Since July, when the Latvian Investment and Development Agency (LIAA) began implementing the second round of the digitalization support program, the total funding of which is 18.5 million euros, 5.4 million euros have been reserved and entrepreneurs will be able to apply for the program until the support funds are available.
“Digitalization and the implementation of artificial intelligence solutions are one of the ways to increase the competitiveness of the Latvian economy, therefore it is a special pleasure that the majority, or 4.28 million euros, of the currently reserved funds in this program are intended specifically for projects in the field of artificial intelligence. We will most likely accept applications in this program at least until the end of this year,” emphasizes LIAA Director Ieva Jāgere.
A total of 285 applications have been received in the program so far, including 66 for the implementation of artificial intelligence solutions.
The program provides funding for the digitalization of business processes, including the development and implementation of artificial intelligence solutions. This is the most popular of the support programs currently implemented by LIAA. Micro, small and medium-sized enterprises (including farms, cooperatives), small and medium-sized companies and medium-sized companies, as well as associations and foundations that carry out economic activities and unite at least three enterprises, can apply for support. The support intensity of the program is 50% for small enterprises, 40% for medium-sized enterprises and 30% for small and medium-sized companies.
Grants of up to 10 thousand euros are available for the purchase of new digital solutions and the assessment of digital maturity, and up to 200 thousand euros for the development and implementation of artificial intelligence solutions. Unlike the previous digitalization support program, in the new program, a digital maturity roadmap is not required to submit an application to the LIAA.
Projects submitted to the program must be implemented by May 31, 2029, and you can apply for support on the platform https://business.gov.lv
Examples of successful projects:
The company “Zippy vision” has used state support opportunities to work on the development of artificial intelligence-driven wood sawing equipment. Such equipment equipped with artificial intelligence saves raw materials by 0.5%. “Zippy Vision” experience shows that in one of Europe’s leading wood processing companies, replacing a scanner created by another manufacturer increased the efficiency of raw material use by as much as 8%.
The company “AMATI Projekts” has created a multifunctional website with the support of LIAA, which allows you to order products online, personalize your order, and contact the company. As the company’s co-owner Mārtiņš Kaļva points out: “Digitalization allows us to operate as efficiently as large companies, but without a huge staff; the new system optimizes the order process and frees employees from administrative tasks.”
“KnK Mefab” is a metalworking company that purchased a laser cutting machine and a robotic welding machine with tracking functions. High-precision and quality solutions have increased competitiveness and promote the use of equipment in production.
In the first round of digitalization support, 2,908 applications were received from companies for a total amount of almost 37 million euros. In total, 83% of companies applied for support of up to 9,999 euros, while 17% applied for a grant of up to 100,000 euros. The largest support – from 90,000 to 100,000 euros – was paid to 9 companies, mostly for improving production and quality control, where production equipment and machine tools with software were purchased. This round of the support program was financed from the European Union Recovery Fund.
The new digitalization support program is financed from the European Union Cohesion Policy Program for 2021–2027. The financing is allocated from the ERDF project "Support for the Digitalization of Processes in Latvia".
About LIAA
LIAA promotes the competitiveness of Latvian entrepreneurs, export growth and investment attraction, as well as develops the tourism industry and implements the state image policy. The agency acts as a state partner in the development of entrepreneurship - from the idea to international markets. With an extensive network of representative offices abroad and regional business centers in Latvia, LIAA helps companies grow and positions Latvia as a safe, innovative and open country in the global economy.