Latvia won’t require additional budget cuts this year, Prime Minister Valdis Dombrovskis said in an interview with Latvijas Radio 1.
The budget plan, with a deficit of 2.5 percent of gross domestic product (LAGDCYOY), is based on “realistic forecasts,” he said.
The prime minister’s reaction follows a comment by central bank Governor Ilmars Rimsevics in an interview with Lietiska Diena today that Latvia may need additional fiscal consolidation this year of as much as 100 million lati ($185.4 million) to achieve its deficit target.
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