The Estonian Reform Party has proposed reducing the tax-free income threshold to boost government budget revenue, Prime Minister Kaja Kallas revealed, ERR reports. However, she said that Reform’s coalition partners, Estonia 200 and the Social Democratic Party (SDE), opposed the idea due to its potential adverse impact on low-income earners. Interior Minister Lauri Läänemets of…
Estonia’s ruling coalition parties have agreed to introduce a new tax to fund national defence, ERR reports. Incoming prime minister Kristen Michal of the Estonian Reform Party stated that the tax would likely combine increases in VAT, income tax, and excise duties. The aim was to distribute the financial burden evenly across different societal groups,…
The Lithuanian government has approved a draft resolution to withdraw from the Convention on Cluster Munitions, allowing to acquire, stockpile, and use these weapons, BNS reports. The proposal from the Defence Ministry follows the US decision to supply cluster munitions to Ukraine and is based on the argument that these munitions are highly effective for…
Representatives from Lithuania’s five largest commercial banks — Citadele, Luminor, OP Corporate Bank, SEB Bank, and Swedbank — met with Prime Minister Ingrida Simonyte to express dissatisfaction with the extension of the windfall tax on bank profits, BNS reports. They voiced concerns over the unpredictability of the investment environment and the lack of cooperation between…
A private meeting between Gabrielius Landsbergis, chairman of Lithuania’s conservative Homeland Union (TS-LKD), and MP Eugenijus Gentvilas of the Lithuanian Liberal Movement (LLS) has highlighted tensions within the country’s coalition government, LRT reports. The meeting, initiated by Landsbergis, occurred after a period of strained communication. The opposition surmised that the meeting likely involved the possible…
The Latvian government has appointed Brigadier General Georgs Kerlins as the new Chief of the Joint Staff of the Latvian National Armed Forces (NBS), LETA reports. Kerlins will take up the post on 1 August 2024, replacing Major General Andis Dilans. Kerlins has served in the NBS since 1992, currently as Latvia’s military representative at…
The ruling coalition in Latvia will review contracts and rising costs of the Rail Baltica railway project before approving any related payments, LETA reports. Following an audit of the project, the Ministry of Transport has turned to the Prosecution Office. The audit estimated that the total cost of the project had risen to EUR 23.8bn….
The Lithuanian government is set to grant special status to German arms manufacturer Rheinmetall’s planned artillery ammunition factory in Radviliskis, BNS reports. The move would allow the company to begin building the factory without the usual regulatory permits, which will need to be obtained before the project’s completion, however. Construction is expected to start in…
The Latvian government has approved a draft transport energy bill that obliges fuel suppliers to increase the share of renewable energy in their energy portfolio, LETA reports. The bill may lead to a rise in fuel prices, according to a survey of fuel traders. The Ministry of Climate and Energy notes that the transport sector…