This week, temporary administration of the Riga municipality will start distributing the COVID-19 compensation fund, including €2.29 million for Rīgas Satiksme (Riga Transport), Latvian Television reported on June 16.
The budget for Riga this year was adopted in early April, when the state of emergency of COVID-19 was already in place. In view of the potential consequences of this crisis, the budget identified a special reserve fund of EUR 13.8 million.
It is planned to allocate a further large portion of the reserve fund funds on Friday, June 19, to compensate local government authorities and companies for losses caused by COVID-19.
The money is to be distributed for the following purposes:
The City Council’s Department of Finance forecasts that about half of the reserve funds will be spent in the first half of the year. As a result, €6 to €7 million will remain in reserve for other needs, including a possible second wave in the autumn.