PM: all surplus revenues must not be channeled into expenditures

  • 2012-07-10

Valdis Dombrovskis.

RIGA - The return of the so-called years of abundance, with all surplus revenues channeled into expenditures, is unacceptable, Prime Minister Valdis Dombrovskis (Unity) said in an interview with the Latvian State Television today, writes LETA.

Dombrovskis emphasized that, within the framework of the 2012 budget amendments, additional funds could be allocated to those programs which will not affect next year's budget. It is also important to achieve that this year's budget deficit does not exceed two percent of GDP.

The amount of additional financing from this year’s budget could amount to 60 - 68 million lats. However, budget requests from ministries exceed this amount by a large margin, said Dombrovskis.

Additional funds could be allocated to hospitals, the mother and child health program, the Latvian National Opera, the Latvian Song and Dance Festival, Riga as the 2014 European Capital of Culture, roads and the Latvian State Radio, explained PM.

As reported, during a closed session today, the government will decide on this year’s budget amendments.

The Cabinet will review the Finance Ministry's informative report on various budget amendment proposals from ministries and other state institutions.