The international geopolitical situation is alarming and full of uncertainty, and so the instability of the government and the customary, unhurried pace of public administration — processing matters that need urgent solutions through endless discussions, squabbles and working groups — is dangerous.
Security and readiness for Russian aggression are the highest priority and the only thing capable of reducing the likelihood of such aggression, and therefore practicality, pragmatism and efficiency must take precedence over bureaucracy, regulation, greenwashing projects and the like.
It is clear that defence spending must be increased substantially. Since the national debt is already balancing on the critical threshold, there are two more pragmatic ways of finding the funding needed for defence now and in the future. The first is to identify what is superfluous, outdated and inefficient within the existing state budget and redirect it to defence. The second is to free business from unnecessary ballast and restrictions, so that the tax revenue gained from economic growth can be channelled into defence. Alongside this, defence funding must also be invested efficiently — not in monuments, but in genuine defence needs, and in a way that develops Latvia's defence industry to the greatest possible extent.
In view of the above, LTRK, as Latvia's largest business association, calls on politicians to act not at some later date, as is usually the case, but NOW:
- Identify wasteful spending in the state budget amounting to at least 5%. Instruct all ministries, as they work on the 2026 state budget, to find savings opportunities of at least 5%.
- Establish zero tolerance for the bureaucratic burden. Instruct all ministries and institutions to submit proposals without delay on which documents and processes can be abandoned or simplified. Monitor progress and demand personal accountability from every manager for it.
- Ensure the operation of the Crisis Management Centre. Adopt the necessary legislation without delay so that the Crisis Management Centre can begin working to its full capacity.
- Advertise defence needs to Latvian companies. Involve Latvian industry to the greatest possible extent in meeting defence needs, so that the money stays in Latvia's economy, supply risks are reduced in the event of a threat, and industry is developed.
- Impose a moratorium on “greening” restrictions until the security situation improves. At present Latvia cannot afford an ailing economy, and one of the most significant brakes on it is the various “greening” restrictions.
“In other circumstances we would normally be grumbling about Latvia's economy not growing as well as those of our Baltic neighbours, but at the moment it is obvious that public administration's usual algorithm of endless fussing and processing is an existential danger to Latvia and its people. What else has to happen before public administration finally ‘wakes up' and starts doing what urgently needs to be done?” says Jānis Endziņš, Chair of the Board of LTRK.
https://ltrk.lv/ltrk-si-briza-geopolitiskajos-apstaklos-ierastais-nesteidzigais-solis-ir-bistams/