First is the public expenditure, second is the expenditures by private and nongovernmental sectors who provide schooling or health services and finally is the expenditures incurred by the households themselves in form of tuition fees, text books, purchase of medicines, vaccines etc.
As a solution for the loss of ability to compete he offers devaluing the lats, i.e. reducing its value. His pronouncements have not gone unnoticed in the public space and for that reason I will henceforth outline the central bank’s position on this issue.