In 2025, with the involvement of the Investment and Development Agency of Latvia (LIAA), the implementation of 31 investment projects was launched. The total value of these projects reached €1.01 billion, and 1,350 new jobs will be created. The largest projects last year were related to bioeconomy, smart energy, high-value-added manufacturing, ICT, and other sectors.
Minister for Economics Viktors Valainis:
“Latvia aims to be among the most attractive investment destinations in the region, and LIAA’s results in 2025 confirm this—the Agency has attracted the highest investment volume in a single year in Latvia’s history. It is particularly significant that data from the Bank of Latvia show that in the first three quarters of 2025, the total volume of foreign investment increased by €700 million. This means Latvia can and does compete. Our task is to continue improving the business environment, removing obstacles, and ensuring investors have a clear, fast path from concept to implementation.”
Examples of Investment Projects
Construction of a renewable fuel production plant in the Port of Riga by the Ukrainian company Pars Terminal, with an investment of €120 million.
Japanese technology company Epson chose Riga for its European Business Services Center, investing €6 million and creating 150 new jobs. Riga was selected over 28 cities in 18 countries, thanks to Latvia’s location, stability, cost competitiveness, and workforce qualifications.
Canadian digital technology company NtangledState will open a business services center in Riga, creating 200 new jobs and investing €25 million.
Several defence sector projects have also been launched, including Estonian company Frankenburg Technologies, which will invest €10 million in a short-range air defence missile production facility.
Latvia’s Main Task in Investment Attraction
Latvia’s main task in attracting investment is to be visible—clearly highlight what we can offer and why it is advantageous for investors to choose Latvia. Our strengths are speed and predictability, which is why instruments such as the “Green Corridor”, support for large investment projects through capital allowances, and the Council for Large-Scale Strategically Important Investment Projects led by the Prime Minister are crucial. This support significantly accelerates investor decision-making and project implementation.
For 2026, we have set a target to attract at least €1 billion in investment, continuing focused work with LIAA’s investment pipeline, which currently includes around 180 projects with a total potential exceeding €17 billion,” says LIAA Director General Ieva Jāgere.
Focus on Strategically Important Sectors
According to the approved strategy, LIAA prioritises smart specialisation projects in sectors such as bioeconomy, smart energy, digital technologies, smart materials and photonics, biomedicine, and the defence industry.
Liene Dubava, Board Member of FICIL and Head of Nasdaq Riga:
“Investors see Latvia’s potential, but they also expect clear and consistent action. If the state can ensure a predictable business environment, fair competition, and efficient governance, investment volumes and investor confidence will grow significantly. Competition for investment between countries is fiercer than ever. Gradual improvements are not enough—we must demonstrate determination, courage, and a clear strategic direction. Only then can we turn today’s challenges into tomorrow’s opportunities and strengthen Latvia’s position on the global investment map.”
Investment Breakdown by Sector in 2025
- €460 million in knowledge-intensive bioeconomy (5 projects)
- €428 million in smart energy (4 projects)
- €34 million in manufacturing (3 projects)
- €21 million in digitalisation (11 projects)
- €20 million in defence (3 projects)
- €48 million in other sectors
Regional and Country Breakdown
- Regional distribution: 20 projects in Riga, 4 in Kurzeme, 2 each in Riga region, Vidzeme, and Latgale; one project with location yet to be determined.
- Countries of origin: Finland, Sweden, and Armenia (3 projects each); USA, UK, Australia, Lithuania, and Ukraine (2 projects each); 12 projects from other countries.
- Top countries by investment volume:
- Lithuania – €401.7 million (2 projects)
- Ukraine – €125 million (2 projects)
- Netherlands – €120 million (1 project)
- Germany – €100 million (1 project)
- Austria – €80 million (1 project)
- Others – €183 million (24 projects)
About LIAA
Latvia is in Northern Europe, on the eastern coast of the Baltic Sea. The Investment and Development Agency of Latvia (LIAA) promotes Latvian entrepreneurship, export growth, foreign investment attraction, and tourism development. Acting as a state partner in business growth, LIAA supports enterprises from idea to international market expansion.
To assist investors entering Latvia and companies growing from Latvia outward, LIAA operates a global network of more than 20 representative offices — from New York to Tokyo, from Amsterdam to Kyiv — ensuring hands-on support throughout every stage of investment and cooperation.
Photo: Latvia Sets Investment Record: Over €1 Billion in FDI Attracted in 2025
