European Investment Bank Partners with Latvia to Strengthen Innovation Ecosystem and Scale High-Growth Companies

European Investment Bank Partners with Latvia to Strengthen Innovation Ecosystem and Scale High-Growth Companies

(IN BRIEF) The European Investment Bank is partnering with Latvia’s Ministry of Economics and the Investment and Development Agency of Latvia to support the growth of high-potential and technology-driven businesses. Through this advisory initiative, the EIB will assess Latvia’s current innovation ecosystem, identify gaps in financing and policy, and provide recommendations to improve competitiveness and scalability. While Latvia’s startup sector is expanding, challenges such as limited access to early-stage funding and difficulties in scaling internationally remain. The project will also include capacity-building efforts and a pilot evaluation of Riga Technical University’s development strategy to demonstrate how academic investments can drive national innovation. Backed by the InvestEU programme, the initiative aims to produce a roadmap that strengthens Latvia’s position as a regional innovation hub and enhances its ability to attract investment and foster high-growth companies.

(PRESS RELEASE) LUXEMBOURG, 7-Apr-2026 — /EuropaWire/ — The European Investment Bank is launching a new advisory partnership with Latvia aimed at accelerating the growth of innovative sectors and strengthening the country’s ability to scale high-potential businesses. The collaboration, established with the Ministry of Economics of Latvia and the Investment and Development Agency of Latvia, will focus on building a more competitive and dynamic business environment.

As part of this initiative, EIB specialists will conduct a comprehensive review of how Latvia currently supports businesses, research institutions, and emerging technologies. The goal is to identify gaps in policy frameworks and financing mechanisms while proposing targeted improvements. The advisory work, scheduled to run through the end of the year, will also examine opportunities for closer cooperation with neighboring Baltic countries, including Estonia and Lithuania, with the aim of fostering region-wide innovation initiatives.

Latvia’s Minister for Economics, Viktors Valainis, emphasized that while the country has established a solid innovation base, the next phase requires enabling companies to expand more rapidly and compete on a global scale. The partnership with the EIB is expected to provide access to high-level expertise, helping refine national strategies, enhance financial tools, and unlock further potential within Latvia’s innovation ecosystem.

The Latvian startup landscape has seen steady expansion, with approximately 560 companies generating more than €600 million in revenue and employing over 5,000 people by the end of 2025. However, challenges persist, particularly in securing early-stage and scale-up financing. Deep-tech and science-driven firms also face obstacles when attempting to grow internationally, while stakeholders continue to call for a stronger pipeline of investable projects and more coordinated national support systems.

To address these issues, the EIB will implement a capacity-building programme designed to strengthen the capabilities of institutions involved in innovation and economic development. As part of the initiative, the development strategy of Riga Technical University will be evaluated as a pilot example, demonstrating how large-scale academic investments can contribute to broader national economic and innovation objectives. This approach aims to improve the design of financial instruments, support mechanisms, and long-term investment planning, while also enhancing Latvia’s ability to attract European Union funding.

EIB Vice-President Karl Nehammer noted that the cooperation builds on Latvia’s existing momentum in innovation, with a focus on strengthening institutional capacity and aligning the country with leading European innovation networks. The ultimate objective is to increase Latvia’s attractiveness for strategic investment and reinforce its position within the European innovation landscape.

The advisory project will result in a set of strategic recommendations and a roadmap to further develop Latvia’s innovation ecosystem. It is supported under the InvestEU framework, specifically through its Advisory Hub.

Ieva Jāgere, Director of the Investment and Development Agency of Latvia, highlighted that the collaboration will enable a more data-driven and focused approach to innovation support. By identifying key gaps — from early-stage funding to scale-up support — the initiative aims to deliver practical solutions that help Latvian companies expand internationally and attract higher-value investments.

Throughout the process, the EIB will work closely with public institutions, investors, industry stakeholders, and start-ups to ensure that its recommendations are both actionable and aligned with real market conditions.

Background information  

LIAA

The Investment and Development Agency of Latvia (LIAA) promotes the competitiveness of Latvian businesses, supports export growth and attracts investment, while also developing the tourism sector and implementing the national branding strategy. The agency acts as a government partner for business development – from idea to international markets. With an extensive network of representative offices abroad and regional business centres across Latvia, LIAA helps companies grow and positions Latvia as a safe, innovative and open economy on the global stage.

EIB Group   

The European Investment Bank (EIB) Group is the financing arm of the European Union, owned by the 27 Member States, and one of the largest multilateral development banks in the world. In 2025, the EIB Group signed €100 billion in new financing and advisory services for over 870 high-impact projects under eight core priorities that support EU policy objectives: climate action and the environment, digitalisation and technological innovation, security and defence, territorial cohesion, agriculture and the bioeconomy, social infrastructure, strong global partnerships and the savings and investments union. Beyond long-term loans for large infrastructure, the EIB Group crowds in private investment for high-risk innovative projects and businesses, with a growing role in Europe’s markets for venture debt, venture capital, guarantees and securitisations. Latvia received record-high EIB Group financing of €381 million in 2025.

InvestEU 

The InvestEU programme provides the European Union with long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It also helps crowd in private investment for the European Union’s strategic priorities such as the European Green Deal and the digital transition. InvestEU brings all EU financial instruments previously available for supporting investments within the European Union together under one roof, making funding for investment projects in Europe simpler, more efficient and more flexible. The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub and the InvestEU Portal. The InvestEU Fund is deployed through implementing partners that will invest in projects using the EU budget guarantee of €26.2 billion. The entire budget guarantee will back the investment projects of the implementing partners, increase their risk-bearing capacity and thus mobilise at least €372 billion in additional investment.

EIB Advisory 

In addition to financing, the EIB Group offers advisory services that help public and private clients develop markets, build capacity and support high impact investment projects. In 2025, EIB Advisory helped accelerate project delivery and crowd in finance for 179 projects worth more than €80 billion in the European Union and beyond.

Photos of the EIB Group’s spokespeople and headquarters, logo files and video B-roll for media use are available here.

Media Contact:

Kristiina Randmaa
k.randmaa@ext.eib.org
+352 4379 – 72894

Press Office

press@eib.org
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SOURCE: European Investment Bank