The European Central Bank believes that inflation could postpone the euro adoption in Latvia and Lithuania, which are seen as the next countries to join the eurozone. ECB believes that for Latvia it will be hard to curb the inflationary pressures in the mid-term perspective due to limited options of maneuver given the fixed EUR/LVL exchange rate. Latvia's goal is to join the eurozone by 2014. According to ECB in April average 12-month inflation in Latvia was 4.1%, exceeding the benchmark of 3.1%. Currently Latvia's government is passing a number of inflation curbing measures, including cutting VAT by 1pps as of June 1 2012. |
Estonian national airline Estonian Air recorded net loss of EUR 49.2mn in 2012, up from net loss of EUR 17.3mn in 2011. Operating loss amounted to EUR 35.8mn in 2012. Revenues of the company ... more
Lithuanian flour manufacturer Malsena announced that it has acquired Latvian flour manufacturer Rigas Dzirnavieks. The company indicates that with the acquisition it will become the largest flour ... more
Estonian national airline Estonian Air announced that it agreed to pay penalties for returning two excess Embraer E190 aircrafts to the manufacturer. The company has started restructuring and ... more