The leader of the JV Saeima faction, Edmunds Jurēvics, told journalists after the cooperation meeting of the parties forming the government, that the JV still believes that the most correct thing would be to agree on one candidate in the coalition. Simultaneously occurring, in consultation with the partners, it was decided to join ”Progressives” and co-sign Kazak’s promotion to the second term.
In general, it is expected that three candidates will be applied for the position of the president of the Bank of Latvia – Kazaks, the chairman of the board of “Progress financial institution Altum” (“Altum”) Reinis Bērziņš, who is supported by the Union of Greens and Farmers (ZZS), and Pavel, nominated by the opposition party “Stability” kuzmin.
At the same time, Jurēvics still expressed the hope that a common understanding could be reached in the coalition regarding one candidate who could be the next president of the Bank of Latvia.
Jurēvics pointed out that the next president of the Bank of Latvia must have a good reputation. “Although we would like a single candidacy, now at least the parliament will have the opportunity to choose from several candidates,” saeid the JV politician.
The leader of the JV Saeima faction claimed that the question of the next candidate for the president of the Bank of Latvia in no way threatens the stability of the coalition.
Harijs Rokpelnis, head of the ZZS Saeima faction, told journalists that the good news is that there will be fierce competition for the position of president of the Bank of Latvia. The second news, which is not so good, is that currently the coalition has not agreed on a single candidate, the politician admitted.
Rokpelnis,however,emphasized that although there are matters in which the parties’ opinions differ,there is no reason to think that the selection of the head of the bank could be an obstacle for the coalition to continue its work.
Andris Shuvajevs, chairman of the “Progressive” faction of the Saeima, expressed that he was pleased that JV decided to join Kazak’s nomination. Currently, it is challenging to predict what the outcome of the elections will be, the deputy admitted. The party previously admitted that there could be several candidates from the coalition factions.According to the “progressives”, this is not a problem.
Shuvayev promised to work for the Kazakh to gain the support of the parliamentary majority.
In the statement sent by the “progressive” faction of the Saeima to the media,it is indeed said that during the last five years,kazaks has done a remarkable job in restoring the reputation of the Bank of Latvia and strengthening its independence as an institution that serves the public,not commercial banks.
“Progressives believe that the Bank of Latvia is an essential pillar of the country’s development and that it should continue to operate as an self-reliant institution that offers top-quality research and advice to policy makers,” says Šuvajevs.
The faction emphasizes Kazāk’s achievements in improving and maintaining the reputation of the Bank of Latvia, carrying the name of Latvia both in various international formats and creating dialog with citizens throughout Latvia.
“Progressives” calls on Saeima members to evaluate Kazāk’s candidacy and support his approval for the next term of the presidency of the Bank of Latvia.
In the Saeima, the “New Unity” faction has 25 MPs, and MP Igors Rajevs could also support the faction, which together with the nine votes of “Progressive” make up 35 votes for Kazak. There are 16 MPs in the ZZS faction of the Saeima, as well as faction support MP Olegs Burovs (GKR), which means that Bērziņas has at least 17 votes.
New candidacies must be nominated, because on December 21 of this year, Kazak’s first term of office ends. He was elected president of the Bank of Latvia for a five-year term on December 12, 2019. 76 deputies voted for him.
kazaks has confirmed that he would be ready to led the Bank of Latvia in the future, but the politicians have so far taken the position of not talking about the selection of the head of the bank, under the pretext that they have to deal with the adoption of next year’s state budget first. On the part of politicians, there is no loud criticism of Kazak’s work, but there is no unequivocal support either.
It has already been reported that ZZS nominated the chairman of the board of “Altum” Bērziņš for the post of president of the Bank of Latvia.
ZZS believes that under the leadership of Bērziņa, the Bank of Latvia will be able to channel the potential of the banking sector for the benefit of the country’s economic growth, as well as defend national interests in Latvia and internationally.
With the exception of ZZS, the other coalition parties had not yet nominated their candidates for the position of head of the bank or expressed clear support for a candidate nominated by another party. The opposition party ”Stability” is promoting Pavel Kuzmina for the post of president of the Bank of Latvia, describing him as an experienced financier.
The law “On the Bank of Latvia” stipulates that the president of the bank is elected by the Saeima on the proposal of no less than ten Saeima deputies. The term of office of the president of the bank is five years, and the same person can hold this position for no more than two consecutive terms.
How could the dynamics of coalition politics in Latvia evolve based on the outcomes of this election?
Interview between Time.news Editor and Expert on Latvian Politics
Time.news Editor (TNE): Today, we’re discussing the recent developments regarding the selection of the next president of the Bank of Latvia. We have with us Dr. Anja Veinbergs, a political analyst specializing in Baltic politics. Thank you for joining us, Dr. Veinbergs.
Dr. Anja Veinbergs (AV): My pleasure. Thank you for having me.
TNE: Let’s start with the current state of the coalition. Edmunds Jurēvics has expressed a desire for a unified candidate for the presidency of the Bank of Latvia. Do you think this is realistic given the current landscape?
AV: It’s a nuanced situation. Jurēvics’s perspective reflects a common desire for unity within the coalition, but the reality is that political parties often have competing interests. With three candidates now in the running—Kazaks, Reinis Bērziņš, and Pavel Kuzmin—building consensus might prove arduous.The presence of these varied candidates highlights the diversity of opinions within the coalition.
TNE: Harijs Rokpelnis mentioned fierce competition for the position, which he described as a double-edged sword. How could this competition impact coalition dynamics?
AV: Competition can lead to both positive and negative outcomes. On one hand, it fosters a democratic process and encourages candidates to put forward their best proposals. On the other, it can strain relationships between coalition partners if they cannot agree on a single candidate.however, both Jurēvics and Rokpelnis have indicated that they believe the coalition will remain stable despite these challenges, which is an optimistic view.
TNE: Jurēvics emphasized the importance of the next president having a good reputation. What qualities do you think are essential for this role in the current economic climate in Latvia?
AV: Reputation is crucial for any central bank president, particularly in times of economic uncertainty. Key qualities would include strong financial expertise, integrity, and the ability to communicate effectively with both the public and other stakeholders. The next president also needs to navigate complex international relationships and domestic economic policies, which requires a delicate balance of assertiveness and diplomacy.
TNE: With the declaration of multiple candidates,what should we expect in the lead-up to the vote? How might this influence public opinion?
AV: The lead-up to the vote will likely be marked by increased public scrutiny of the candidates’ credentials and proposals. Voter engagement could be high, as the public becomes more aware of the stakes involved in the central bank presidency. How each candidate communicates their vision for Latvia’s economic future will be crucial in shaping public opinion and garnering support.
TNE: what do the current discussions signify for the future of coalition politics in Latvia? Are there lessons to be learned from this situation?
AV: This situation underscores the importance of maintaining open lines of interaction among coalition partners. It illustrates how diverse political objectives can coexist; however, there is a need for compromise for effective governance. The outcome of this selection process could serve as a precedent for how coalition partners manage differences in the future, especially in navigating through contentious political landscapes.
TNE: Thank you, Dr. Veinbergs, for your insights. It will be intriguing to see how this unfolds in the coming weeks.
AV: Thank you for having me. I look forward to following the developments closely as well.