President of Latvia and Governor of the central bank urged the government to start thinking about energy supply plan for the next heating seasons and devise tools that would allow to control the price hike. Cabinet should also find efficient ways for identifying and reaching out to disadvantaged groups that are in dire need of government energy grants to cover their bills.
Governor Kazāks briefed President Levits about the outcomes of recent European Central Bank Governing Council meeting with respect to monetary policy, which envisages a significant euro interest rate bump. Price hike across euro area is driven by factors beyond the reach of monetary policies – energy resources and food are getting expensive because of supply chain disruptions, recovery of global economic from the pandemic and, above all, the war waged by Russia. Monetary policy makers of euro area have reacted quickly and are ready to continue raising interest rates to curb the inflation, said Governor of the Bank of Latvia.
