Office news
October 1, 2024 -
11:54 am

 

Welcome to the 2024 September edition of the FICIL Newsletter!

 

This month has been rich with events and meetings. In addition, we have published the new position papers! Please find more details below.

28th High Council meeting

This year’s High Council meeting took place on 26th and 27th of September, when FICIL met with the high-level public sector officials to discuss key priorities that should form the foundation of Latvia’s long-term development strategy. The first day took place at “Jaunā Teika” – we are very thankful to Ignitis Renewables Latvija and TechMahindra for support! The second day was organised at the Cabinet of Ministers. 

FICIL suggested that Latvia should become an internationally recognised innovation hub, powered by 3 S: 

  • Smart people and smart technologies
  • Sustainable: forward-looking solutions that are both economically viable and environmentally friendly
  • Social dialogue: collaboration that leads to co-creation of solutions and fosters a positive and productive environment

During the two-day event, FICIL highlighted critical areas that require immediate attention of the government: 

  • Labour availability and the need for upskilling/reskilling; 
  • Combatting the shadow economy; 
  • Public sector modernisation and reducing the administrative burden; 
  • Fostering fair competition and improving the business environment; 
  • Stimulating the development of the green economy and of the energy sector. 

More details on both days of the event can be found below.

Day 1: Insights from VARAM, Thematic Working Groups and Panel Discussion

 

The first day began with a presentation by Ilze Oša and Gatis Ozols from the Ministry of Smart Administr

ation and Regional Development. They outlined upcoming government reforms aimed at improving local governance and creating a more favorable business environment. Discussions covered the following topics – regional policy, territorial planning, resource optimization, and digital transformation. 

In the afternoon, FICIL organised four thematic working groups (People and Society, Economy, Governance, Environment and Infrastructure), which focused on determining key priorities in specific areas. Following the working groups, a joint panel discussion was organised to draw conclusions on what priorities should constitute the Latvia’s long-term development strategy.

 

Day 2: Meeting with the Prime Minister and the Cabinet of Ministers
On 27th September, FICIL members met with the Prime Minister, Evika Siliņa, and other key ministers. The discussions focused on two key topics: first, the investment climate and the long-term development strategy, and, second, the administrative burden. FICIL presented recommendations on these topics, while Raivis Breimšmits, the acting director of the Investment and Development Agency of Latvia (LIAA), also elaborated on the government’s action plan in improving the investment climate and in reducing the administrative burden. 

During the meeting, the government and the investors discussed the importance of a long-term development strategy of the country. As a result, many current decisions are being made with short-term considerations, which could harm Latvia’s long-term interests. Establishing a clear vision for a development strategy would not only help the public sector focus on the right issues (digitalization, centralization, modernization), but also provide private investors with a predictable and transparent business environment.

The High Council concluded with the signing of a joint Communiqué by the Chairperson of the FICIL Board, Zlata Elksniņa-Zaščirinska, and the Prime Minister, Evika Siliņa. This document outlines the government’s steps to enhance Latvia’s competitiveness and to attract more investment.

More information about the event, including presentations, video recordings, Communique and other materials can be found on our website.

Position Papers
In preparation to the High Council meeting, FICIL’s work groups developed six new position papers, which highlight key challenges in specific areas and FICIL recommendations: 

  • Economic Development of Latvia for all 
  • Future Public Administration 
  • Combatting Shadow Economy 
  • Human Capital 
  • Investment protection
  • Sustainable for the Future 

All position papers are publicly available and can be found here. We would like to thank our work group leaders for their tremendous work!

FICIL Work Groups
The 28th High Council meeting certainly provided us with plenty of material to work with during the next season and follow-up meetings with ministries and other public sector representatives are being organised. A full list of FICIL’s work groups is available here. If you would like to participate in any of the work groups or find out more information, please register here.

FICIL and CSR Latvia Discuss Advancing the EU Green Deal with Saeima Speaker

 

FICIL and CSR Latvia recently met with the Saeima Speaker, Daiga Mieriņa, to discuss advancing the EU’s Green Deal and enhancing Latvia’s business competitiveness through sustainability. The discussion focused on the need for better coordination between public institutions and the private sector to achieve the Green Deal’s goals. Both organizations believe that Latvia has significant potential to lead in sustainable business practices and innovation, becoming a key player in the renewable energy and circular economy sectors. They stressed the importance of a clear action plan to foster economic growth through sustainability, with collaboration across political, administrative, and business spheres. For more information, please visit our website.

 

FICIL and CSR Latvia Discussed Collaboration with Minister of Economics to Strengthen Climate Strategy
On September 4th, FICIL and CSR Latvia met with the Minister of Economics, Viktors Valainis, to discuss strategies for aligning Latvia with the EU Green Deal and promoting sustainability as a business opportunity. Key topics included the need for a memorandum of understanding to drive cooperation between the state and businesses on climate initiatives. FICIL’s Energy and Green Economy work group emphasized importance of the circular economy principles and of strengthening the local business capacities. Minister Valainis expressed support for structured collaboration, including through the Climate Council working groups, and for a conference on green issues in the Parliament. The parties committed to ongoing dialogue and collaboration. The full press release is available here.

FICIL met with the EBRD delegation 

On 19th September, FICIL Chairperson of the Board, Zlata Elksniņa-Zaščirinska, and Executive Director, Tatjana Guzņajeva, met with the delegation of the European Bank for Reconstruction and Development during their visit in Riga. The meeting was devoted to the discussion of the investment climate in Latvia and recommendations of FICIL on how to address existing challenges of the investors. The EBRD expressed willingness to strengthen collaboration and support in fostering fair market competition, countering favouritism of the state-owned companies, reducing administrative burden and combatting the shadow economy.

FICIL at the Latvian Real Estate Association LANIDA conference

On 13th September, Zlata Elksniņa-Zaščirinska, participated in the panel discussion at the LANIDA conference on the future of the real estate industry. During the conference, Zlata emphasised that the real estate development is hampered by a significant administrative burden, referring to the FICIL Sentiment Index research results. In view of this, Zlata called for digitalisation of the public administration, centralisation of data collection, harmonisation of administrative procedures across municipalities, and for a review of functions and processes at the public administration to ensure their effectiveness and efficiency.

FICIL met with the Governor of Latvijas Banka  
This month, FICIL Chairperson of the Board, Zlata Elksniņa-Zaščirinska, and Executive Director, Tatjana Guzņajeva, had a productive meeting with the Governor of Latvijas Banka, Mārtiņš Kazāks. The conversation focused on key investor priorities (public sector reform, investment protection, energy & green economy, combatting shadow economy), where FICIL emphasized that challenges related to human capital – such as labour availability, talent attraction, quality of education and training, upskilling/reskilling policies – remain unaddressed and require immediate attention for Latvia’s economic growth. Additionally, we discussed the importance of access to finance and the crucial role banks play in fostering entrepreneurship and promoting business development.

FICIL at the Norwegian Chamber of Commerce in Latvia Season Launch Event

 

FICIL Executive Director, Tatjana Guzņajeva, participated in the Norwegian Chamber of Commerce in Latvia (NCCL) Season Launch Event. Tatjana presented results of the FICIL Sentiment Index research, highlighting that investors are concerned about the demographic situation in the country and expect a reform in the areas of education, training and migration. In addition, Tatjana pointed out that investors are encouraging the Prime Minister to set ambitious goals and to create a clear long-term strategy for Latvia’s economic development.

Changes in the FICIL Office

As you have probably heard, FICIL’s Policy Expert, Roberts Alhimionoks, will be leaving us at the beginning of October. We will miss him, but wish success in future endeavors! Soon you will hear about the new FICIL colleague that will replace Roberts.

 

To find out more, follow us on Twitter and Linkedin or visit our webpage www.ficil.lv

-Your FICIL Team