Estonia’s most popular choice for prime minister is Urmas Reinsalu, chairman of the national-conservative opposition party, Fatherland, according to a new Norstat poll for the Institute for Societal Research (YI), ERR reports. In the survey, 27% of respondents preferred Reinsalu for prime minister in June 2026, followed by Mihhail Kõlvart, chairman of the opposition Estonian…
Latvia’s new prime minister, Andris Kulbergs, suggested “scaling down” the Rail Baltica railway project, ERR reported. Speaking at a joint press conference with Estonian Prime Minister Kristen Michal in Tallinn, Kulbergs said that he was looking at a potential solution to the project’s funding gap that would be “out of the box.” He said that…
Latvia’s central bank, the Bank of Latvia, has lowered its GDP forecast for 2026-2028 markedly, LSM reports. GDP growth will amount to 2.0% in 2026, to 2.4% in 2027, and to 3.0% in 2028, according to the latest forecast. In December 2025, the central bank had projected that the GDP would grow by 2.8% in…
Estonia’s GDP growth will reach 2.4% in 2026 and remain close to 2.5% in 2027 and 2028, according to the Bank of Estonia’s latest forecast, ERR reports. In March 2026, the central bank had projected annual GDP growth of around 2.8%. Strong fiscal stimulus will boost economic growth in 2026, with increased household and public…
Three parties in Lithuania have agreed on a coalition programme and the number of ministerial posts in a new incoming government, LRT and ELTA reported. The Social Democratic Party of Lithuania (LSDP) will have nine ministers, while the Union of Democrats for Lithuania (DSVL) will have three and the Lithuanian Union of Farmers and Greens…
Latvia’s GDP growth will fall from 2.1% in 2025 to 1.9% in 2026, before rising to 2.2% in 2027, the Organisation for Economic Co-operation and Development (OECD) forecasts, LSM reports. Average annual inflation will decline from 3.8% in 2025 to 3.6% in 2026 and 3.2% in 2027, the OECD projects in its latest survey of…
Estonia’s GDP growth will accelerate from 0.5% in 2025 to 1.8% in 2026 and 2.7% in 2027, the Organisation for Economic Co-operation and Development (OECD) forecasts, ERR reports. The growth will be driven by looser fiscal policy and investment, the report said. Annual inflation will fall from 4.8% in 2025 to 4.1% in 2026 and…
The International Monetary Fund (IMF) recommended that the Estonian government stabilise public debt by limiting budget spending and increasing revenue, ERR reports. IMF experts warned that if current policies continued, public debt would become unsustainable. GDP growth alone will not solve the country’s long-term challenges, they pointed out. Achieving more sustainable growth would require increasing…
Latvia’s State Treasury has raised EUR 1bn with a new bond issue on international financial markets, LSM reports. The government bonds have a maturity of seven years, carry a yield of 3.525%, and have a fixed coupon rate of 3.500%. The bonds were purchased by more than 70 investors, mostly European asset managers. Total investor…
