Leader of Latvia's Russian-speakers fears sanctions backfiring

Nils Usakovs listens to campaign staff in Riga September 28, 2014. REUTERS/Ints Kalnins

RIGA (Reuters) - It's not so much the risk of conflict with Russia that worries the mayor of the Latvian capital Riga; it's the threat to jobs and investment as EU sanctions on Moscow rebound on the economy of the Baltic state.

Russia's annexation of Crimea and backing for separatist rebels in eastern Ukraine have prompted U.S. President Barack Obama to offer assurances that NATO will stand by its East European members, including Latvia, to prevent any attempt by Moscow to destabilise them.