RIGA, Dec. 29 (Xinhua) -- Latvia could expect faster economic growth in 2017, although global instability and external risks to the country's economic development remained high this year, Finance Minister Dana Reizniece-Ozola said on Thursday.
A more active absorption of EU funds and increasing government spending have been fueling growth in recent months, Reizniece-Ozola said, when commenting on Latvia's economic growth prospects for next year.
A seven percent increase in budget expenditures planned for next year will be stimulating the economy, as Latvia is determined to increase financing for defense, public order and security, health care and education, she said.
Business and consumer sentiment in European Union member states continued to improve this year despite a host of political and economic issues, a positive sign for the Latvian manufacturers and exporters who already demonstrated their potential by achieving commendable results in 2016, Reizniece-Ozola said.
Relatively cheap euro can also help Latvian exporters to sell their goods and services in non-eurozone countries, according to the official.
Although Europe's economic growth forecast for 2017 has been downgraded, the situation in Latvia's key trade partners -- Lithuania, Estonia, Germany, Russia, Sweden, Britain and Poland -- has continued to improve,the Latvian finance minister said. Enditem
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