The Latvian Union of Municipalities has found the implementation of EU fund allocations as insufficient and described the application procedure for cofinancing as "very complicated." The task-force pointed out that local governments have already exhausted the municipal budget's loan limit and will have problems finding money for project implementation. Gints Freimanis, Finance Ministry deputy state secretary, said that raising the limit of municipal borrowings would only increase national debt. He suggested that projects could be financed by the public-private partnership principle with funds contributed by the state, municipalities and private businesses. Municipalities can receive both EU funds and co-financing from the state, but local governments must cover all implementation before they can claim subsidies.
Latvian Finance Minister Oskars Spurdzins has suspended the customs administration chief for poor job performance during the country's accession to the EU. The finance minister said that Martins Tols, head of the general customs administration that is part of the State Revenue Service, was fired because many import-export businesses suffered losses during the first few days of membership. "Regretfully, Mr. Tols did not cope with this task. Many businesses are displeased with customs work," said Spurdzins. Customs officers also complained about poor coordination, arguing that because officers struggle with the new rules, there are especially long lines at Latvian - Russian border crossings. Tols, who was appointed to his post by the previous New Era-led government, told BNS that he rejected the accusations, saying he had done his best and did not feel guilty.