On Friday 8 December, Prime Minister Māris Kučinskis opened the business forum hosted by the Japan External Trade Organization (JETRO) in Tokyo, as well as met with Hiroyuki Ishige, Chairman of JETRO.
Addressing the Japanese entrepreneurs, M. Kučinskis presented the tax reform implemented in Latvia, establishing a special regime for start-ups and technology-intensive enterprises, as well as work on health and education reforms. In 2017, the OECD recognized Latvia as the most successful country in implementing the structural reforms.
M.Kucinskis emphasized that the challenge for Latvia’s economy in the global environment is sustainable growth, including the integration into the value chains of global corporations. In this field, the government is working intensively in cooperation with businessmen and various global corporations. "I see Latvia and Rīga as a connecting city for regional asset flows - talents, tourists, and, of course, cargos. Latvia is a leader in the Baltic region for the volume of transhipment through ports, and Rīga has the largest civil airport in the Baltic region," said M. Kučinskis. He also emphasized that the direct air connection between Rīga and Japan would serve as the shortest bridge between Asia and Europe while providing excellent connectivity with the major European cities.
Within the framework of the forum, it was pointed out that Latvia is currently working on diversification of the transport and logistics offer, as well as on attracting new markets. Latvia's advantage in the region is its ability to efficiently handle transit flows both through ports, by rail and by air carriers. Rīga is seen as a connecting city for the distribution of goods, providing customers with multimodal solutions with northern Europe, Russia and CIS countries. As a member of the European Union, Latvia can provide the most efficient storage and distribution of goods in the Baltic and Scandinavian countries, as well as advantageous storage of Japanese goods prior to delivery to Russia.
The Prime Minister also expressed confidence that Latvia could serve as an innovation platform for northern Europe. "Latvia has all the prerequisites for becoming the “magnet” for innovation activities of northern Europe," said M. Kučinskis. The government of Latvia has developed a concept of a data-based nation, the three basic principles of which are the free access to public data, raising public awareness and involvement through open data, the development of innovative products, including the use of public services as pilot polygon for approval of products. The concept also provides for the incubation of innovative products where the public sector cooperates with the private sector to proactively address today's challenges.
JETRO is the Japan Foreign Trade Organization with offices in several dozen countries around the world. Latvia and Japan enjoy long-standing diplomatic and economic relations. The first cooperation document - the Trade and Navigation Agreement between the two countries was signed already 90 years ago, in 1928. This year, the Convention for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion was signed. It will enter into force in a few weeks.
Andrejs Vaivars
Press Secretary to the Prime Minister
Phone: 29228678
E-mail: Andrejs.Vaivars@mk.gov.lv