The aim of the research was to identify the feasibility of introducing Universal Basic Income (UBI) and the impact of its implementation on the economy of Latvia. Research methods – literature review, analysis, synthesis, calculation of relative values, comparison, calculation of multiplier effect. UBI definitions, studies and socio-economic issues related to basic income are analyzed and summarized in the article. Economic factors are determined to assess the impact of the introduction of the UBI on the economy of Latvia. The amount of UBI payable was calculated for three different forms and ways of payment. Costs of implementation of UBI on Latvia’s budget were assessed. Fiscal effect of the implementation of UBI was determined. It is concluded, that the implementation of UBI would stimulate the economic growth, but it is not financially feasible due to strain on the budget.