Latvia Economic and Fiscal Outlook
FLEXIBILITY IS EMBEDDED IN LATVIA`S FUNDING STRATEGY
Main funding instruments are government debt securities issued in the international and domestic capital market
2 000
1 500
1 000
500
Debt Redemption Profile
(million EUR)
Power of the funding strategy lies within:
✓ Flexibility in choice of timing of issuance
✓ Flexibility in choice of currency
Flexibility in tenors, starting from 5 years
onwards
✓ Flexibility to combine instruments and other
available alternatives
0
2022
Oct-Dec
2023
2024 2025 2026 2027 2028 2029
2030
2031 2032- 2036 2037- 2047 2048- 2050
2035
2046
2049
>
=2051
✓ Maintained comfortable liquidity buffer
Eurobonds (XS ISIN)
Eurobond (XS ISIN) TAPS in domestic market Other external debt liabilities
Source: The Treasury, on September 30, 2022
■Domestic securities (LV ISIN)
Gross Borrowing
volumes
Cash buffer (% of GDP)
34
Source: The Treasury, 28.09.2022
Estimated Central Government Borrowing volumes in 2022-2024
(EUR billion)
Actual
2021
Actual
Estimated
2022 Jan-Sep 2022 Oct-Dec
2023
2024
2.3
bn EUR
1.16
bn EUR
from 1 bn to
1.7 bn EUR
3.25
bn EUR
2.4
bn EUR
5.6
6.0
The estimated gross borrowing volume is indicative,
subject to actual state budget execution and may change
due to number of contingencies and external factors, for
example:
.
additional financing requirement arising from the geopolitical
situation and measures to strengthen national security of
Latvia
.
support for the economy and society to reduce the negative
impact of increase in energy prices
•
Covid-19 fiscal impact (i.e. possible government decisions on
measures for mitigation of spread of Covid-19)View entire presentation