On Tuesday, May 29, the plan of the Ministry of Environmental Protection and Regional Development depicting the proposals for the improvement of business environment in Latgale region for 2012-2013 was approved by the government.

The action plan depicts the current situation in the Latgale region, its most significant problems and their proposed solutions, as well as the required funding for the activities aimed at improving the situation in the region.

Even though the investment fund from the European Union (EU) for 2007-2013 is 232.8 million LVL, it is concluded that the results are non-satisfactory. The negative tendency in the changes of the number of residents, the increase of the flow of immigrants, the significant proportion of shadow economy, residents’ own negative evaluation of the situation in the region for work and life.

It is noted in the action plan that, keeping in mind these factors, it is necessary to review support options for regional development, identifying the most notable challenges for Latgale’s development and potentially effective solutions to these problems in the process.

The goal of the ministry’s plan – is to achieve residents’ involvement in business, as well as create beneficial conditions for the attraction of private investments to Latgale.

The action group, which developed the plan, received more than 400 different proposals on how to attract private investments to Latgale. After assessing the said proposals, specific events were planned for 2012-2013, the realization of which would require around 53 million LVL.

In order to reach the stated goal, several objectives have been identified: for example, it is necessary to realize several events, which would popularize Latgale as an attractive place for life, work and leisure; popularize Latgale as an attractive place for investments. It is also planned to reflect these events in mass media, putting an emphasis on local initiatives. Meanwhile, in order to silence the myths about the social and economic situation in Latvia, it is planned to educate society using easily understandable information.

In order to help improve the situation in Latgale, it is planned to develop an action plan to reduce and limit the consumption volumes of alcoholic beverages throughout 2012-2014. The deadline for finishing this project is November 1, 2012. Special support is also planned for high school graduates – it is expected that those graduates that choose to work in the public sector of Latgale will have their tuition fees and study credits covered by the state.

Ref: 102.109.109.1538