With the support of the Investment and Development Agency of Latvia (LIAA), 9 foreign investment projects were implemented in the first six months of 2025, bringing €156 million into the Latvian economy. These projects are expected to create 545 new jobs across all regions of Latvia.
“Following a slowdown caused by geopolitical uncertainty, investor interest in Latvia is starting to recover. This is evidenced not only by LIAA’s growing portfolio of investment projects, which currently includes 159 active projects with a total potential value of €11.5 billion, but also by data from the Foreign Investors’ Council in Latvia (FICIL) and international consultancy EY. FICIL members’ optimism regarding future investments in Latvia has risen from 1.9 to 3.0 points on a 5-point scale. At the same time, EY reports that in 2024, the number of new foreign direct investment (FDI) projects in Latvia increased by 50% compared to 2023. For the first time in a decade, Latvia has overtaken Lithuania,” emphasizes LIAA Director Ieva Jāgere.
Investors have particularly appreciated Latvia’s improvements in legal stability, predictability of tax policy, and the support system provided by LIAA.
Among the success stories supported by LIAA are projects in sectors such as ICT, defence, bioeconomy, smart energy, and others.
Of the 9 projects launched this year:
- Six are being implemented in Riga,
- Two in Kurzeme region,
- One in Vidzeme region.
Among the notable investment projects confirmed in 2025 is “WitAir Atlantic”, a company from the United Arab Emirates specializing in air cargo transport. Its arrival strengthens Latvia’s position as a growing air cargo hub in Northern Europe.
Meanwhile, Estonia-based Frankenburg Technologies plans to launch production of short-range surface-to-air missiles in Latvia, and Australian company Citech has decided to establish a mobile communications tower manufacturing facility in Liepāja.
LIAA is currently working on several large-scale projects in the fields of energy, data centers, and bioeconomy, with a total investment volume exceeding several billion euros.
The number of military industry projects has also grown rapidly – from four projects at the end of 2024 to 31 projects currently, with the potential to invest up to one billion euros in the Latvian economy. Considering that the average investment project implementation period is around three years, and investor interest continues to grow, the volume of investments in Latvia is expected to increase further in the coming years.
Information source: The Investment and Development Agency of Latvia
