Finance Ministry: Talsi, Gulbene might need state loans

Of the 43 local governments of Latvia, only Rēzekne has not adopted a budget within the time period specified in the Law, but of the other 42 local governments, at least five counties are likely to require a state loan, Latvian Radio reported February 27.

Inta Komisāre, director of the Ministry of Finance's local government financial operations supervision and financing department, told Latvian Radio that Līvāni and Valka municipalities are planning to submit loan requests. During the Finance Ministry's talks with local governments, it became clear that Talsi and Gulbene would also need loans, said Komisāre.

Meanwhile Gints Kaminskis, Chairman of the Latvian Association of Local Governments, said that problems with the performance of his functions and budget balance are faced by  “absolutely everyone” this year, including those who were able to balance the budget and will not ask for loans.

He reminded that costs are increasing for local governments, minimum wages are increasing, municipal police and drunk tank facilities must be maintained, payments for previously taken loans have increased due to the rise of Euribor. Kaminskis said the government needs to rethink and decide on giving more funding to local governments

Seen a mistake?

Select text and press Ctrl+Enter to send a suggested correction to the editor

Select text and press Report a mistake to send a suggested correction to the editor

Related articles


Most important