International Internet Magazine. Baltic States news & analytics
Thursday, 26.05.2016, 03:40
The high proportion of shadow economy in Latvia's retail trade, which accounts for about 24.6% of the sector, is not only crippling competition, but also increasing public distrust in the state and its pension system, Noris Kruzitis, executive director of the Latvian Food Retailers' Association, told LETA.
Keyword tags: Analytics, Latvia, Legislation, Markets and Companies, Shadow economy
The Baltic States have achieved progress in corruption and fraud prevention lately, but they are still trailing behind developed Western countries, according to the 14th Global Fraud Survey released by EY audit firm, cites LETA.
The size of shadow economy contracted to 21.3% of GDP in Latvia last year, but increased in Lithuania and Estonia, according to the latest study on the Baltic States' shadow economies conducted by the Stockholm School of Economics (SSE) Riga, cites LETA.
Latvia loses approximately EUR 12 million in unpaid taxes because about 100,000 households use services of unauthorized television providers, Arnis Sauka, a researcher at the Stockholm School of Economics in Riga, said at an event organized by No to Piracy in Latvia NGO, cites LETA.
A quarter of 315 business executives surveyed in Estonia by the global consultancy Ernst & Young in 2016 find that anti-corruption measures damage their firms' competitiveness on the Estonian market, the figure is practically unchanged from last year, reports LETA/BNS.
Delna non-governmental organization, which is the Latvian branch of Transparency International, every year receives about 70 reports from both corporate entities and individuals about cases of corruption and shadow economy, Delna’s representatives told LETA on April 11th.
The number of registered corruption crimes in Estonia has been growing since 2012, raising from 161 cases to 459 cases in 2015, while the number of launched criminal proceedings has declined by nearly 25, informs LETA/BNS.