Lithuania’s central bank, the Bank of Lithuania, has proposed a comprehensive review of existing tax exemptions, income and wealth taxation, and reducing the VAT gap to increase budget revenue as the population ages, BNS reports. Vaidotas Tuzikas, principal economist at the Bank of Lithuania, noted that Lithuania’s ratio of tax collection to GDP of 4.5%…
Latvia has a shortage of more than 1,000 police officers, Interior Minister Rihards Kozlovskis stated, LSM reports. The biggest shortage is in the State Police. In 2023, as many as 200 more officers left the State Police than were recruited. Kozlovskis said that he would ask for more funding to raise salaries in internal affairs…
Estonia’s primary goals at the NATO summit in Washington include increasing defence spending, closing capability gaps, and maintaining a focus on the threat from Russia, ERR reports. Estonia is pushing for investments in critical defence capabilities such as air defence and ammunition. Estonia supports raising the defence spending target to 2.5-3% of GDP. Additionally, Estonia…
The budget and finance committee of the Lithuanian parliament, the Seimas, has approved a proposal to link state budget funding for the public broadcaster, Lithuanian National Radio and Television (LRT), to GDP growth as of 2026, BNS reports. Under the plan, LRT would continue to receive 1% of government income tax revenue and 1.3% of…
The Latvian government made a decision in 2015 to include international railway stations at Riga Central Station and Riga International Airport (RIX) in the Rail Baltica project, according to the Ministry of Transport, LETA reports. The then government approved a plan to build the project’s most complex objects first so that they would be available…
The Baltic States will present a capability development plan at the upcoming NATO summit in Washington, BNS reports. Estonian President Alar Karis emphasised the need for increased defence spending, suggesting a minimum target of 2.5-3% of GDP. Lithuanian President Gitanas Nauseda pointed out that Lithuania’s defence spending has already reached 3% of GDP in 2024….
The number of poor people in need of assistance in Latvia has been decreasing in recent years in the regions of Kurzeme and Latgale, but has increased in the capital, Riga, according to the state-run Society Integration Foundation (SIF), LSM reports. More than 20% of all poor and low-income people received food aid and basic…
Slowing inflation and strong wage growth in Estonia have increased people’s purchasing power, according to the Bank of Estonia, BNS reports. In June 2024, the consumer price index rose by only 2.5% on year, which was the slowest rate in three years, primarily due to falling energy prices. At the same time, most services have…
NATO must be ready for Russia turning even more hostile in the decade to come, Estonian President Alar Karis warned, ERR reports. Speaking after a meeting with Lithuanian President Gitanas Nauseda in Vilnius, Karis said that Russia would remain NATO’s most serious military threat for a very long time. He called on NATO allies to…