Budget, EU – Baltic States, Financial Services, Funds, Latvia, Legislation

Photo: mfa.gov.lv

The Latvian Foreign Ministry reported that in the discussion, the Parliamentary Secretary stated that Latvia had experienced significant growth since joining the EU, and to a large extent this was possible thanks to EU funding. Since joining the EU, more than EUR 10 billion of EU budget funds have already been injected in the “bloodstream” of Latvia, which allowed getting additional development capacity. Investments of at least EUR 5 billion will be made in the coming years from EU funding already allocated to Latvia.

The next round or already the formal negotiations of the countries of the European Union on the EU multiannual budget for the year 2021-2028 will begin in May. The EC proposal will be about the EU budget and funding for EU policies starting from January 1, 2021, but will not cover the current 2014-2020 EU multiannual budget cycle and its planned projects and funding. Negotiations on the next EU multiannual budget will also be a decisive factor on the future of the EU. Latvia believes that the EU budget must be ambitious in order to achieve all the goals set; therefore Latvia has called on the Member States to increase their contributions to the overall multiannual budget.

Kalnina-Lukasevica stated: "There are two elements that distinguish the upcoming negotiations from the previous negotiations on the EU multiannual budget - the negative impact of Brexit on the multiannual budget and the new priorities. Brexit means that one of the biggest net payers in the EU budget leaves the EU. At the same time new priorities are emerging - security, defence and strengthening of external borders. An encouragement also is expected to significantly increase investment in boosting EU competitiveness, including by allocating more resources to science and innovation, digitalisation, and youth support programs.”

The Parliamentary Secretary explained that the negotiations on the EU budget over the next seven years are not just a mathematical equation, but a complex task, where only through the right mix of activities, conclusions and intermediate results we can come to the right result, i.e. the result that is in line with Latvia's interests.

"Cohesion policy and the Common Agricultural Policy are the major and most important policies contributing to equalization of the level of socio-economic development among Member States. Latvia consistently emphasizes the need to ensure sufficient funding for these policies. We will continue intensive negotiations with the other Member States in order to reach the most appropriate and most favourable outcome for the interests of the Latvian people," Kalnina-Lukasevica emphasized.

Since 2016 the EU Info Day is held every spring. Its aim is to provide the most up-to-date information on EU issues in an interactive way and to promote the exchange of experience of EU information providers. This year the attention of the participants of the event will be focused on EU financial and economic matters, trends, risks and opportunities in the run-up to the European elections.