The information was translated using the ChatGPT service.
On February 22nd of this year, the first three support programs for business digitalization developed by the Ministry of Economics (EM) of the Recovery Fund were launched, under which support is planned to be provided to merchants in the amount of 95.14 million EUR.
Minister of Economics Ilze Indriksone: “In order for companies to become even more competitive, which is also an indicator of Latvia's growth, joint efforts must be made to promote company digitalization, investing in technological solutions and innovations, as well as making changes in production processes. Yes, it can be a financially extensive project, but expenses should be evaluated in context with future benefits – increasing productivity and financial results. The Ministry of Economics will support the digital transformation of businesses by promoting the digitalization of various technological processes, as well as the development of digital services and the necessary skills and competencies for company employees.”
For the promotion of the digital transformation of enterprises, the EM will implement five new Recovery Fund support programs. Accordingly, during the period until June 30, 2026, support is planned to be provided to at least 7,000 merchants, investing a total of 139.4 million EUR in the digital transformation of business from the Recovery Fund investments.
Head of the European Commission Representation in Latvia, Zane Petre: “To ensure the digital transition, more than 365 million euros or 21% of the total financing amount are provided in the Latvian Recovery and Resilience Plan. Reforms and investments should be designed to promote digital restructuring both at the individual, business, and public sector levels. Increasing the adoption of digital solutions in companies is necessary to promote the availability of quality labor, improve competitiveness and resilience in crisis situations, and also increase the level of innovation.”
European Digital Innovation Center's Digital Maturity Test and Development Roadmap
European Digital Innovation Centers (EDIC) are an initiative of the European Commission arising from the "Digital Europe" program, aiming to help both public and private sector organizations introduce the latest digital technologies, processes, products, and services. EDIC operates throughout the European Union and together forms a unified network.
The total funding of the support program "Support for the Establishment of Digital Innovation Centers and Regional Contact Points" is 10 million EUR. Within its framework, the Latvian Information Technology Cluster and the Latvian Digital Accelerator will operate as one-stop agencies, providing a thorough evaluation of merchants by offering technical expertise, training, skill enhancement for the implementation of digital transformation.
Chairman of the Latvian IT Cluster Board, Jānis Čupriks: "The European Digital Innovation Centers, as a broad and powerful European-wide initiative, are starting work in Latvia, helping Latvian companies and organizations to access and purposefully use digital technologies for their growth. The EDIC coordinated by the Latvian IT Cluster will focus on supporting the improvement and transformation of company internal processes, allowing them to become more competitive, efficient, and introduce innovative technologies."
Member of the Board of the Latvian Digital Accelerator, Salvis Roga: "The task of the Latvian Digital Accelerator, as one of the European Digital Innovation Centers in Latvia, is to support the creation of new digital products and services, applying digitalization opportunities. And, importantly, to ensure the testing of these products and services in a real environment. Thus, in cooperation with both commercial enterprises and various state and non-governmental institutions, through the adoption of experience, human resource development activities, and financial support, jointly creating products and services of the highest efficiency. This is how not only a successful Latvian digital transformation ecosystem is created, but also a clear path towards the growth of the Latvian economy and the creation of an innovative digital economy is outlined."
To apply for any of the digital transformation investments, the merchant must first turn to one of the Latvian EDIC - the Latvian Information Technology Cluster or the Latvian Digital Accelerator, to perform the initial digital maturity test, assessing the current digital technology situation and identifying areas where investments are needed, and then receive a digital development roadmap, which will be a thorough assessment of the necessary activities for the beneficiary for the promotion of digital transformation.
After the implementation of the project, it will be necessary to conduct a secondary digital maturity test to assess digital growth. Similarly, until June 30, 2026, EDIC will provide merchants with digital transformation consultations and mentoring, access to experimentation, piloting, and testing activities before investment investments, and will also help merchants prepare project applications for support from the Latvian Investment and Development Agency (LIAA) and ALTUM. At the same time, EDIC will provide support in at least five regional contact points throughout Latvia. Additional information is available on EDIC websites: https://www.digitallatvia.lv/ and www.dih.lv.
Evaluating the recommendations included in the digital development roadmap for improving the company's digital capabilities, the company will make a decision on the measures to be implemented and apply for LIAA support for process digitalization or ALTUM loans with capital discounts for company digitalization.
Latvian Investment and Development Agency's Support Programs for Digitalization of Business
Latvian Investment and Development Agency (LIAA) supports businesses by providing them with a combination of information, training, consultations, financial support for the development of new products, markets, and technologies, and helps them to be more competitive in both domestic and foreign markets. The new LIAA support programs for the digitalization of business include:
Digital Diagnostics Support Program – Provides support for up to 70% of eligible costs (with a maximum support intensity of 5,000 EUR) for a digital diagnostic test.
Digital Solution Implementation Support Program – Supports businesses with up to 50% of eligible costs (with a maximum support intensity of 100,000 EUR) for the implementation of digital solutions. The support is provided for the purchase and integration of IT systems and the development of e-commerce solutions, among other things.
Investment Support Program in Production Digitalization – Provides support for up to 45% of eligible costs (with a maximum support intensity of 500,000 EUR) for investments in production digitalization, such as machinery and equipment that support the digitalization of production processes.
These programs, in their scope and content, are designed to stimulate the use of various digital solutions in companies and thereby increase the company's productivity and competitiveness.
