Monday, January 11, 2010

Loan Shark Estonia: Latvia Borrows 100 Large; Pledges Lithuania

Estonia will grant Latvia a 100 million euro loan at market conditions, Eesti Ekspress writes. The loan is part of a joint aid package with the Nordic states and is funded by the EU Structural Loan Shark Assistance Program. Latvia has offered to pledge Lithuania as collateral for the loan, which, according to Bank of Estonia, leaves Estonia under collateralized. “Who wants Lithuania?” asked Lauri Pant, Bank of Estonia spokesman, “Even Poland coughed them up like a hairball after WWII,” he said. “Because of this, we have applied a sovereign risk premium of 148%, which makes the vic 12 million large,” he said, using the language of high finance to refer to the monthly interest bill.
As part of the loan, Latvia’s President Valdis Zatlers has also pledged his summer home in Saulkrasti, as well as his wife’s collection of Belorussian crystal miniature puppies. In return, Estonia is granting Latvia the use of a Visa Classic debit card, a Skype account, and as a signing bonus, one free toaster.


  1. Uh-oh, is Henry away this week? Get Balthasar the style guide and the spell-checker!

  2. this foto could be of any Kaitseliit member out on a Saturday night. except for the good cigar maybe.

  3. Anonymous: I fixed it. Balthasar has been punished.


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