Business, Latvia, Legislation, Markets and Companies

Hearing of the amendments has been postponed several times because the Economics Ministry had not reached an agreement with the Latvian Association of Large Cities (LLPA).

On June 25, LLPA after meeting with Economics Minister Arvils Aseradens (Unity), released a press statement saying that it is the task of local governments to ensure services to residents also in cases when private businesses do not see profits in providing these services. "LLPA calls on the Competition Council to change its philosophy – view each situation in detail instead of seeing everything from the point of view of Riga. Situations in regions are different, but people are entitled to receive good quality services also there," said LPPA executive director Viktors Valainis (Greens/Farmers).

At the same time, the Foreign Investors Council in Latvia (FICIL), and the Baltic Institute of Corporate Governance (BICG) have called on the government to adopt the legislative amendments.

FICIL head Zlata Elksnina-Zascirinska said that the amendments to the Competition Law will help two strengthen two important principles – fair competition and good governance.

The Economics Ministry previously explained that the Competition Law had to be amended as some public companies' actions or decisions could be damaging to competition and force other companies out of the market, or prevent new companies from entering the market.