International Internet Magazine. Baltic States news & analytics
Thursday, 24.09.2020, 06:50
Modern economic processes occurring whether in Latvia, European Union or all over the world have created conditions for appearing of various legal forms of organization.
Keyword tags: Economic History, Education and Science, Markets and Companies
The Ministry of Finance's forecast that Latvia's gross domestic product (GDP) growth this year will be 2.2%, or 0.6 percentage points lower than previously forecast, is quite realistic, BC was told by the Fiscal Discipline Council (FDP).
Report of 3rd International Economic Forum. Our conference reminds me of a fisherman gathering on the ocean shore, discussing how to raise fishing efficiency keeping in mind that tsunami (global crisis) is imminent. Does this mean that it is no longer necessary to talk about improving economic environment in Latvia? I think that we nevertheless must do it.
Central banks both in Europe and in the U.S. continue to conduct their expansionary monetary policy, which means that interest rates are going to be kept at very low levels also looking forward. These are good news for the borrowers as loans are not expected to become more expensive. On the other hand, it is not possible to get decent returns on the invested cash in this environment: deposit rates just marginally exceed zero percent level, while government bond yields are virtually 0%. If one also adds the inflation rate, it becomes clear that the cash capital is losing its value.
Editor’s note: the magazine decides to publish this book review (regardless of its rather old nature), due to two main reasons: first, the book’s author is a world-renowned US professor of economics, leader in sustainable development, senior UN advisor and special advisor to a former UN Secretary-General on the Sustainable Development Goals (SDG); second, the reviewer is a German professor and famous European environmentalist.
The global sustainable agenda requires the states to take all necessary measures (“what it takes”) to implement UN sustainable development goals by 2030. Generally, these measures involve three spheres of national governance: social, environmental and economic; but none of them shall be effective without adequate reforms in existing national education and training policies.
Borrowing by households slowed at the start of the year, but it bounced back in April as households were active in taking housing loans and car leases. The corporate loan portfolio has gradually increased in volume and the average interest rate on bank loans has remained at the average level of the past year.