Address by Latvian President Valdis Zatlers at a Plenary Session of the European Parliament in Strasbourg January 13, 2009 [13 Jan 2009]

Mr Chairman, honourable members of the European Parliament, ladies and gentlemen!

I would first like to thank the chairman of the European Parliament for his kind introduction and his invitation to address the elected representatives of the nations of Europe. This opportunity is a great honour for me.

I am particularly delighted to address the European Parliament in my own native language, Latvian. That is all the more true because for five years now, Latvian has been one of the official languages of the European Union.

I am addressing you today at a time when the term in office of Latvia's first members of the European Parliament is drawing to a close. I thank all of them for having fulfilled their duties with honour.

Dear friends!

This year, 2009, is of great importance to Latvia. This year marks the fifth year since Latvia joined the European Union and NATO. After the restoration of Latvia's independence in 1991, membership in these international organisations became Latvia's strategic goal. Latvia clearly expressed its will to take part in European and Transatlantic economic and security structures.

The expansion of the community of democratic countries in Europe during the first decade of the 21^st century marked out the most dynamic changes in Europe since the establishment of the European Union.

These were fundamental changes. European structures were joined by countries which had been isolated from then for a long time and in a violent way. That was true even though in historical terms, these were countries in which the values that are the very foundation of the EU were deeply rooted.

On November 18 of last year, Latvia celebrated the 90^th anniversary of its declaration of independence. This was a very important anniversary for our nation. It once again demonstrated our unbending will to live in a country that is independent, free and democratic.

The 1918 declaration of independence in Latvia proclaimed the following: "All citizens, regardless of their nationality, are asked to help, because all human rights will be guaranteed in Latvia. This will be a democratic and just country, one in which there will be no room for oppression or injustice."

I am very proud of these words. Fully thirty years before the adoption of the Framework Declaration on Human Rights, the Republic of Latvia expressed trust in its fundamental values and principles.

Latvia has always felt a sense of belonging to Europe and its values. That was true even when Latvia and other countries in Central and Eastern Europe were, for a long time, linked to a country in which many values were viewed through a particular ideological prism.

There was peace among the countries of the Eastern bloc, but it was the peace of a prison yard – peace that was achieved with tanks, repression and threats. Last year the Latvian director Edvīns Šnore released the film "Soviet Story," which demonstrated the inhuman nature of the totalitarian ideology to you, members of the European Parliament, and to all of Europe.

We have a common history, but our destinies have been different. We must look into the past so that we can better understand one another and join together in looking toward the future.

I wish to thank the European Parliament for the declaration that was adopted on September 22 last year: "On Declaring August 23 as a Date to Commemorate the Victims of Stalinism and Nazism in Europe." This is a declaration which reminds all of the residents of Europe of the tragic events which occurred in the history of Latvia and all of Europe.

Today I should like to look at the more recent past. Five years will pass this year since Latvia has been a member state of the European Union and NATO. What kind of era has this been for Latvia? What has our country gained? What achievements has our country made, and what challenges face us in future?

First of all, our aspirations for participation in Europe promoted the strengthening of democracy in our society and facilitated the development of democratic institutions. Upon joining the European Union, Latvia confirmed that it would base its future on European identity and the common values – freedom, democracy, responsibility, the rule of law, human rights, equality, tolerance and welfare.

Second, membership in the European Union substantially improved the investment climate in Latvia. The people of Latvia refer to resources from the European Union's Structural Fund as "European money," and it has made a substantial investment in the development of Latvia's economy.

Third, we can enjoy the advantages which are ensured by the free movement of people. We are now accustomed to free travel in the Schengen Zone – it has become something that is self-evident. It is so natural to study, work and gain experience in other European Union member states.

Fourth, the free movement of goods and services has opened up new opportunities for business. Each businessperson and consumer can operate in a free environment, with no borders or customs formalities. Our country has a small internal market, and for us, this is particularly important.

The fifth issue is the most important one. Latvia's voice is heard in Europe, and Europe's voice is heard in the world. We can be proud of the fact that such a unique mechanism for co-operation is at our disposal. This means that we can all work together to find active solutions to global challenges – climate and demographic changes, the need to strengthen energy security, migration problems, as well as upheavals in the world of finance in the context of the financial crisis.

Latvia now has access to new political and economic instruments, but it is also true that the state's responsibility for Europe's future as such has increased substantially. We are responsible before all of the people of Europe.

As we review our achievements, we must also take a critical look at the mistakes which we must admit. After accession to the European Union, the Latvian government relaxed with the sense of a job well done. The goal had been reached.

We failed to understand that we were at the beginning, not the end of all of these processes. The European Union offers extensive opportunities, but each country and each society must make use of these opportunities on its own.

We have not taken advantage of all of the opportunities in Latvia. We have not always been wise in our approach to cohesion policies and to the use of finances that have been afforded to us. Our country's institutions had to learn how to live in the European Union.

We have not been sufficiently purposeful in trying to introduce the euro. That is one of the biggest mistakes that we have made in the process of European integration. Under the conditions of a financial crisis, this becomes harshly clear.

And yet even the most thorough Eurosceptic must admit that Latvia's membership in the European Union has, on balance, been a good thing.

Would anyone in Latvia wish to return to a Europe in which there are customs barriers among countries? No!

Would anyone want to stand in a border queue to enter a neighbouring country? No!

Is there anyone who would want to return to limitations on the freedom of the labour force, on education and the ability to gain new experiences? Certainly not!

Even Eurosceptics quickly become accustomed to good things. They become ordinary sceptics.

Ladies and gentlemen!

The exacerbated situation which we have seen over the last few months in the world's economy and its financial system has irreversibly changed the role of national leaders and their importance in economic processes.

Financial markets were always free to develop. We were convinced that market laws would be sufficiently effective facilitators of economic development. We believed that the market would handle everything.

It is true that the market regulates itself, but under the circumstances of a global crisis, we see that this has caused significant harm to our financial systems and economies. The most important thing is that this causes pain to local residents, to specific people.

The development of events toward the end of last year showed that national governments must participate more actively in economic processes. The former approach was to doze off at the steering wheel of economic development, but that was an irresponsible approach. Sadly, we woke up too late – we could see the financial mess that was an obstacle in our path, but it was too late to avoid it.

This is a situation which demands a complex approach – at the national, European and global level.

At the global level, we need co-ordinated pursuit of the restoration of economic growth. This will be possible only if we create a new architecture and mechanisms for the financial system. There will have to be strict oversight of the system while, at the same time, not limiting initiative and market processes. Our greatest challenge will be to strike this balance.

At the European level, we have a fundamental advantage – we can implement activities in a harmonised way so as to achieve a more unified and sustainable solution. We welcome the European Commission's achievements in designing a plan for economic healing. That is a key step to escape the swamp in which we have found ourselves.

Please allow me to spend a bit more time on solutions at the national level. The global financial crisis has affected Latvia, too. It has been said that Latvia is currently experiencing one of the most dramatic operations for the rescue of a financial system in the history of modern Europe.

Latvia is currently working on a programme of economic stimuli in order to stabilise the financial and economic situation quickly and effectively, but that is not the only thing. The job is hard, but we will be able to overcome the crisis only if we identify a secure way to escape it. We must not confuse short-term solutions with a long-term view of economic development.

Late last year, six parties which are represented in Latvia's Parliament – both from the governing coalition and from the opposition – agreed on a joint position of support for the economic stabilisation plan which had been drafted by the government.

This agreement speaks to particular attention toward supervision of the loan that has been granted to Latvia. It defines medium-term priorities for Latvia's economy – support for exports, promotion of free and fair competition, a substantial reduction in the deficit in our current accounts and balance of payments, and the introduction of the euro in 2012.

Latvia's accession to the euro zone has become one of the most important strategic goals for our country.

It is of key importance to make sure that Latvia does not stand alone in this situation. It is not just international financial institutions, but also the institutions of the European Union and European countries which are helping us to overcome this complex time. Latvia is thankful for this manifestation of solidarity.

Ladies and gentlemen!

Each enlargement of the European Union has not only added new member states, but has also created new emphasis in the EU's agenda, including in the area of foreign policy. Latvia joined the EU at a time when Europe's Neighbourhood Policy was being developed along with its goals, principles and implementation instruments.

Since that time, the European Union's foreign policy activities in the direction of its eastern neighbours has undergone particular development. That has occurred thanks to the interest and experience of the new member states. Latvia has always viewed the Neighbourhood Policy in a broader dimension. We will continue to play an active role in defining and implementing these policies.

This speaks not just to the European Union's relations with specific countries with which the EU has a land or sea border. We must also speak in the context of this policy of the role and place of the European Union in the world.

Latvia has joined with several other countries which have similar views to actively promote the closer involvement of the European Union in the region of eastern neighbours. The Eastern Partnership is a new initiative, and its goal is to transform Europe's common Neighbourhood Policy so as to adapt it to the specific needs of this region. The process is becoming more active, courageous and ambitious.

Latvia welcomes the proposals that have been made by the European Commission.

In practical terms, the Eastern Partnership must strengthen political and economic relations between the European Union and countries in the relevant region. It must also promote greater co-operation among the countries in that region. The principle of differentiation must be observed in developing the Eastern Partnership, with individual judgments and attitudes toward each of the various partners.

Each of these countries is pursuing its own path of development. There are countries which wish to join the European Union. There are others which have chosen different goals. Our policy will be successful only if we can work together with all of the countries in the region, if we take an understanding approach toward assistance in those areas in which it is needed.

I received positive signals about the idea of expanding and deepening co-operation when I visited the Central Asian countries of Kazakhstan, Uzbekistan and Turkmenistan in October of last year.

Latvia is and will continue to be an active supporter and implementer of the European Neighbourhood Policy, helping to establish bilateral relations with the European Union's neighbouring countries to the East.

Each European country has its historical experience, its own ability to work on behalf of our joint project – the European Union. Latvia's particular contribution to the Eastern Dimension is mutual trust in our bilateral relations, as rooted in our common history and the expertise which is the result of that history.

Latvia is obliged to make use of this particular situation, because over the next 10 years, it will disappear. As far as countries to our East are concerned, Latvia will be just one of many European countries, no longer a gateway to Europe.

In making use of these advantages, Latvia maintains active political dialogue with its neighbouring countries so as to promote a better understanding of the European Union and its values, as well as to explain the goals of the European Neighbourhood Policy and Eastern Partnership.

These are gains on both sides. We, in turn, can hear the views of neighbouring countries vis-à-vis their future relationship with the European Union. I am certain that Europe's interests will be well served if the Eastern Partnership is inaugurated during the Czech presidency of the European Union.

Ladies and gentlemen!

An issue which has become of greater importance during the first days of the Czech presidency is energy security. Financial and economic crises tend to be of a cyclical nature. Issues which relate to energy security and sustainable source of energy are always on the political agenda of Europe and the world. The importance of these issues is constantly on the rise.

Energy policy has a distinct external dimension. This means that we cannot evaluate these issues in isolation from the situation in the world. This was confirmed, among other things, by recent events in Ukraine and by the conflict in Georgia.

It was only recently that European Union member states considered energy policy to be an issue for the national, not the European Union level.

Let us remember what has happened in the field of energy during the last several years. Deliveries of energy supplies have been interrupted, the amount of available energy resources has declined, and prices have shifted. This has promoted a unified understanding among European Union member states of the need for a common energy policy.

The main requirement at the crossroads of energy and politics is to ensure energy supplies which are uninterrupted, sufficient, economic, sustainable and environmentally friendly. It does have to be said that the European Union's successes in this regard have been uneven.

There are some areas in which we have prepared ambitious plans at the European level, ones which remain to be implemented. The need for an environmentally friendly energy system is one such area.

But there are other issues where we are still at the very beginning of the road. Diversification of sources of energy at the European level and unification of the energy market are examples of such issues.

Just in recent days, there has been an interruption in the delivery of gas from Russia. This has opened our eyes to the need for a quicker solution at the pan-European level. We are all responsible for ensuring that this understanding is brought to bear in the establishment of a truly integrated and diversified energy market in Europe. We must not allow our dedication to melt away like snow in the springtime.

Energy security issues can be addressed successfully only through active dialogue with energy resource suppliers and transit countries. The European Union has the foreign policy instruments which are needed to address this issue. We are responsible for bringing these instruments to bear.

Another area in which there must be serious work is the integration of the Baltic energy market with those in Scandinavia and Central Europe. Integration in the Baltic region has been uneven. Trade and transport in the region have developed rapidly. The energy market, by comparison, is stagnant.

The European Commission has done commendable work in this regard. The initiative to strengthen energy security and solidarity includes a plan for interconnections in the Baltic energy market. This will gradually allow us to integrate the Baltic States into a unified European energy market.

I very much welcome Sweden's involvement in strategic discussions about the Baltic Sea region. Sweden will be able to work on these issues in the next half-year, when it takes over the European presidency.

I am convinced that a strong European Union is based on strong regions from the Mediterranean to the Baltic Sea.

Ladies and gentlemen!

The European Union's initial goal – the security and welfare of the people of Europe – has not changed. What has changed is the environment in which we must achieve that goal. The global economy is far more tightly linked than it was half a century ago. At the same time, new and powerful economic players have appeared on the global stage.

Our only hope in terms of not losing this global competition race must refer to consistent, far-sighted and, especially, joint action on the part of the European Union.

Only by working together can we hope to keep the promise of security and welfare. Only then will we be able to achieve the goal which led the people of our countries to vote in favour of our accession to the European Union.

The European Parliament has demonstrated that it has a broad view of the future of the European Union. That particularly applies to an equal and balanced approach toward EU enlargement policy.

Europe's dynamic process of growth has made it possible for Europe to compete in the world. This growth represents European potential which must be brought to bear so as to ensure that even after several decades, the EU is still an equal economic partner for the rapidly growing economies of Asia and Latin America.

It is you, the democratically elected representatives of European nations, who most clearly sense your responsibility for this process. One cannot overstate the importance of the European Parliament in bringing the European project closer to local residents and in enhancing the democratic legitimacy of those processes. The role of the European Parliament will become even stronger in future.

It is fundamentally important to unify in our diversities and differences. We must continue to improve the European Union. This is work which all Europeans must do together. This is our common responsibility for Europe.

It is very important to prevent any fragmentation in the European Union. Member states must seek out solutions and avoid a situation in which the European project develops at different speeds.

I welcome the agreement which was reached last month by the European Council on the continuing development of the Lisbon Treaty. That treaty sets out legal prerequisites for the fully fledged functioning of the European Union in future, for the strengthening of its role in the international arena.

Only if we implement the principles of the Lisbon Treaty will we be able to fully pursue the positive potential which is offered by a new and unified Europe.

How effective will the Lisbon Treaty be in practice? That will depend on the political will of member states and their institutions, on their ability to stand together in pursuit of European goals.

Ladies and gentlemen!

Until 2004, Latvia's goal was to join the European Union. Ever since that time, we have prepared Latvia's goals in the context of European goals. We can no longer perceive ourselves as being separate from Europe. We can define and achieve Latvia's goals only if they are in line with Europe's common vision. Europe's goals, in turn, can be achieved only if they are in line with the views of each and every member state.

The European Union is based on common values, and it must be strengthened on the basis of those same values.

Only public debate can define the values which we all have in common. Only by working together can be agree on values which we can place alongside those which are the foundation of the European Union. The definition of European values and the encouragement of discussion about those values – that is a job for all politicians, and particularly for European leaders.

Let us now take a look into the future. What is my vision of the European Union and Latvia in the more distant future, let us say – in 2015?

Post-crisis growth will mean that the economic world will merge into several centres of economic power. The European Union will be one such centre.

Europe will have the will and ability to be unified, because only unity will make it possible for us to do the job that is ahead of us. Even more, the European Union will still be prepared to accept all Europeans who recognise its values.

This unity in diversity will be the key to an increased role for Europe in the world. The European Union will be larger, but it will not lose its ability to act effectively.

The European Union will be able to take care of its security and of stability in its neighbouring countries. Education and culture will form the bridge which links the experience of various EU member states, and that will help us to regain Europe's leading world in science and culture throughout the world.

There will no longer be old and new, large and small European countries. European countries will be judged on the basis of their achievements, not geographic or geopolitical criteria.

Europe will be unified. This will be ensured by powerful regions which, whilst defending their own interests, will work closely with others to establish a network of welfare and development in all of Europe. Each country will invest in this development on the basis of its particular abilities and knowledge.

What will be Latvia's role in the European Union in 2015?

By that time, Latvia will have overcome its crisis. The Latvian capital city of Rīga will be one of the flourishing centres of the Baltic economic region. Latvia's economy will be more balanced, competitive and structurally reformed.

In 2015, for the first time in the history of independent Latvia, the country will be entrusted with European and global issues as the presiding country in the European Union.

Our contribution to Europe will be based on our special relationship with countries in the Eastern Partnership. Latvia and our region will prepare a bridge to the East, just as the countries of the Mediterranean region will connect both shores of that sea. Our views about European openness, and our experience will integration will be an impulse for further European openness.

Ladies and gentlemen!

2015 is not far away, it is just six years from now. "He who changes will survive," the Latvian poet Rainis wrote 100 years ago. The words are true today, as well. I am sure that Europe will undergo fundamental developments. It will become more powerful in its economy, welfare and mutual co-operation. It will strengthen its system of values. Each European will be proud to live in Europe whilst also belonging to his or her nation.

Unity in diversity, development, the preservation of values, and the responsibility of each citizen for his or her country and for the European community as a whole – that is the future of Europe.

My dear friends!

The development and flourishing of Europe is the measuring stick for our success, an evaluation of our work, our responsibility.

I call upon you, the members of the European Parliament, to promote greater understanding among Europeans about our common goals and the way in which these goals will affect every European life and every European home. Support among the citizens of Europe for the idea of Europe is the best guarantee for the future of Europe.

I thank you, the members of the European Parliament, for the work which you have done during this session. I wish you success in your future work and in the upcoming European Parliament election, as well.