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Swedbank in Latvia showed record profits and reduction of loan book

admin — Tue, 17 May 2011 14:08:13 +0000

Financial group Swedbank in Latvia in the first quarter of 2011 worked at a profit, which amounted to 21.6 million lats, whereas in the same period last year Latvian group Swedbank worked with losses.

However, it was noted in the report of Swedbank that it was in Latvia (in comparison with other countries) where there is Swedish financial services group, by the end of first quarter of 2011 compared to the same period last year there was the most rapid decrease in the loan portfolio.

In Latvia, the size of Swedbank’s loan portfolio was decreased by 16%, in Estonia – by 8%, in Lithuania – by 7%.

By the end of February 2011, the share of Swedbank in the lending market in Latvia fell by 23%, whereas at the end of the first quarter of last year accounted for 25%.

Profits of management of Latvian banks grew

admin — Mon, 16 May 2011 14:08:00 +0000

In the first quarter this year, the expenditures of Latvian banks for payments of salaries to the members of boards and councils of credit institutions as compared to the same period in 2010 rose by 160,000 lats (9.2%) and amounted to 1.89 million lats.

Financial and Capital Market Commission – FKTK- provides this data. Bank expenses for salaries to professional staff not occupying the main leadership positions for the year were increased by 3% and amounted to 33 million lats.

Expert: half of Latvian economy is “black”

admin — Sun, 15 May 2011 14:07:06 +0000

The Deputy Chairman of the Council of Small and Medium Enterprises at the Chamber of Commerce, Guntis Vilnitis believes that the percentage of “black” economy and “black” market may reach 50-60% in Latvia, as reported by the program De facto.

As we know, last week the Riga Graduate School of Economics presented an analysis of the shadow economy in Latvia.

It turned out that last year the percentage of salaries in the “envelope”, as well as tax evasion amounted to 38,1% of GDP.

According to the researcher of the Riga School of Economics Arnis Sauka, prostitution, smuggling, trafficking of illegal alcohol, cigarettes and fuel, drugs and weapons were not included in this figure.

All of these products and services are related to the black market – the part of the shadow economy, which is associated with the turnover of goods and services that are not the subject of legal sales.

To calculate the precise turnover on the black market is almost impossible.

The Director General of the State Revenue Service Nellija Ezdakova said in interview that there was common opinion that the turnover from prostitution can be up to 100 million lats a year.

But the head of the SRS believes that this figure is too high.

Former Foreign Minister of Latvia considers the country bankrupt

admin — Fri, 02 Jul 2010 14:11:18 +0000

Former Minister of Foreign Affairs of Latvia Janis Yurkans believes that Latvian state went bankrupt and lost its independence.

“Latvia as a country went bankrupt.

If they will not lend us money – how we are going to pay the pensioners, how we treat people, etc?”- said Yurkans on Tuesday night in the program “Question with prejudice” on the Riga TV PRO100TV.

The politician also believes that Latvia lost all independence.

“Latvia has proved that it can not exist as a state.

It should be under the flag of the EU.

We have no foreign policy, no defense – if we get into the euro zone – the money will not printed in Latvia. And the economy is dictated by those who print money … We owed so much money that our great-grandchildren would give it back.

So I do not see the future for a small, beautiful Latvia “- said Yurkans.

Latvia is experiencing severe economic crisis.

Many enterprises are bankrupt.

Unemployment reached 18%.

The Government has requested assistance from the IMF, the European Commission and other financial institutions, which provided the country with a loan of 7.5 billion euros.