Latvia to form high-level council on investment

  • 2010-08-04
  • Oskars Magone

Kampars will throw his support behind the new investment council after sharply criticizing the decision to curtail the LGA.

RIGA - Latvian prime Minister Valdis Dombriovskis, Foreign Minister Avis Ronis and Economy Minister Artis Kampars have met today to urgently progress the establishment of a council aimed at increasing investment in the country.

"In order to increase the flow of direct foreign investment into Latvia, it is necessary for the State to identify and offer to the potential investors significant projects supported by the Government. Therefore, cooperation of various public authorities plays a decisive role in the development of the Latvian investment project portfolio,” said Valdis Dombrovskis.

Work on the formation of the council, which will be known as the Coordination Council for Large and Strategically Important Investment Projects, has already been started by the Latvian Investment and Development Agency.

The push to set the council to work comes as the Latvian Guarantee Agency -- whose stated mission is to "back businesses to attract new investments" -- loses it's perogative to support ailing businesses.

The end of LGA support, which has helped prop up a number of struggling companies throughout the crisis, came at the behest of the European Commission. Kampars has been highly critical of the finance ministry decision to comply with the EC.

"As a result (of the LGA's work) many businesses have been saved from bankruptcy, and can continue their activity, preserving existing export markets and hundreds of jobs," indicated the minister.