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The Latvian Parliament has approved a €30 million loan for Air Baltic amid a coalition crisis

UA NEWS 16 April 2026 18:24
The Latvian Parliament has approved a €30 million loan for Air Baltic amid a coalition crisis

The Latvian Parliament has approved a short-term loan for the national airline Air Baltic to help it overcome financial difficulties caused by rising fuel prices due to the conflict in the Middle East. The decision was passed by a vote of 49 in favor following prolonged disputes among the ruling parties, which had threatened the survival of the current government. 

This was reported by the Delfi portal, noting that the political compromise prevented the resignation of Transport Minister Atis Švinka and the collapse of the coalition.

The conflict arose due to the position of the "Union of Greens and Farmers," which demanded the dismissal of the minister in exchange for supporting financial aid to the airline. Prime Minister Evika Silina stated the need to reorganize the Ministry of Transport but retained the current government lineup for the sake of the country’s stability. The approval of the loan effectively confirmed the coalition’s viability amid external economic challenges.

Opposition parties in the Latvian Parliament, the National Alliance and the “United List,” proposed a motion of no confidence against Prime Minister Evika Siliņa. The opposition accuses the government of “a prolonged inability to make clear decisions regarding the termination of economic cooperation with Russia and Belarus.” According to the parties, the government’s indecision is unacceptable amid the war in Ukraine, as it indirectly supports the Russian economy and its ability to wage war.

During its session on February 12, 2026, the Latvian Parliament did not support the opposition’s motion to dismiss Prime Minister Evika Silina, who represents the “New Unity” party. 

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