Agriculture, Budget, EU – Baltic States, Financial Services, Latvia, Legislation, Markets and Companies

EU leaders in Brussels. Photo: flickr.com

It was previously mentioned that Latvia could receive additional EUR 60 million (LVL 42 million) for rural development programs. Extra EUR 7 million was most likely allotted due to the country's EU budget veto threat, according to unofficial information.

The deal envisages that Latvia will be able to channel the extra funds to direct payments.

The ceiling on cohesion funding for Latvia will be 2.59% of gross domestic product, or EUR 4.2 billion (LVL 2.95 billion), and direct area payments to Latvian farmers will increase to EUR 196 (LVL 138), or approximately 80% of the EU average, by 2020. These figures were previously proposed by European Council President Herman Van Rompuy.