On Friday 27 September, the 28th High-Level Meeting between the Government of Latvia and the Foreign Investors’ Council in Latvia (FICIL) was held. The Government and foreign investors discussed the current investment environment in Latvia and agreed on the priorities for the coming year to facilitate the attraction foreign investment to Latvia and to boost the country's competitiveness.
"Attracting new foreign investors is important for Latvia, and the investors already working here are of equal importance, as they have become reliable and valuable partners over the years. It is very gratifying that we can work together to find solutions to different challenges, and that foreign investors' ideas and suggestions translate into policy changes. A successful dialogue is a prerequisite for us to boost investment in Latvia and to create more new, well-paid jobs in the country. This important joint work can also help us tackle very complex issues such as reducing administrative burden, human capital policy, energy and many others. Investors are always welcome in Latvia, and our dialogue will be open and productive!" emphasizes Prime Minister E. Siliņa.
The Government and investors agreed on the need to develop cross-sectoral cooperation, both within the public administration and with the private sector. The efforts to reduce the administrative burden on business should also continue, taking into account also other important areas. Both sides highlighted the need to implement all proposals to reduce the administrative burden in the field of real estate.
"We appreciate the government's efforts to attract investment, but in order to retain it, we need to create a favourable business environment. We believe that reducing the administrative burden, tackling the shadow economy, improving the human capital policy and increasing energy efficiency should be among the most important tasks. We can promote economic growth and increase Latvia's global competitiveness only through the development of sustainable environment for all investors," stressed Zlata Elksniņa-Zaščirinska, Chairperson of the FICIL Board
During the meeting, the Government and foreign investors agreed on the need to strengthen the implementation of good corporate governance in capital companies through efficient and responsible use of resources while respecting the principles of competitive neutrality. The meeting highlighted human capital as one of the priorities for the coming year. Adult education and retraining, and a forward-looking adaptation to labour market changes, are crucial aspects for long-term economic growth. The development of artificial intelligence technologies also plays an essential role – the Government and investors shared the view that a favourable environment should be created to foster this area.
An energy policy which is in line with the objectives of the European Union and contribution to energy security are further incentives to attract investment, e.g. to develop wind farms in Latvia. The Government and FICIL therefore agreed to pursue further work on the implementation and development of the National Energy and Climate Plan. The parties also agreed on the need to promote fair competition by reducing the shadow economy and to strengthen a fair and predictable business environment. Latvia’s long-term development goals must be clearly defined to achieve the common goal of both the Government and investors – to boost competitiveness.
High-level meetings between the Government of Latvia and FICIL have been held since 1999, and aim to provide a structured exchange of information and views between investors and local policy makers to improve the business environment and facilitate the inflow of foreign investment into Latvia. The annual meetings of the Latvian Government and FICIL are attended by ministers, high-level civil servants and CEOs of FICIL member companies.
The FICIL representatives submitted six position papers to the Government outlining proposals and recommendations for Latvia's economic development, human capital development, investment protection, sustainable future development, future public administration and combating the shadow economy.
