Saeima adopts 2023 budget after all night long debates

  • 2023-03-09
  • LETA/TBT Staff

RIGA - Saeima after all night long debates, on Thursday morning adopted this year's budget and the budget framework for the next three years in the final reading.

The budget was adopted with 52 votes to 39.

The parliament rejected all proposals submitted by opposition lawmakers, but supported several proposals submitted by the government and ministries.

Parliament debate on the budget started at 9:00 a.m. on Wednesday morning. 

The consolidated budget revenue is planned at EUR 12.7 billion and expenditure at EUR 14.7 billion. Compared to the 2022 budget, in 2023 revenue is expected to grow by EUR 2.025 billion and expenditure - by EUR 2.233 billion. This is historically largest government budget in Latvia.

The Finance Ministry explains increase in revenue and expenditure with the geopolitical situation in the region and the government's resolution to support residents in relation to energy price hike, partly compensating energy bills, and the planned support to Ukraine in its fight against Russian aggression.

In 2023, the general government budget deficit is planned at EUR 1.77 billion or 4.2 percent of the gross domestic product (GDP), while consolidated government budget deficit - at EUR 1.95 billion or 4.6 percent of GDP.

Revenue to the basic budget are projected at EUR 8.796 billion and expenditure - at EUR 10.861 billion.

Revenue to the special social insurance budget is planned at EUR 4.197 billion and expenditure at EUR 4.083 billion.

The government resolves to follow the fiscal policy principles and several medium-term priority development directions - security, education, energy, competitiveness, quality of life, human and public health.