Riga willl start 2019 with temporary budget too; new programs to be put on hold

RIGA - The local authority of Riga will not pass the city’s budget for next year before Latvia’s 2019 budget is adopted, Riga mayor Nils Usakovs (Harmony) told LETA.

Until then, the local authority will be working with one twelfth of its last year’s budget and will not launch any new programs, the mayor said.

That means that in January the local authority will not provide free meals to preschool students. The mayor promised that the free meals would be ensured no later than September 2019. The delays, however, are not expected to affect any institution’s functions, Usakovs said.

In the situation where Latvia’s 2019 budget is delayed, local governments have two options – either to pass the respective municipality’s 2019 budget or to approve it after the promulgation of Latvia’s 2019 budget but no later than in two months’ time, representatives of the Finance Ministry said.

The Riga city council has opted to wait for the national budget. Usakovs said that no municipal institution – departments, social services and others – will adopt their 2019 budgets before the national budget is adopted.

As reported, Prime Minister Maris Kucinskis (Greens/Farmers) admitted earlier that because of the protracted government formation process Latvia’s 2019 budget will not be adopted this year. For that reason, a temporary budget was approved to esolve the issues arising from a delayed adoption of the 2019 state budget.