In what almost could be seen as a State of the Union speech Prime Minister Valdis Dombrovskis (Unity) yesterday talked to the Saeima.
His assessment was that the state of the country was much better than in 2009. The measures taken to consolidate the budget, to establish the economic stabilization program and to adopt the 2010 budget have again given the market confidence in Latvia.
Thus according to Dombrovskis the government has achieved its main task, namely the prevention of Latvia become bankrupt. The country has now passed the critical point in the economic crisis and stabilized the financial system. This was essential to improve the country’s long-term national competitiveness and to restore economic activity. All this has been achieved without any social tensions.
A year ago, the economic situation had not yet stabilized. But now the economic recovery continues and Latvia can focus on targets in the medium term prespective, the Prime Minister said in his speech.
In the same report to the Saeima in 2010, Latvia had behind themselves an 18 percent economic fall and at the same time unemployment rose dramatically. Today the picture is different. This is the result of a substantial fiscal consolidation of LVL 500 million.
Dombrovskis also stressed that Latvia's economic recovery has gained international recognition. It has been particularly apparent in recent days when several rating agencies have raised Latvia's credit rating and outlook.
(Andra intressanta bloggar om politik, Lettland, Baltikum, Europa)
(Andra intressanta bloggar om politics, Latvia, Baltcs, Europe)
