Budget, Financial Services, Latvia

The budget deficit is planned at about EUR 110 mln. Deficit will include EUR 38 mln that have to be paid into the state budget for Rigas Satiksme municipal public transport company, EUR 57 mln state transfers from last year to this year and EUR 14 mln necessary in order to implement proposals submitted by lawmakers.

The Riga City Council budget committee started revising the draft budget today, but then postponed the meeting to January 22 because a number of committees had not even discussed the budget. It is not yet unclear whether the Riga City Council will be able to adopt the budget soon because of the unstable political situation at the council.

For example, representatives of the coalition partners - Harmony and For Riga bloc - did not participate in the budget committee meeting today.

Shortly before the meeting, Riga Mayor Olegs Burovs (Honor to Serve Riga, GKR) informed the press on the budget priorities, but representatives of other coalition partners and the group of independent lawmakers who are also heading some committees, had not arrived to the press conference.

As reported, politicians from Harmony and the For Riga! bloc at the Riga City Council insist that Riga Mayor Olegs Burovs (Honor to Serve Riga) be replaced.

The bloc and Harmony's group at the Riga City Council have agree to call on their partners - Honor to Serve Riga, to decide on replacing the mayor, as they claim they are incapable of working together with Burovs.

They say that Burovs is making ''decisions unilaterally without consulting coalition partners''.

However, Harmony and the For Riga! bloc are prepared to continue working together with Honor to Serve Riga and remain in the coalition.

Meanwhile, opposition members of Riga City Council have decided to propose ousting the city's two vice mayors - Anna Vladova (Harmony) and Druvis Kleins. The opposition decided to launch a petition calling for the two vice-mayors' removal to prevent any of them becoming acting mayor if Riga mayor Olegs Burovs is deposed.