Devaluation not to be discussed-PM

RIGA- Despite the recent statement by government adviser Bengt Dennis, Prime Minister Valdis Dombrovskis told the press that devaluation is not an option being considered.

"No one knows if there will be a devaluation tomorrow or in a few months -- the time frame is always uncertain -- but we have moved beyond the question of whether there will be a devaluation and should instead focus on how it will be carried out," Dennis told Swedish state television.

Justice Minister Mareks Seglins is not calling for devaluation, but stated that there needs to be options.

Seglins stated that the central bank and the Finance Ministry should create estimates for the possible gains or losses from a change in the value of the currency.

"I am not calling for the devaluation of the lats, but there must be a debate," Seglins told reporters.

Banks are prepared for devaluation in the event that it occurs.

"I'm sure that local politicians, central banks, European Union and IMF offer necessary means to stabilize the situation in the Latvian economy. Especially IMF has good practice with helping the countries which are in economic difficulties," said risk manager Goran Bronner of Swedbank.