Latvia Reaches a Record: More Than €1 Billion in Investments Attracted in 2025

In 2025, with the involvement of the Investment and Development Agency of Latvia (LIAA), implementation was launched for 31 investment projects. The total value of these projects reached €1.01 billion, and their implementation will create 1,350 new jobs.
The largest projects in 2025 were related to the bioeconomy, smart energy, development of high value-added manufacturing, ICT, and other sectors.

Minister of Economics Viktors Valainis:

“Latvia has the ambition to be among the most attractive investment destinations in the region, and LIAA’s results in 2025 clearly confirm this — the agency has attracted the largest volume of investments in a single year in Latvia’s history.
It is particularly important that data from the Bank of Latvia also show that in the first three quarters of 2025, total foreign direct investment increased by €700 million. This proves that Latvia can and does compete. Our task is to continue improving the business environment, reducing barriers, and ensuring investors a clear and fast path from concept to implementation.”

Examples of Investment Projects

• In the energy sector, the construction of a renewable fuel production facility is planned in the territory of the Port of Riga, where the Ukrainian company Pars Terminal plans to invest €120 million.

• One of the success stories of 2025 is the decision by global Japanese technology company Epson to establish a European Business Services Centre in Riga, with an investment of €6 million and the creation of 150 new jobs. Riga was selected in competition with 28 cities in 18 countries, with decisive factors including Latvia’s location, stability, cost competitiveness, and the qualifications and language skills of the workforce.

• Canadian digital technology company NtangledState will also open a business services centre in Riga, planning 200 new jobs and investments of €25 million.

• Several defence industry projects have also been launched. For example, Estonian company Frankenburg Technologies will invest €10 million in the establishment of a short-range air defence missile manufacturing facility.

LIAA Director Ieva Jāgere:

“Latvia’s key task in attracting investment is visibility — clearly highlighting what we can offer and why Latvia is a выгод choice for investors. Our advantage lies in speed and predictability, which is why instruments such as the Green Corridor, capital discounts for large investment projects, and the Council for Large and Strategically Important Investment Projects chaired by the Prime Minister are so important.
Such support significantly accelerates investor decision-making and project implementation. In 2026, we have again set a target of attracting at least €1 billion in investments, therefore we will continue targeted work with LIAA’s investment portfolio, which currently includes around 180 projects with a total investment potential exceeding €17 billion.”

Focus on Strategically Important Sectors

According to the approved strategy, LIAA prioritises smart specialisation projects in the following sectors:

• Bioeconomy

• Smart energy

• Digital technologies

• Smart materials and photonics

• Biomedicine

• Defence industry

Liene Dubava, Board Member of FICIL and CEO of Nasdaq Riga:

“Investors see Latvia’s potential, but at the same time expect clear and consistent action. If the state ensures a predictable business environment, fair competition, and effective governance, both investment volumes and investor confidence will grow significantly.
Competition for investments between countries is fiercer than ever. Incremental improvements are no longer sufficient — we must demonstrate determination, courage, and a clear strategic direction. Only then can we turn today’s challenges into tomorrow’s opportunities and strengthen Latvia’s position on the global investment map.”

Breakdown of Investments Attracted in 2025

• €460 million — knowledge-intensive bioeconomy (5 projects)

• €428 million — smart energy projects (4 projects)

• €34 million — manufacturing (3 projects)

• €21 million — digitalisation projects (11 projects)

• €20 million — defence sector (3 projects)

• €48 million — other sectors

Regional and Country Distribution

Regional distribution:

• Riga — 20 projects

• Kurzeme — 4 projects

• Pierīga — 2 projects

• Vidzeme — 2 projects

• Latgale — 2 projects

• One project — location not yet determined

Countries of origin of investments:

• Finland, Sweden, Armenia — 3 projects each

• United States, United Kingdom, Australia, Lithuania, Ukraine — 2 projects each

• 12 projects attracted from other countries

Top Countries by Investment Volume

• Lithuania — €401.7 million (2 projects)

• Ukraine — €125 million (2 projects)

• Netherlands — €120 million (1 project)

• Germany — €100 million (1 project)

• Austria — €80 million (1 project)

• Others — €183 million (24 projects)