Why not to devalue the Lat
2009.06.19 , The Baltic Times

The following is a factsheet released from the Latvian Institute:

Latvia’s economic situation has become a subject of global debate, as economists weigh in from every side with opinions on what should be done next. On Friday, June 12, CNN’s ‘Quest Means Business’ devoted ten minutes to Latvia’s fiscal choices and featured an extensive interview with Prime Minister Valdis Dombrovskis. The Prime Minister once again reiterated Latvia’s firm position on maintaining the currency peg to the euro.

A week earlier, the Governor of the Bank of Latvia, Ilmars Rimsevics reiterated that the responsibility over the exchange rate of the lats rests solely with the independent central bank, which is implementing a fixed exchange rate strategy. <...>