The prime ministers of Latvia and Estonia met in Riga Friday to unveil a new report detailing 65 areas of possible future economic, political and cultural collaboration, according to dpa. Estonia's Andrus Ansip and Latvia's Valdis Dombrovskis said the document will form the basis for a further meeting in November and could prove to be "really fruitful." The report calls for, among other things, achieving a common position on European Union energy policy with regard to Russia, an upgrade of existing energy links from 700 MW to 1000 MW, and improvements to the region's frequently dilapidated transport infrastructure. Ansip also gave strong backing to Dombrovskis' government ahead of Latvian general elections in October, saying his counterpart was doing a "really good job" introducing tough reforms. The Estonian prime minister went on to point out the speed with which the Baltic states reacted to the global economic crisis. "We were not ready to face the deepest recession since the Great Depression - nobody was - but we reacted quickly and quick reactions are less painful than postponed reactions," Ansip said. Fiscal consolidation measures already undertaken to enable Estonia's likely accession to the Eurozone next year were more than sufficient, Ansip added, with tax revenues higher than expected. "This year, there is no need for further budget cuts or tax increases," he said.
