The Analysis of Government’s Communications and Public Engagement’s Socio-Political Effects during the Financial Crisis in Latvia (2008 – 2011)

ASIAN JOURNAL OF HUMANITIES AND SOCIAL STUDIES (ISSN: 2321 – 2799)

Sandra Veinberg

Full text: 523-3143-1-PB

Abstract

The Baltic States have been amongst the worst hit by the global financial crisis. The most serious situation was experienced in Latvia. The country was forced to ask the International Monetary Fund and the European Union for an emergency bailout of 7.5 billion euros. The 2008-2011 Latvian financial crisis stemmed from the global financial crisis of 2008-2009. The government laid off a third of its civil servants, slashed wages for the rest, and sharply reduced support for hospitals, and for the most part people accepted this bitter medicine.

Negotiations between the government and lenders were constructive and confidential, but the consequences “of the efficient fiscal adjustment” were tragic for too many people in Latvia. Currently, Latvia has been able to stabilise its financial systems, but Latvia’s homework has become a major topic of discussion among various economists. Due to the austerity measures, Latvians were confused and began to emigrate. When the financial crisis was a fact for Latvia, the government did not possess any strategy for communications with the country’s residents. The transmission model for communications (a one-way process) was dominant. National studies of PR show that with the absence of a modern strategy for communications, Latvia has certainly not been an example for other countries that experience an economic crisis.

 Keywords
Latvia, European identity, financial crisis, political communication

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