Baltic and Finnish Chambers of Commerce and Industry call on prime ministers to improve national competitiveness

RIGA - The Latvian Chamber of Commerce and Industry (LTRK), the Estonian Chamber of Commerce and Industry, the Lithuanian Association of Chambers of Commerce, Industry and Crafts and the Finnish Chamber of Commerce have addressed a joint letter to the prime ministers of these countries, urging them to improve their economic competitiveness at both national and European Union (EU) level, LTRK told LETA.

The letter calling for strengthening EU economic competitiveness was also sent to Valdis Dombrovskis (New Unity), European Commissioner for Economy and Productivity, Implementation and Simplification of EU Law.

The LTRK notes that strengthening competitiveness is essential to attract investors, new businesses to a country and to motivate existing businesses to invest in human capital, innovation and technological advances. Therefore, in a joint letter, the Chambers of Commerce and Industry of the three Baltic states and Finland call on officials to implement concrete measures that would increase not only the competitiveness of the countries concerned, but also the competitiveness of the EU in the global market.

Among the main recommendations for action, the LTRK mentions a reduction of the bureaucratic burden by at least a third at both national and EU level, as well as a proportionate and efficient EU regulatory framework, getting rid of excessive and unjustified requirements, establishing the principle of minimum regulation, offsetting the introduction of new requirements by the removal of others and the need for the support of at least three EU Member States for the introduction of new regulation.

It also recommends reducing administrative expenditure, including the number of officials in national administrations, and a strategic review of the use of the EU budget, with more funding for strengthening economic competitiveness, defense and cross-border cooperation.

"The EU is losing momentum. If real steps are not taken to boost competitiveness, we risk being left on the sidelines of the global economy," said Aigars Rostovskis, President of the LTRK.

He also notes that the initiative of the Baltic and Finnish chambers is a "wake-up call".

"We need to free businesses from unnecessary administrative shackles, stop over-regulating and distracting them by diverting resources to producing mountains of paper and maintaining civil servants, think strategically not only at national level but at EU level," says Rostovskis.

The LTRK is a business association of around 6,000 micro, small, medium and large enterprises from all regions and sectors of the Latvian economy. The annual turnover of the individual member companies of the LTRK exceeds EUR 17 billion. More than 90 percent of members are private equity companies.