Budget, Financial Services, Latvia, Pensioners

He underlined that state budget spending cuts will not affect this part of the budget, informs LETA.

As the minister pointed out, today the government will become acquainted with the propositions for curbing budget expenses, prepared by all the ministries, however, it is not likely that the final decision on state budget amendments could be passed today. Today's focus is going to be on discussions to come to a better understanding on what further actions should be taken.

As reported, at today's closed Cabinet meeting, the government will assess ministries' proposals for reducing budget spending.

The government previously demanded all the ministries to draw up three plans, envisaging 20%, 30% and 40% spending cuts. The ministries' proposals will become the basis for the work on this year's budget amendments and structural reforms.

Repse said previously that most ministries will probably have to cut their budgets 40%, because state budget revenue continues to fall short of the initial projection.

Dombrovskis said that the main goal is to achieve a budget with a deficit of up to 3% of gross domestic product in 2011.