +1.5% of borrowing for security, which the 🇪🇺EU allows to be additionally included in the deficit for three years.
Conclusion?
👉We do not review existing budget expenditure.
👉We continue to live on debt.
👉And we borrow even more, because we are allowed to do so.
That is not right.
➖ Also noteworthy is the manoeuvre of E. Siliņa's (JV) government, borrowing 1% from the 2nd pension level. That too will have to be paid back into the budget — an impact of around €280 million in 2029.
➖ Also in 2029, the term expires for the additional tax imposed on banks, i.e. the windfall tax. As a result, the state budget will also lose these additional revenues.
➖ One of the biggest problems in budget planning is politically adopted decisions to "tie" spending in specific sectors to a certain percentage — for example, 6% of GDP for health care — or to automatically index wages.
If a budget expenditure is tied to a specific %, the whole expenditure part automatically increases as GDP or another variable grows — without any new government or Saeima decision.
✅ There is also good news.
The Ministry of Finance and @kucinskis have been working since July, reviewing the ministries' base expenditure, and have already found €214 million in savings in the 2027 budget base.
That is a step in the right direction, but there is still a lot of work to do. We must continue to optimise expenditure so that there is money to cover already planned and adopted commitments for which no revenues have been identified.
📕 One thing is clear to me — the next government will have to adopt an iron-fisted "2027–2030 FISCAL STABILITY AND REFORM PLAN", more precisely — a special law, similar to during Covid.
The way out of this financial situation is not a simple spending-cutting plan. That will not be enough this time.
📈 The economy and budget revenues must be grown rapidly, with the main emphasis on the opportunities of export-capable companies.
I believe this is possible, because such slow economic growth can and should be increased by at least +1.5 percentage points a year. That would give the budget an additional around €300 million in revenue.
💶 But we need to save already today — already for 2027.
That is why the ministers agreed:
⛔ To stop the typical DECEMBER waste — meaninglessly spending the balances of ministries and institutions at the end of the year.
⛔ From 1 October, to suspend the conclusion of any new contracts and commitments. A similar moratorium as in the ICT area — if something is truly necessary, the need and usefulness must be proven.
🧊 To freeze salaries at the 2025 level.
⛔ To stop paying DECEMBER bonuses and extra payments — an exception may be allowed only for special achievements and with a manager's justification.
⛔ To stop unnecessary events, seminars, conferences, consultations and studies, as well as office and equipment renewal, IT and other investments that are not critically necessary.
🔍 Ministers must take political responsibility and, together with state secretaries and heads of institutions, review and justify any budget expenditure above €50,000.
🗳️ PARTIES — WHO PROMISES MORE?
Given this stark budget reality and the legacy left in state finances, where even borrowing up to the maximum 🇪🇺EU-permitted budget deficit limit is not enough, the pre-election promises of political parties stand out in particular.
They can no longer be measured in hundreds of millions — they are already measured in billions of euros, moreover without financial coverage and without a real economic growth offer.
I have analysed the programmes of several political parties and summarised each party's promises in monetary terms for the period from 2027 to 2030.
🏆 The political "Promisers" record-holders for the next four years:
🥇 No.1 — Suverēnā Vara / Jaunlatvieši (Stepaņenko wants to give benefits, cut VAT, raise wages): +€3.61 billion
🥈 No.2 — @LatvijaPirmaja (@SlesersAinars – we lower VAT on everything): +€2.87 billion
🥉 No.3 — @ZZS_ (@ViktorsValainis — promising to abolish VAT): +€2.47 billion
4️⃣ @Progresivie (@suvajevs — because money grows on trees): +€2.1 billion
5️⃣ @Jauna_Vienotiba (@aseradens — we continue to borrow endlessly): +€1.56 billion
6️⃣ @tblv Nacionālā Apvienība — (wants to fund language, education, culture and fight illegal migration, without thinking about the ECONOMY): +€1.55 billion
7️⃣ @Apvienotais_ — main emphasis on education, which will pay off in the future, with a justification of where we will get the funding: +€763 million
🇳🇵 NEPAL
In the Nepalese context — all those belonging to Latvia are still in the status of missing persons.
According to the Civil Law, one must wait until April 2027 to change this status and relatives can start arranging the necessary documents.
Until then — hope dies last.
The Latvian government is ready to help in every possible way, if such a need arises.