Latvia breached euro budget rules - central bank

Latvia's fiscal deficit for 2008 was in excess of the 3% Maastricht criterion for euro entry, the Bank of Latvia has said, taking issue with the government's figure of 2.8%.

The difference is due to the way the deficit is calculated the central bank explained.

The deficit of 2.8% of GDP, the central bank said on its website on Thursday, "was calculated according to the cash flow methodology which up to now has been used for the purposes of domestic accounting."

Using the methodology used for

To continue reading...