Latvian businesses face 'crisis'

  • 2008-09-10
  • In cooperation with BNS
RIGA - The head of the Latvian Employers' Confederation has said that businessmen in the country are faced with a "crisis situation."

Employers' Confederation of Latvia President Vitalijs Gavrilovs told reporters after a meeting with Prime Minister Ivars Godmanis that the government needed to amend its taxation policies to keep the situation from getting any worse.

"Efficient state administration is needed. Nothing has been done for 17 years… we are looking for compromises on how not to deteriorate the situation with [frugal] decisions," Gavrilovs said.

"Businessmen now are facing a tough situation. I believe we are in crisis… If the government attempts to lay obstacles, it will become worse," he said.

Gavrilovs said that the government's decision to freeze wages in the public sector will not help the country solve its economic problems.