Sense of duty for Latvia in ESM

  • 2014-03-05
  • From wire report

RIGA - For Latvia, accession to the European Stability Mechanism (ESM) is not only a duty, but also a matter of solidarity, Prime Minister Laimdota Straujuma (Unity) told reporters after a meeting with ESM Managing Director Klaus Regling on March 3, reports LETA.

When Latvia was experiencing financial difficulties, the International Monetary Fund aided the country and it was able to overcome the crisis. Therefore, accession to the ESM is a matter of solidarity, emphasized Straujuma. Latvia will do everything in its power to join the ESM and will nominate Finance Minister Andris Vilks (Unity) for the ESM’s board.
Regling congratulated Latvia on becoming the 18th country to join the ESM and lauded Latvia as an example for other countries to follow when overcoming the crisis. Latvia’s experience in this regard is invaluable, emphasized Regling.

By joining the European Stability Mechanism, Latvia could also provide eurozone countries with valuable experience since, due to its determination, Latvia has overcame a deep crisis, implementing macroeconomic adjustment measures and structural reforms, said Regling after a meeting with Finance Minister Andris Vilks (Unity) this week.
Latvia will become a full-fledged member of the European Stability Mechanism on March 13.
“I am delighted to welcome Latvia as the first of the new member states since the European Stability Mechanism’s inauguration in October 2012,” said Regling.

“The eurozone is moving out of the crisis and I am very glad that the monetary union is constantly expanding,” he added. Latvia’s real GDP dropped 24 percent during the 2008-2009 crisis.
“It is not only our duty to join the European Stability Mechanism, but we also owe solidarity to our European partners, who are providing financial assistance and helping us exit the crisis, which we have at least partially caused by our own actions,” emphasized Vilks.