International Internet Magazine. Baltic States news & analytics Monday, 21.01.2019, 14:06

Majority foreign investors planning on increasing their investments in Latvia

BC, Riga, 11.01.2018.Print version
A majority of foreign investors who have invested in Latvia plan on increasing their investments in the upcoming years, writes LETA, according to the FICIL (Foreign Investors' Council in Latvia) Sentiment Index 2017.

According to the study, 57% of investors in Latvia said that they plan on increasing their investments, 19% point out that they have not made a specific decision and investments will be determined by future circumstances, while 24% have stated that they are not planning any investments in the future.


In the 2016 index, 50% of investors expressed readiness in increasing their investments in Latvia.


''Thus, we can say that there has been an increase in the desire to invest in Latvia. It is even better to hear what the specific companies have answered. For example. one real-estate company has said that it plans to invest EUR 100 million in the next ten, while a trade company is planning to make investments worth EUR 75 million in the upcoming three years, and the list goes on. The companies planning to increase investments operate in a variety of spheres as well. This is truly good news, as nobody would invest EUR 100 million if there was a poor investments environment,'' Arnis Sauka, Associate Professor at the Stockholm School of Economics in Riga, told LETA.


''Meanwhile, in regards to those companies who have stated that they do not plan on further investments in Latvia, some have said that Latvia has lost its competitiveness to Lithuania. They have found a more suitable place for the specifics of their respective businesses. A manufacturing company has, in turn, mentioned that Latvia lacks a clear tax policy, which is constantly changing, and that there is too little focus on combating shadow economy,'' Sauka added.


The FICIL Sentiment Index 2017 has been drawn up in cooperation with the Foreign Investors' Council in Latvia and covers 42 foreign companies that have made investments in Latvia.

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