Potential Coalition Partners Offered Strict Fiscal Discipline and Change Plan

Prime Minister Andris Kulbergs (AS), on Wednesday, starting the first official round of government formation talks with potential coalition partners, called for an agreement on strict fiscal discipline, public administration reforms, and promoting economic growth, emphasizing that the state of public finances will become one of the most serious challenges for Latvia in the coming years.

After meeting with the National Alliance (NA), Kulbergs told journalists that the talks were mainly devoted to the principles of government work and responsibility for public finances. He pointed out that maintaining the current policy course could pose significant risks to the sustainability of public finances by 2030.

The prime ministerial candidate stressed that a commitment to strict financial discipline is needed for the next four years, without making new decisions without clear sources of funding. In his opinion, the state should look for opportunities to reduce expenses by up to 500 million euros per year while creating conditions for economic development and generating additional revenue.

Kulbergs named strengthening national security, organizing public finances, promoting economic growth, and improving public administration as the main priorities of the next government. He emphasized the need to review both the functions of ministries and the commitments undertaken by the state, while agreeing on which functions are a priority for the state.

The "United List" (AS) offered potential cooperation partners a three-document model - a change plan for the government, a change plan for the Saeima, and ministers' "mission letters." According to Kulbergs, the government declaration should be short and focused on the most important tasks, while ministers would be assigned specific achievable goals and areas of responsibility.

Photo: Agate Breijere, State Chancellery