Latvian Prime Minister Laimdota Straujuma has announced the resignation of her government. Straujuma announced her decision at a joint press conference with President Raimonds Vējonis.

Talks about the possible resignation of Straujuma’s government began in early November, when the prime minister had a disagreement with Transport Minister Anrijs Matiss over the future of AirBaltic, the national airline.

The Latvian Ministry of Transport, together with the Prudentia consulting agency, proposed German businessman Ralf-Dieter Montag-Girmes, who has ties to Russia, as an investor in airBaltic.

As a result, Minister for Transport Matiss lost his ministerial post and Straujuma announced that she might resign.

Later, the Latvian parliament banned airBaltic from buying Russian Sukhoi Superjet 100 aircraft while allocating EUR 80 million.

As reported, another corruption scandal erupted in Latvia in early August, when the Latvian Railways’ head Ugis Magonis was arrested for taking bribes.