Establishment of the Riga Investment and Tourism Attraction Agency - the first step to increase the competitiveness of Riga
Riga Municipality has announced its intention to establish an Agency, the main objectives of which will be to attract foreign investment to the Latvian capital and promote Riga to tourists. Representatives of the Alliance of Real Estate Developers (NĪAA) and the Association of Business Service Leaders (ABSL Latvia) welcome this step, but at the same time emphasise that the commitment to establish an investment and tourism attraction agency is only the first step towards improving the image of Riga and investor relations and in the future, it can help Riga become more competitive with the capitals of neighbouring countries.
Already in August, during the discussion of Riga mayor candidates organised by NĪAA and ABSL Latvia on differences in the development of Riga and Vilnius during the last 10 years and the mayor's work to improve the situation, the need to establish an investment attraction team was raised. Until now, there have been no fully-fledged structural units in Riga that would actively take care of foreign investors entering our capital. At precisely this time, when the service economy is growing rapidly, it is the right moment to change the situation and take action to make Riga an attractive place for the establishment of international business service centres.
“Currently, we are exactly 10 years behind Vilnius, both in the context of the real estate industry, building far fewer new offices and apartments, and attracting international shared service centres (ISSC). An investment agency can become an effective tool for supporting the industry at the level of Riga Municipality, helping to attract investors more successfully. The entry of new ISSCs in Riga can create up to 15 thousand new jobs, attracting an additional EUR 42 million per year to the budget of Riga Municipality. We hope that the future investment and tourism agency will succeed in creating a professional team that will work purposefully and proactively to attract investors, allowing Riga to become a Baltic business metropolis,” comments Mārtiņš Vanags, Chairman of the Board of NĪAA.
“In recent years, intellectual services have been the driving force of the Latvian economy, which continues to develop worldwide, even during the Covid-19 pandemic. It is a welcome development that Riga Municipality will be involved in the global pursuit for investment in the service sector, in which competing capitals are already active, for example, the Baltic ISSC and the Centre for Information Technology Companies have already been established in Vilnius. Development of an Investment and Tourism Attraction Agency in Riga is a good first step in the right direction, but in future activities it will be important to focus on creating a team of highly qualified specialists to ensure professional work and good results. The Agency must become an effective organisation that is able to negotiate with foreign investors and create interest in Riga as a place for investment. The mayor's participation will also be important - the Agency will operate under his authority, and the mayor's involvement will send a clear signal to investors about the importance of the certain sector in Riga, boosting the city's image in their eyes,” emphasises Fredis Bikovs, Chairman of the Association of Business Service Leaders (ABSL Latvia).
About ABSL Latvia
ABSL Latvia (Association of Business Service Leaders) is the only association of international business service centres in the Baltics, founded in April 2019 by the leading business service centres in Latvia - Cabot, Circle-K Business Centre, Cognizant, DnB Bank ASA, TietoEVRY and SEB Global Services. The Association currently has 16 active members and partners.
About the NĪAA
The Alliance of Real Estate Developers (NĪAA) brings together the most significant players of the industry in order to achieve the sustainable development of the real estate industry, represent it in a collective manner on a state and local government level, as well as emphasise the role of real estate developers within the economy of Latvia.
For further information:
Fredis Bikovs - Association of Business Service Leaders (ABSL Latvia)
fredis.bikovs@absl.lv
Mārtiņš Vanags - Alliance of Real Estate Developers (NĪAA)
martins.vanags@niaa.lv
Already in August, during the discussion of Riga mayor candidates organised by NĪAA and ABSL Latvia on differences in the development of Riga and Vilnius during the last 10 years and the mayor's work to improve the situation, the need to establish an investment attraction team was raised. Until now, there have been no fully-fledged structural units in Riga that would actively take care of foreign investors entering our capital. At precisely this time, when the service economy is growing rapidly, it is the right moment to change the situation and take action to make Riga an attractive place for the establishment of international business service centres.
“Currently, we are exactly 10 years behind Vilnius, both in the context of the real estate industry, building far fewer new offices and apartments, and attracting international shared service centres (ISSC). An investment agency can become an effective tool for supporting the industry at the level of Riga Municipality, helping to attract investors more successfully. The entry of new ISSCs in Riga can create up to 15 thousand new jobs, attracting an additional EUR 42 million per year to the budget of Riga Municipality. We hope that the future investment and tourism agency will succeed in creating a professional team that will work purposefully and proactively to attract investors, allowing Riga to become a Baltic business metropolis,” comments Mārtiņš Vanags, Chairman of the Board of NĪAA.
“In recent years, intellectual services have been the driving force of the Latvian economy, which continues to develop worldwide, even during the Covid-19 pandemic. It is a welcome development that Riga Municipality will be involved in the global pursuit for investment in the service sector, in which competing capitals are already active, for example, the Baltic ISSC and the Centre for Information Technology Companies have already been established in Vilnius. Development of an Investment and Tourism Attraction Agency in Riga is a good first step in the right direction, but in future activities it will be important to focus on creating a team of highly qualified specialists to ensure professional work and good results. The Agency must become an effective organisation that is able to negotiate with foreign investors and create interest in Riga as a place for investment. The mayor's participation will also be important - the Agency will operate under his authority, and the mayor's involvement will send a clear signal to investors about the importance of the certain sector in Riga, boosting the city's image in their eyes,” emphasises Fredis Bikovs, Chairman of the Association of Business Service Leaders (ABSL Latvia).
About ABSL Latvia
ABSL Latvia (Association of Business Service Leaders) is the only association of international business service centres in the Baltics, founded in April 2019 by the leading business service centres in Latvia - Cabot, Circle-K Business Centre, Cognizant, DnB Bank ASA, TietoEVRY and SEB Global Services. The Association currently has 16 active members and partners.
About the NĪAA
The Alliance of Real Estate Developers (NĪAA) brings together the most significant players of the industry in order to achieve the sustainable development of the real estate industry, represent it in a collective manner on a state and local government level, as well as emphasise the role of real estate developers within the economy of Latvia.
For further information:
Fredis Bikovs - Association of Business Service Leaders (ABSL Latvia)
fredis.bikovs@absl.lv
Mārtiņš Vanags - Alliance of Real Estate Developers (NĪAA)
martins.vanags@niaa.lv