The first meeting of the Coordination Council for Large and Strategically Significant Investment Projects

The first meeting of the renewed Coordination Council for Large and Strategically Significant Investment Projects (the Council), chaired by the Deputy Chairman, Minister of Economics Viktors Valainis, was held on Thursday, 9 May.

The meeting discussed topical issues identified by the Investment and Development Agency of Latvia (LIAA) in its day-to-day work with foreign and local investors - both in terms of implementation of specific large and strategically important investment projects, as well as issues that are generally essential for improvement of the investment environment in Latvia and successful implementation of investment projects necessary for the national economy.

"I am pleased that coordinated work has been initiated to make the Council, under the leadership of the Prime Minister, the central institution for identifying and monitoring the progress of large investment projects in Latvia and taking decisions to remove various obstacles or address other issues important for investment inflows, regardless of whether we are talking about foreign direct investment in Latvia or development projects of Latvian companies with an investment volume of at least 10 million euros or an export volume of 5 million euros. It is essential that each major investment project will now have its own "supervisor" - a specific official who will monitor its progress," said Viktors Valainis, Minister of Economics.  

Ivi Anna Buce, the Director of the Investment Project Department at LIAA, provided updates on secured investments and ongoing investment initiatives. The volume of investments has increased by approximately 30% in the last year compared to 2022. "There is a great interest in projects within the energy and ICT sectors, and manufacturing is also progressing by expanding current production facilities and building new ones. This year, our target for attracting foreign investment is €660 million, creating up to 2,500 new jobs. Effective investment in the economy is the basis for Latvia's development and competitiveness, so improving the coordination of various major investment projects is essential. We are currently working on 321 potential investment projects worth almost €13.95 billion. Not all of these projects will come to fruition, but if implemented, they could create as many as 9,000 new jobs."

The main issues to be discussed at the Council relate to the availability of raw materials for production in Latvia, the improvement of services provided by the state to investors, and the need to continue work on the regulatory framework to facilitate the promotion of projects and attraction of investment. LIAA, as the secretariat of the Council, plans to forward proposals and reports on the implementation of major investment projects to the Council for consideration and will also report on the progress of implementation of decisions.

The matters deliberated at the Council were also addressed in the Operational Working Group on Large and Strategically Significant Investment Projects (Working Group), established by the Ministry of Economics. This group includes representatives from the Ministry of Economics, LIAA, and the Prime Minister's Office.

As previously reported, on 9 April 2024, the Cabinet of Ministers approved amendments to the Council's Statute, introducing a more efficient decision-making process in the Council's work to monitor the management and implementation of large and strategically important investment projects in Latvia. The Council can consider and decide on amendments to legislation, support mechanisms, complementary infrastructure, or other investments and measures necessary to implement specific investment projects.

For more efficient evaluation of investment projects and preparation of decisions, the Ministry of Economics has established a Working Group whose task is to prepare proposals for the adoption of decisions by the Council on the successful implementation of investment projects relevant to the Latvian economy and to monitor the implementation of decisions taken at Council meetings.

The Council includes the Prime Minister, the Minister of Economics, the Minister of Finance, the Minister of Foreign Affairs, the Minister of Transport, and the Minister for Environmental Protection and Regional Development. Representatives of other state institutions, capital companies, public organizations, and social partners affected by the issue may also be invited to attend the conference.

Source: Press release
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