To promote economic growth, investment, exports, innovation, and good corporate governance in both state-owned and private capital companies, on Monday, April 29, FICIL together with other business organisations and Prime Minister, Evika Siliņa signed an agreement (Memorandum) on the implementation of good corporate governance principles in capital companies.

The agreement was signed by Prime Minister E. Siliņa, Zlata Elksniņa-Zaščirinska, Chairperson of the Board at Foreign Investors Council in Latvia (FICIL), Daiga Auziņa-Melalksne, a Member of the Baltic Institute of Corporate Governance (BICG) Board, Sanita Bajāre, Chairwoman of Board at the Finance Latvia Association, and Kaspars Rožkalns, Chairman of the Board of the Latvian Exporters Association “The Red Jackets.”

“It is important that the public sector and entrepreneurs can agree on a common vision and set higher, more ambitious goals for themselves. We commit to collaborate to improve both public and private capital company governance, thereby contributing to economic growth. Our goal is an increase in investments, best practices in governance, and reducing bureaucratic obstacles—this agreement is one step toward achieving that,” emphasised Prime Minister E. Siliņa.

The objective of the agreement is to involve state and private capital companies in economic growth by improving the governance of capital companies and the availability of financing.

“FICIL has long emphasised the role of state and private capital companies in the country’s economic growth and investment attraction. This memorandum demonstrates the government’s readiness to strengthen good governance and ensure fair competition between state-owned companies and private enterprises, promoting investor confidence and thus a favourable investment climate,” stated FICIL Chairperson of the Board Z. Elksniņa-Zaščirinska

The agreement outlines actions in four directions:

  • Ensure active and responsible action by the state as a shareholder in involving state capital companies in promoting economic growth;
  • Improve the selection of state capital company board and council members to broaden talent recruitment in company governance;
  • Promote the selection of appropriate financial instruments to achieve ambitious growth targets;
  • Encourage compliance with good corporate governance principles by private capital companies.