Three parliamentary groups in Lithuania will sign an agreement on forming a new coalition government on 18 June 2026, BNS reports. The coalition will consist of the Social Democratic Party of Lithuania (LSDP), the Union of Democrats for Lithuania (DSVL), and the joint parliamentary group of the Lithuanian Union of Farmers and Greens (LVZS) and…
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…
Average consumer prices in Latvia rose by 3.5% on year in May 2026, according to data from the Central Statistical Bureau (CSP), LSM reported. The rise in annual inflation was mainly influenced by the increase in transport fuel prices (up 28.2%) and housing-related energy costs (up 5.8%). At the same time, prices for food and…
Estonia’s consumer price index rose by 3.7% on year in May 2026, according to Statistics Estonia, ERR reported. Consumer prices of goods rose by 3.1% and services by 4.6%. The increase in prices was influenced the most by a 10.4% rise in transport costs and 5.4% rise in housing-related costs, both driven up by higher…
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…
The Latvian government needs to make a decision on the future of the country’s national airline, airBaltic, in summer 2026, Prime Minister Andris Kulbergs stated, LETA reports. Speaking in an interview with TV3, Kulbergs said that airBaltic remained a strategic state asset, but stressed that taxpayer money could no longer be the sole support for…
The mayors of the Estonian capital, Tallinn, and the Finnish capital, Helsinki, have approved a twin city cooperation plan for 2026-2029, Baltic News reports. The action plan focuses on growth and innovation, resilience and sustainability, and creative industries and grassroots cooperation. The two cities will cooperate in startup ecosystem development, civil protection, and cultural and…
The Baltic States will procure up to 20 regional trains for the Rail Baltica railway, ERR reports. Estonia will buy 5-7 trains, Latvia up to 5 trains, and Lithuania up to 8 trains, which will operate on domestic routes only, at least initially. The trains will have around 200 seats and will run at maximum…
Renewed calls for engagement with Russia do not reflect Europe’s security needs, Lithuanian President Gitanas Nauseda stated, BNS reports. Speaking at the opening of the NATO Parliamentary Assembly’s spring session in the Lithuanian parliament, the Seimas, Nauseda insisted that Russia has to be “contained, not courted.” He reminded that the future of European security was…