On Tuesday, December 2, the government approved an additional €897,000 to fund applications for local economic development projects in 10 municipalities.
This follows amendments to the Cabinet of Ministers Regulations No. 568 of September 23, 2025, “Procedure for Granting Support to Strengthen Local Municipal Economies.”
Until now, the total planned support for municipal local economic development projects was €3 million, with a maximum of €200,000 per project applicant.
“Government support through additional funding for the development of Latvia’s regions will provide opportunities to build new factories and create new jobs. This will promote population retention and economic growth in more remote regions,” emphasized Minister of Economics Viktors Valainis.
The Ministry of Economics reported that the Investment and Development Agency of Latvia (LIAA) organized the project application selection from October 6 to October 17, 2025. In total, LIAA received 48 municipal applications requesting €4.46 million. Of these, 45 project applications met the Cabinet of Ministers regulations. The total funding requested for these 45 projects is €3.90 million, while the planned total private investment amounts to €24.336 million—6.2 times higher than the requested public funding.