Operational Programme 'Entrepreneurship and Innovation'

Programme under the Convergence objective, co-financed by the European Regional Development Fund (ERDF)

Latvia

Additional tools

  • Print  
  • Decrease text  
  • Increase text  

The European Commission approved on 24 September 2007 a development programme in Latvia for the period 2007-2013, entitled the Operational Programme (OP) "Entrepreneurship and Innovation". This programme involves Community support for the whole country within the framework of the "Convergence" objective. The total budget of the programme is around € 1.08 billion and the Community assistance through the ERDF amounts to € 736.7 million (approximately 16 % of the total EU money invested in Latvia under Cohesion policy 2007-2013).

1. The purpose and aim of the EU investment

The Operational Programme aims to contribute to improved innovation and the use of knowledge, high value-added production, and enhanced export capacity among the existing enterprises, as well as to encourage the formation of new knowledge-based and technology intensive enterprises. It will help to fight inflation as it aims directly at increasing the productivity of the Latvian economy.

It aims to reach a considerable progress in science, innovation and entrepreneurship that will further contribute to country's performance in terms of growth and jobs. The programme will promote the creation of new enterprises and will foster the development of existing companies, in particular in areas outside the capital city of Rīga. To this end, enterprises will be offered a number of services aimed at providing the necessary knowledge, technologies and availability of funding. The programme is in line with the Lisbon objectives (The Lisbon Strategy aims to make the EU the most dynamic and competitive economy by 2010). Besides Research and Technology Development (RTD), the programme puts emphasis on small and medium enterprises (SMEs) and revolving funds.

2. The expected impact of the investment

The programme will ensure the creation of around 50 jobs in the research area, 800 internationally acknowledged publications per year and 43 patent application registrations per year. The purpose is to improve funding of Research and Development in Latvia (It amounted to only 0.42 % of the GDP in 2004). It is expected to create 18 000m² incubator space and to support 82 economically active enterprises in the business incubators which will increase the turnover in supported enterprises by 20%.

3. Priority axes

The programme will be implemented through four main priorities including the Technical Assistance priority:

Priority 1: Science and Innovation (60% of the OP resources)

aims at strengthening the country's scientific and research potential, enhancing international competitiveness, as well as promoting the transfer of knowledge and its commercialisation. These objectives should be attained by investing in equipment of scientific and research centres, promoting research (improving equipments, creating new jobs, improving public interest in research). It will also focus on supporting the formation of a knowledge-based economy by promoting transfer of technologies to the national economy, attraction of a highly-qualified workforce and the manufacturing of new products.

Priority 2: Access to Finances (23% of the OP resources)

aims at promoting access to finances necessary for the business development. This objective should be attained by forming a system of financial instruments, which include guarantees, credits, venture capital, and other financial instruments.

Priority 3: Promotion of Entrepreneurship (14% of the OP resources)

aims at promoting economic activity and enhancing competitiveness by setting up new enterprises and strengthening exiting enterprises. To attain this objective, business start-ups, as well as national and international competitiveness of the enterprises will be fostered.

Priority 4: Technical assistance

(3% of the OP resources) supports the management of the programme and communication activities. 

Financial and Technical information

Operational Programme 'Entrepreneurship and Innovation'

Intervention Type

Operational Programme

CCI no

2007LV161PO001

Number of decision

C(2007)4466 + C(2009)5072

Final approval date

24/09/2007

Breakdown of finances by priority axis

Priority Axis EU Investment National Public Contribution Total Public Contribution
Science and Innovation 466 042 000 77 074 471 543 116 471
Access to Finance 168 170 000 16 455 882 184 625 882
Promotion of Entrepreneurship 76 980 000 5 820 000 82 800 000
Technical assistance 25 538 950 4 506 874 30 045 824
Total 736 730 950 103 857 227 840 588 177