The new FICIL (Foreign Investors Council in Latvia) Sentiment Index research highlights that the investment attractiveness of Latvia has significantly increased, compared to the previous year, namely from low 1.9 to moderate 3 on a 5-point scale. Overall, the foreign investors share many positive remarks, recognising efforts of the Latvian government in boosting the defence sector and maintaining stability, despite ongoing geopolitical uncertainties and other challenges. However, the work on addressing the key challenges should continue!
“The foreign investors see many benefits of investing in Latvia and around 50% of them have further investment plans. Overall, they are moderately optimistic about Latvia’s economic growth potential, yet call for more attention to two critical areas – defence/security and demography/human capital development. While the foreign investors strongly advocate in favour of greater defence spending, they emphasize that it must not come at the expense of other crucial economic development goal”, – states Reinhold Schneider, Chairperson of FICIL Board and CEO of Schwenk Northern Europe.
When comparing the investment climates across the Baltics – in Estonia, Latvia, and Lithuania, the foreign investors see many surprising similarities. Thus, the foreign investors call for greater collaboration across the Baltic States to address shared challenges and unlock potential. In view of the investors, such collaboration would bring numerous benefits, including a stronger political and lobbying power, market expansion, and greater spending efficiency. However, the foreign investors indicate that competitive pressures between the Baltics might undermine prospects of potential collaboration.
To gain valuable insights into the investment environment in Latvia and how it compares to its Baltic neighbours, FICIL, in cooperation with the LIAA – Investment and Development Agency of Latvia, Foreign Investors Council in Estonia (FICE), the German-Baltic Chamber of Commerce in Estonia, Latvia and Lithuania (AHK), and the Stockholm School of Economics in Riga (SSE), will hold a high-level event on 26th May at 9:00 AM. This forum is designed to provide an in-depth look at the economic and regulatory landscapes, shaping business opportunities across the region and bringing together key stakeholders, policy makers, and business leaders.
Among the prominent speakers, joining the conversation are listed Evika Siliņa, Prime Minister of Latvia; Valdis Dombrovskis, European Commissioner for Economy and Productivity; Lukas Savickas, Minister of the Economy and Innovation of Lithuania; and Erkki Keldo, Minister of Economy and Industry of Estonia; Baiba Braže, Latvia’s Minister of Foreign Affairs; Māris Riekstiņš, Permanent Representative of Latvia to NATO; Ieva Jāgere, Director General of the Investment and Development Agency of Latvia. They will be joined by distinguished representatives from major financial institutions, including Thomas Östros, Vice-President of the European Investment Bank, and André Küüsvek, President and CEO of the Nordic Investment Bank, as well as, by the three investment agencies in Estonia, Latvia, and Lithuania.