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Draft budget meets lender's demands for deficit cuts

Oct 14, 2009
Staff and wire reports

ON THE OTHER HAND...: Prime Minister Valdis Dombrovskis conducts his balancing act between spending cuts and further damage to the economy trough austerity measures.
RIGA - Facing strong international pressure, Prime Minister Valdis Dombrovskis' New Era party has announced that "Latvia must honor its obligations to the international lenders, including the 500 million lats' (714 million euros) budget cuts [it agreed to] next year," reports news agency LETA. The posting adds that "This can be done without reducing pensions or increasing value-added tax." New Era says that the suggestions regarding the 2010 state budget that were presented at the government m ...

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