Budget, EU – Baltic States, Financial Services, Latvia

This is less than Latvia had promised the international lenders, 4.5% of GDP. The Finance Ministry notes, however, that the figure could still change, writes LETA.

The consolidated budget deficit reduced LVL 357.8 million from 2010 to LVL 444.9 million last year.

"Although we were planning a budget deficit of even 6.5% at the beginning last year, we have convincingly achieved a much better result. This was possible thanks to implementation of responsible and well-thought-out fiscal policy by the government and Latvian society. The budget deficit data prove that Latvia will be able to meet budget deficit targets set in the European Union's joint fiscal agreement," stressed Finance Minister Andris Vilks (Unity).

According to the State Treasury's official data on the 2011 budget, consolidated budget revenue increased LVL 480.3 million or 10.4% to LVL 5.087 billion last year, whereas budget spending grew LVL 122.5 million or 2.3%, to LVL 5.532 billion.

Total tax revenue last year, including contributions to the pension scheme, totaled LVL 3.946 billion last year – 12.6% more than in 2010.

According to municipalities' data, Riga budget, that had a surplus of LVL 26.4 million at the beginning of 2011, in November last year had a deficit of LVL 0.3 million. Jekabpils budget had a deficit of LVL 3.5 million, Rezekne – LVL 5.3 million, Ventspils – 2.2 million.