Latvia: job cuts expected

As part of the state administration reform, job cuts are planned for 58,000 employees of different institutions. This does not apply to independent institutions such as the prosecutor’s office, Saeima, State Audit and Supreme Court. The number of officials employed in Latvian state administration is higher than the average in the EU, as concluded in…

Latvia: construction costs up in June 2017

Compared to May, the level of construction costs in Latvia increased by 0.2% in June. Labor remuneration of workers rose by 0.4%, prices of building materials grew by 0.2%, whereas maintenance and operational costs of machinery and equipment increased by 0.1%, according to data from the Central Statistical Bureau of Latvia. Compared to June 2016,…

Latvia: beef industry not sufficiently developed

Farmers Saeima believes Latvia’s beef industry is not sufficiently developed, and existing farms have not been sufficiently stabilized – many farms have major debt. Because of that any kind of support for the industry is welcome. Considering the recently voiced information about the possible reduction of voluntary support for livestock in 2017, the Farmers Saeima…

Latvia: rapid increase of excise tax to cause dramatic rise of smuggling activity

The National Association for Tobacco Product Manufacturers (TIRNA) is confused about Finance Ministry’s submitted proposals for tax reform that provide for raising excise tax on cigarettes by 11% instead of previously planned 5.5%. TIRNA believes the submitted proposals are rushed, economically unjustified and will not secure the economy any major tax income. “Exactly the opposite…

Latvia: Toyota sales up in H1 2017

5,735 new Toyota cars were sold in Baltic States in the first six months of 2017, up by 33% YoY. Toyota’s total market share in Baltics is 14.2%. Toyota sales in Latvia have grown by 25%. 1,264 new Toyota cars have been sold in Latvia since the beginning of the year. More than half of…

Latvia: envelope wages priority this year

More than half of Latvian employers pay their employees wages below the minimal monthly amount, said Director of the State Revenue Service Tax Control Office Sandra Karklina Admine on July 24. She says SRS puts a lot of effort into combating grey economy. Combating envelope wages will be one of this year’s main priorities, she…

Latvia: Norvik Banka and Rietumu Banka fined

Finance and Capital Market Commission in cooperation with Federal Bureau of Investigation’s Counterproliferation Center found out in a target inspection that Latvian banks – Norvik Banka and Rietumu Banka – had not followed requirements of regulations for the prevention of money laundering and terrorism funding. Violations are associated with client evaluation, which includes transaction monitoring…

Latvia: demand for seasonal fruit increases

Compared with the previous year, demand for seasonal fruit grew this summer: 31% for peaches, 35% for plums and 63% for apricots at Maxima Latvia supermarkets. “Although residents also put unusual fruit in their baskets, such as plum and peach hybrids, preference remains high for usual seasonal fruit – peaches, plums, cherries, etc. Last summer,…

Latvia: throughput of port Riga down in H1 2017

In January-June the Freeport of Riga handled 17,512,200 tons of cargo, down by 4.1% YoY. Coal transshipment climbed by 7.4%, to 6,398,600 tons, wood pellets by 13.4%, 353,000 tons, oil products dropped by 31.8%, to 3,270,400 tons, ore by 9.2%, to 165,400 tons. The port’s container throughput grew by 14%, to 208,107 TEUs. Passenger turnover…

Latvia: inflation up in June 2017

The average price rate in Latvia comparing June 2016 to June 2017 has increased by 3% as products got 2.6% more expensive, services – by 4%, calculated the Latvian Central Statistical Bureau. The statisticians found that compared to June 2016, last month the greatest pressure on the price changes was put by the rise in…