Returning to the founding principles of the Maastricht Treaty, or evolving into a fiscal union. The debate on choosing the right path towards a more stable monetary union – one which takes the people’s concerns seriously – is an important one. Nor is it a debate which fuels anti-European sentiment, but one which lays the groundwork for popular acceptance and approval.
On the contrary: a stable and unchangeable lats exchange rate in under such conditions serves and will continue to serve as an automatic stabilizing and inflation-suppressing factor. I would also like to remind any hotheads that only the Bank of Latvia can make the decision to devalue: not the government.