Dombrovskis stressed that the main goal is budget stabilization because even in the so-called "fat years", when the economic growth was in double digits, the budget was unbalanced.

Dombrovskis said that the maximum permissible budget deficit is 10 percent of the gross domestic product this year and 8.5 percent next year. He also stressed that the government is working hard on measures encouraging economic development, first of all, on redistributing the European Union funds so as to allot more money to support businessmen. The third priority that the government has set itself is the social security network.

"We have to realize what awaits us in the fall and in winter, and what the unemployment will be like. The government's social security network development will focus on welfare, education and healthcare," said Dombrovskis.

The People's Party Saeima group's head, Vineta Muizniece, said during the debate that raising taxes would not produce the desired effect, on the contrary, higher taxes will have a negative effect on the national economy and residents' welfare.

"Taking far-reaching steps in reducing budget spending, changing the taxation system and public administration requires significant support from the community and the social partners," said Muizniece.