The Latvian government will have to decide on additional capital needed for the country’s national air carrier, airBaltic, in 2026, Finance Minister Arvils Aseradens stated, LETA reports. He stressed that the airline’s future operations required capital investment. However, the government would have to seek additional sources of funding for such an investment, the minister explained….
Estonia’s Minister of Finance, Jürgen Ligi, has rejected a proposal to lower the excise duty on diesel fuel temporarily, ERR reports. Ligi argued that broad-based tax cuts would have a very large and lasting negative impact on the state budget, and that targeted measures to support vulnerable households and sectors would be more sensible. In…
Estonia’s new motor vehicle tax and registration fee, which were introduced as of 1 January 2025, generated total revenue of EUR 151mn in 2025, ERR reports. Registration fee revenue totalled EUR 64.2mn in 2025, which was more than 50% less than the projected EUR 137mn. Meanwhile, revenue from the motor vehicle tax was close to…
Estonia’s real GDP will grow by 2.3% in 2026 and by 2.5% in 2027, according to the Ministry of Finance’s latest economic forecast, ERR reports. In subsequent years, the ministry expects the country’s GDP growth to slow down slightly. Finance Minister Jürgen Ligi noted that security and uncertainty were the prevailing factors at the moment….
Lithuania’s Central Electoral Commission (VRK) has allocated EUR 2.5mn of state funding to ten political parties, BNS reports. The ruling Social Democratic Party of Lithuania (LSDP) received EUR 662,700 and the main opposition party, Homeland Union, EUR 612,000. VRK suspended funding for the far-right coalition party, Dawn of Nemunas (PPNA), due to serious violations of…
The Latvian government has proposed granting a short-term loan of EUR 30mn to the national air carrier, airBaltic, due to the rapid rise in fuel prices, LSM reports. Speaking in an interview with LTV, Prime Minister Evika Silina admitted that the company may need more state support later, however. Earlier, airBaltic estimated that it would…
Estonian capital Tallinn’s city council has approved the city budget for 2026, ERR reports. Total revenues are planned at EUR 1.2bn, including EUR 781.2mn from personal income tax, EUR 188.3mn in state and other grants, EUR 112.4mn from the sale of goods and services, EUR 36.4mn from land tax, and EUR 9.5mn from external funding….
Latvia’s Corruption Prevention and Combating Bureau (KNAB) has questioned more than 60 people as part of a criminal investigation into the implementation of the Rail Baltica railway project, LETA reports. The Prosecutor General’s Office initiated criminal proceedings over possible unlawful actions by officials responsible for the project back in December 2024. The officials, including politicians,…
Gross domestic expenditure on research and development (R&D) in relation to GDP in the Baltic States was highest in Estonia in 2024, according to Eurostat data, LSM reports. R&D spending amounted to 1.99% of GDP in Estonia in 2024, which was up from 1.41% in 2014. Meanwhile, R&D expenditure stood at 1.04% (1.03%) of GDP…
