Lenders return to review budgetary compliance

  • 2012-05-10
  • From wire reports

LAST RESORT: Latvia has returned to international finance markets after 2 From wire reports, RIGA A post-monitoring mission from the International Monetary Fund and the European Commission will be visiting Latvia from May 7 through May 16, reports LETA. On May 15, the mission will meet with Prime Minister Valdis Dombrovskis (Unity). During the visit, the mission will lay emphasis on the implementation of the convergence program and other agreements reached with the international lenders. Adherence to structural criteria by Latvia will be the main factor evaluated by the mission. Two visits by the IMF and European Commission representatives to Latvia are planned this year. Latvia officially concluded its three-year international loan program on Dec. 21, 2011, during which the country implemented stringent austerity measures to stabilize its finances after the economic downturn. The loan program formally concluded on Jan. 20 this year. During the program, Latvia used 4.4 billion euros made available by the IMF, the European Commission and the World Bank. The IMF approved the first tranche of the loan on Dec. 23, 2008. Latvia plans to repay the loan by refinancing state debt on the international financial markets. On Feb. 14 this year, Latvia successfully issued five-year bonds for $1 billion with a fixed annual interest rate of 5.25 percent. The issue was organized pursuant to the government’s borrowing strategy in order to refinance the international loan program. o

RIGA - A post-monitoring mission from the International Monetary Fund and the European Commission will be visiting Latvia from May 7 through May 16, reports LETA. On May 15, the mission will meet with Prime Minister Valdis Dombrovskis (Unity).
During the visit, the mission will lay emphasis on the implementation of the convergence program and other agreements reached with the international lenders. Adherence to structural criteria by Latvia will be the main factor evaluated by the mission.

Two visits by the IMF and European Commission representatives to Latvia are planned this year.
Latvia officially concluded its three-year international loan program on Dec. 21, 2011, during which the country implemented stringent austerity measures to stabilize its finances after the economic downturn. The loan program formally concluded on Jan. 20 this year.

During the program, Latvia used 4.4 billion euros made available by the IMF, the European Commission and the World Bank. The IMF approved the first tranche of the loan on Dec. 23, 2008.
Latvia plans to repay the loan by refinancing state debt on the international financial markets. On Feb. 14 this year, Latvia successfully issued five-year bonds for $1 billion with a fixed annual interest rate of 5.25 percent. The issue was organized pursuant to the government’s borrowing strategy in order to refinance the international loan program.