Budget consolidation necessary so Latvia could introduce euro - Dombrovskis

"We are tackling budget deficit problems for the third year already in accordance with the international lenders' requirements," said Dombrovskis, promising that in 2012 Latvia would meet Maastricht criteria, including budget deficit of no more than 3 percent of gross domestic product, so the country could adopt the euro in 2014.

In his speech, Dombrovskis presented a report on the economic situation in Latvia and the quantitative changes therein.

According to Dombrovskis, the government has changed the structure of the national economy, and now export is the driving force behind Latvia's economy. Nevertheless, there still are problems. Although lending volumes are increasing again, this is not happening fast enough. Also, the administrative burden needs to be reduced significantly, and the system of public services must be revamped, said Dombrovskis.

"Unity has very many ill-wishers who have said on many occasions that the Unity was about to fall apart. We have proven that this is not so," said Dombrovskis, adding that after Unity is transformed into a political party it would be able to work more efficiently to implement those goals that the association had set for itself.

As reported, Riga branch of Unity was officially established yesterday; Olafs Pulks (New Era) was elected chairman of the Unity's Riga branch.

Sanita Stelpe (Civic Union) and Uvis Toms (Society for Different Politics) were elected deputy chairpersons of the organization.

Unity is an association of three political parties - New Era, Society For Different Politics and Civic Society.