Work is currently underway on the next year's state budget. What do you think are its main features and what will residents expect in the coming year? – Let's start with statistical data. The growth of gross domestic product (GDP) in 2023 is 5.2% in China, 3.6% in Russia, 2.7% on average in the world. The USA is also not bad - 2.5%. In the Eurozone, to which we belong, the increase is 0.4%, but for Latvia it is negative - minus 0.3%. What does this have to do with the budget? Very simple. Latvia's GDP last year was 40 billion euros, rounded off. 31% of GDP is collected in taxes. So, if Latvia had a GDP increase of 5%, it would mean an increase of two billion euros, of which 31% is taxes. 31% of two billion - that would be 600 million more. But if the increase is negative, you charge less. As long as Latvia has such negative GDP growth and as long as there is not at least the world's average growth, as long as it is not higher than Russia's or China's, in the meantime the country will have a catastrophic lack of money. What is the government doing? First of all, it borrows, and the second thing, which is now planned in the budget, is to increase taxes. Entrepreneurs will pay for it and we will all pay. How will it drive growth? Nothing! Therefore, there is a lack of money in the budget. As long as Latvia does not have at least the world's average growth, in the meantime there will be a catastrophically bad financial situation and Latvia will continue to borrow more and more. We are already in the laggard zone. The Eurozone shows that it is not competitive, viable. Europe is dying compared to the development of the rest of the world. Who picks up what is lost in the EU economy? China. From 2008 to 2023, China's share in the world economy increased by 135%. The share of the USA increased by 13%. But in the EU there is a 32% decrease. Latvia – by 27%. Latvia, together with the EU, is totally lagging behind in the world's global competition. If we are not competitive, our place in the long term is increasingly among the world's poorest countries. Old Europe, or Western Europe, actually lives on the colonial legacy of the past and is not currently competitive. Speaking specifically about the Latvian state budget, imagine - in the first reading, it was confirmed that the poor, who earlier in the quarter received two food packages for 25 euros each, will now receive one package, and the low-income will not receive at all. In this way, 10 million euros are saved, taking away from the poorest. You all pay social tax to get your pension and you also pay the second level pension. Now part of the second level of pensions [contribution rates] is removed [transferring it to the first level of pensions] in order to get an addition to the state budget - 150 million euros. Your future pension is being eaten up next year. It is announced that it is for now. I know very well that what is for now is forever. The situation is catastrophically bad, because Latvia has supported such harmful sanctions against itself, introduced by the EU and the USA at Latvia's request, that it is strangling the economy of the Latvian people. Russia's development in 2023, or the second year of sanctions, was 3.2%, but those who introduced sanctions are below Russia's development. The policy of sanctions kills the economy of the people who introduced the sanctions themselves. The Americans are doing a smart thing - they introduce a package of economic sanctions, but then issue permission to suspend the sanction because it is harmful to their economy. An example is the same [manganese] ore transit ban. Who lost out of it? Latvia does not receive some 20 million euros in taxes, but ore is transshipped by Russian ports and Georgians. What are the sanctions against? Against Latvia. Who introduced them? EU at the initiative of Latvia. What I am talking about, you will not hear from anyone. Because there are lies, lies and only lies around, but the truth is extremely harsh. A wise man does not shoot himself in the foot. Another thing - we were told for three years, now it has quieted down a bit, that immediately, immediately, Russia will go to war with Latvia and, therefore, NATO will go to war with Russia on the territory of Latvia. What is the result of this? Will anyone invest 200 km away from the Russian border, where Russia will soon be at war with NATO on the territory of Latvia? I know people, families, who sell their property and leave Latvia. I have big eyes, I ask: what are you doing, why? These are young people, children barely going to school. They do not know the language and culture of their new home. They say: we don't want to be in a country where there will be war. This propaganda has very serious consequences, including in the economy and human resources. This is the harsh truth. The interview for the news portal ventasbalss.lv took place on October 31, 2024.