Friday, the 4th of November, 2005
Government will simplify accounting
Government has decided to simplify accounting for businesses with turnover smaller than LVL 200,000; from January 1, 2007 they will not have to use more complicated dual-record accounting. Previously the privilege was granted for companies with turnover smaller than LVL 45,000. Government believes this will develop the small businesses.
Biznes & Baltija
Thursday, the 3rd of November, 2005
Leaving and dying
The number of inhabitants of Latvia is decreasing: more people die than are born, and many people emigrate. Senior analyst of Hansabanka, Liene Kule, points out that children before the age of 15 are just 15 per cent of the overall population, which means Latvia will be facing labour force shortage in some 5 years. Kule forecasts that in 2020 there will be 2.13 million people in Latvia, 10 per cent of which will be labour force, not counting emigration that could reduce the number to 2.06 million. Possible solutions include raising salaries, but performance is often inadequate, importing workers from Russia, Belarus, Moldavia and Ukraine, which faces severe legal problems, or the solution offered by Hansabanka; restructuring Latvian economy to be more knowledge-based.
Wednesday, the 2nd of November, 2005
Admitting being powerless
Prime Minister Aigars Kalvitis has admitted government has run out of its tools against inflation and cannot influence it any further. Inflation is not likely to diminish, and government will introduce neither the lower VAT for food nor the new crediting tax, as it has already implemented everything it could. Kalvitis also pointed out that inflation is a problem in all the new EU member countries, and is unlikely to change as Latvian prices approach the average EU level. Latvia has maintained the highest inflation in EU for 14 months.
Tuesday, the 1st of November, 2005
Latvians work the most
Eurostat research for the first quarter of 2005 shows that Latvians work the longest hours in EU; an average of 42 hours per week, with men working an average of 43.3 hours and women 40.7 hours a week. The average EU level is 37.4 hours a week, 40.8 hours for men and 33.0 hours for women and has decreased slightly in comparison with the first quarter of 2004, whereas it has increased in Latvia.
Monday, the 31st of October, 2005
Shopping slows down
The retail turnover rate in September has decreased by 3.5 per cent in comparison with August. It has grown by 21.4 per cent in comparison with September 2004. The largest increase in turnover has been in textile, clothing, footwear, and leather goods retail shops (+28.8 per cent) as well as other specialised retail shops (+28.5 per cent), whereas it has been smaller in food, spirits and tobacco retail outlets (+1.9 per cent).
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