G/SCM/N/372/EU/Add.16  
 
20 August 2021  
(21-6303) Page: 1/26 
Committee on Subsidies and Countervailing Measures  Original: English  
 
  
SUBSIDIES  
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVI:1  
OF THE GATT 1994 AND ARTICLE 25 OF THE AGREEMENT  
ON SUBSIDIES AND COUNTERVAILING MEASURES  
EUROPEAN UNION  
EUROPEAN UNION 
Addendum  
The following addendum to the notification of the European Union, dated and received on 
12 July 2021, relates to the subsidy programmes of Latvia . 
 
_______________  
  G/SCM/N/372/EU/Add.16  
 
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  TABLE OF CONTENTS  
1   ON APPLICATION OF TAXES IN FREE PORTS AND SPECIAL ECONOMIC ZONES  ...........  3 
2   SUPPORT TO INVESTMENTS FOR D EVELOPMENT IN THE SPECIALLY 
ASSISTED AREAS  ................................ ................................ ................................ .............  3 
3   DEVELOPMENT OF NEW PRODUCTS AND TECHNOLOGIES – AID FOR  
IMPLEMENTATION OF NEW PRODUCT S AND TECHNOLOGIES IN PRODUCTION  ................  4 
4   CLUSTERS PROGRAMME (2014 -2020 PLANNING PERIOD PROGRAMME)  .....................  5 
5   COMPETENCE CENTRES (2014 -2020 PLANNING PERIOD PROGRAMME)  ......................  6 
6   BUSINESS INCUBATORS  ................................ ................................ ..............................  7 
7   EXTERNAL MARKETING – STRENGTHENING INTERNATIONAL 
COMPETITIVENESS OF INDUSTRIES  ................................ ................................ ................  7 
8   CORPORATE INCOME TAX RELIEF  ................................ ................................ ................  8 
9   INVESTMENT LOANS FOR MICRO, SMALL AND MEDIUM -SIZED ENTERPRISES 
AND COOPERATIVE PARTNERSHIPS WHICH PROVIDE AGRICULTURAL SERVICES 
FOR RISING DEVELOPMENT  ................................ ................................ .............................  9 
10   MICRO -LOANS PROGRAMME  ................................ ................................ ....................  10 
11   BUSINESS START -UPS PROGRAMME  ................................ ................................ ........  11 
12   GUARANTEES TO ENTREPRENEURS AND COOPERATIVE SOCIETIES OF 
AGRICULTURAL SERVICES TO IMPROVE COMPETITIVENESS  ................................ ..........  11 
13   PARALLEL (MEZZANINE) LOANS  ................................ ................................ ..............  12 
14   PORTFOLIO GUARANTEES  ................................ ................................ .......................  13 
15   NEXT GENERATION NETWORK FOR RURAL AREA  ................................ ....................  13 
16   SUPPORT TO TRAINING FOR EMPLOYED FOR ENHANCING 
COMPETITIVENESS OF ENTERPRISES – SUPPORT TO TRAINING FOR EMPLOYED 
IN PARTNERSHIP (2014  - 2020 PLANNING PERIOD PROGRAMME)  ................................  15 
17   OPEN CALL FOR PROJECT APPLICATIONS "APPLIED RESEARCH PROGRAM"  ...........  16 
18   OPEN CALL FOR PROJECT APPLICATIONS "POST -DOCTORAL  
RESEARCH AID"  ................................ ................................ ................................ .............  16 
19   VENTURE CAPITAL  ................................ ................................ ................................ .. 17 
20   ACCELERATOR FUNDS  ................................ ................................ .............................  18 
21   SHORT -TERM EXPORT CREDIT INSURANCE  ................................ .............................  19 
22   MID-TERM AND LONG -TERM GUARANTEES  ................................ ..............................  20 
23   INNOVATION MOTIVATION PROGRAMME  ................................ ...............................  20 
24   CONTACT POINTS OF TRANSFER OF TECHNOLOGIES ................................ ...............  21 
25   PROMOTION OF EFFECTIVE USE OF ENERGY RESOURCES, REDUCTION OF 
ENERGY CONSUMPTION AND TRANSFER TO RES IN MANUFACTURING INDUSTRY  .........  22 
26   SUPPORT TO ELECTRICITY PRODUCTION  ................................ ................................  22 
27   SUPPORT FOR PROCESSING OF AGRICULTURAL PRODUCTS  ................................ .... 23 
28   SUPPORT FOR INVESTMENTS IN CREATION AND DEVELOPMENT OF 
NON-AGRICULTURAL ACTIVITIES  ................................ ................................ ..................  24 
29   SUPPORT FOR THE STRENGTHENING OF LOCAL ECONOMICS  ................................ .. 25 
30   THE LOAN PROGRAMME FOR RURAL ECONOMICS, AGRICULTURAL AND 
FISHERIES ECONOMIC OPERATORS  ................................ ................................ ...............  25 
  G/SCM/N/372/EU/Add.16  
 
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  1  ON APPLICATION OF TAXES IN FREE PORTS AND SPECIAL ECONOMIC ZONES  
1. Period covered by the notification  
2017 – 2020. 
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development. According to the national legislation only enterprises 
having signed the agreement with the Board of Special Economic Zones and Free Ports about the 
realization of business activities and initial investments in the territory of both special economic 
zones and free ports, may apply tax rebates.  
3. Background and authority for the subsidy  
Law on the Application of Taxes in Free Ports and Special Economic Zones.  
Authority for the subsidy: the State Revenue Service and relevant municipalities.  
4. Form of the subsidy  
Tax relief.  
5. The annual amount of the subsidy  
Corporate Income Tax (CIT) and Real Estate Tax (RET) reliefs applied according to the data as of 
26 April 2019:  
in 2015 – EUR 11 .082 million;  
in 2016 – EUR 8 .159 million . 
CIT and RET reliefs applied according to  the data as of 12 March 2021:  
in 2017 – EUR 11 .507 million . 
in 2018 – EUR 2 .328 million . 
in 2019 – EUR 2 .800 million . 
in 2020 – EUR 0 .639 million.  
6. Duration of the subsidy  
2002 - 2035.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
2  SUPPORT TO INVESTMENTS FOR DEVELOPMENT IN THE SPECIALLY ASSISTED AREAS  
1. Period covered by the notification  
2016 - 2020.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development. The aim of the measure is to promote the expansion 
of manufacturing industry and the development of new economic operators by supporting the 
creation of industrial spaces in regions.  G/SCM/N/372/EU/Add.16  
 
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  3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No.  227 "Ope rational programme "Growth and 
Employment" particular specific objective 3.1.1."To promote the creation and development of SMEs, 
in particular in the manufacturing and RIS3 priority sectors" 3.1.1.5. measure "Support for 
Investment in Establishment or Reco nstruction of Production Premises and Infrastructure" the first 
round " of 12  April 2016 (amendments by the Regulation of the Cabinet of Ministers No. 241 of 
3 May 2017, No. 34 of 21 January 2020, No . 246 of 28 April 2020, No . 481 of 28 July 2020 ). 
The Regulation of the Cabinet of Ministers No.  612 "Operational programme "Growth and 
Employment" particular specific objective 3.1.1." To promote the creation and development of SMEs, 
in particular in the manufacturing and RIS3 priority sec tors" 3.1.1.5. measure "Support for 
Investment in Establishment or Reconstruction of Production Premises and Infrastructure " the 
second round " of 25 September  2018 (amendments by the Regulation of the Cabinet of Ministers 
No. 474 of 28 July 2020, No . 825 of 17 December 2020).  
Authority for the subsidy: the Ministry of Economics, the Central Finance and Contracting Agency.  
4. Form of the subsidy  
Grant.  
5. The annual amount of the subsidy  
2016–2018 total grant amount EUR 6 .2 million.  
6. Duration of the subsidy  
2016 - 2022.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
3  DEVELOPMENT OF NEW PRODUCTS AND TECHNOLOGIES – AID FOR IMPLEMENTATION 
OF NEW PRODUCTS AND TECHNOLOGIES IN PRODUCTION  
1. Period covered by the notification  
2016, 2017, 2018, 2019, 2020.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development. The activity is aimed at supporting development of 
new products or technologies in manufacturing. Within the framework of the activity financing is 
provided to operator's initial investment in fixed assets directly ensuring implementation of new 
products or technologies in the industry: new equipment acquisition costs, intangible assets (patents 
and licenses, acquisition costs). The maxim um allowable funding effort of the project's total eligible 
costs for large – 35%, medium -sized enterprises – 45% and micro, small enterprises – 55%.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No. 293 Regulation on the Operational Programme 
"Growth and Jobs" measure 1.2.1.4. Introduction of new products in production was developed and 
designed with the special purpose to foster the increase in productivity and competitiveness of 
businesses by developing and introduci ng new products and technologies in production, as well as 
increasing investments of the private sector in R&D&I. The aid provided to experimental production 
facilities within the programme is a significant contribution to the Latvian economy, providing 
companies the possibility to increase their competitiveness in the local and export market. The G/SCM/N/372/EU/Add.16  
 
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  support is granted for the manufacturing or purchasing, as well as installation and testing in real 
production environment of experimental technologies, ensuring that at least 20% of the 
experimental technology are unique components and no more than 80% of components or 
equipment of the experimental technology have been chosen from those available in the market. 
During the first open call (12 July – 12 September 20 16) 17 projects were approved of total funding 
EUR 25.8 million. During the 2nd open call (21 November – 12 April 2018.) 29 projects were 
approved of total funding EUR 35.78 million. Within the programme it is planned to attract at least 
EUR 70 million  private funding for R&D activities. Until March 1, 2021 15 projects have been 
completed, 22 projects are ongoing and 9 projects have been suspended . 
Authority for the subsidy: the Ministry of Economics, the  Central Finance  and Contracting  Agency.  
4. Form of the subsidy  
Grant.  
5. The annual amount of the subsidy  
ERDF: EUR 44.13 million (2016  - 2023) . 
6. Duration of the subsidy  
2016 - 2023. 
4  CLUSTERS PROGRAMME (2014 -2020 PLANNING PERIOD PROGRAMME)  
1. Period covered by the notification  
2017, 2018, 2019, 2020.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development ( de minimis aid). The purpose of the measure is to 
facilitate the cooperation between sector's unrelated entrepreneurs and institutions of education, 
research and deve lopment thus promoting growth of competitiveness, export, innovation and 
development of new products of industries.  
Support is given to a foundation performing functions of a cluster where at least 20 entrepreneurs 
are involved as well as institutions of s cience, education, etc.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No. 205 Operational program "Growth and Employment" 
3.2.1. specific support objective "Increase high -value -added products and services export ratio"  
3.2.1.1. measure "Cluster Programme" implementing rules of the first project selection round.  
(amendments by the Regulation of the Cabinet of Ministers No. 702 of 24 November  2020).  
Authority for the subsidy: The Ministry of Economics, the Central Finance and Contracting Agency.  
4. Form of the subsidy  
Grant.  G/SCM/N/372/EU/Add.16  
 
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  5. The annual amount of the subsidy  
2017 – total amount – EUR 1 .228 million.  
2018 – total amount – EUR 1 .299 million.  
2019 – total amount - EUR 1 .447 million.  
2020 – total amount - EUR 1 .143 million.  
6. Duration of the subsidy  
2017 – 2021.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
5   COMPETENCE CENTRES (2014 -2020 PLANNING PERIOD PROGRAMME)  
1. Period covered by the notification  
2017, 2018, 2019, 2020.  
2. Policy objective/to  whom the subsidy is provided  
Policy objective: Aid for regional development. The purpose of the measure is to increase the 
competitiveness of entrepreneurs facilitating cooperation between research and industry with design 
to implement research, new produ cts and technologies development projects.  
Support is given to a Competence centre – a legal person established by at least five unrelated 
industry entrepreneurs or recognized cooperative societies for agricultural services.  
3. Background and authority for th e subsidy  
The Regulation of the Cabinet of Ministers No. 2 Operational program "Growth and Jobs" 1.2.1. 
specific support objective "Increase private sector R&D investment" 1.2.1.1. measure "Support for 
development of new products and technologies in compet ence centres" the first, second and fourth 
project selection rounds implementing rules" of 5 January 2016 (amendments by the regulation of 
the Cabinet of Ministers No. 598 of 3 October 2017, No. 270 of 8 May 2017, No. 620 of 
2 October  2018, No. 478 of July  27). 
Authority for the subsidy: the Ministry of Economics, the Central Finance and Contracting Agency.  
4. Form of the subsidy  
Grant.  
5. The annual amount of the subsidy  
2017 – total grant amount – EUR 9 .608 million.  
2018 – total grant amount – EUR 9 .518 million.  
2019 – total grant amount – EUR 8 .237 million . 
2020 – total grant amount – EUR 12 .087 million . 
6. Duration of the subsidy  
2016 - 2023.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. G/SCM/N/372/EU/Add.16  
 
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  6  BUSINESS INCUBATORS  
1. Period cover ed by the notification  
2016 – 2020.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development ( de minimis aid). The purpose of the measure is 
provide support in the development of new, viable and competitive enterprise s. Incubators provide 
individuals and enterprises with the working environment, consultations, events and training on 
general business issues, mentor support, as well as grants necessary for starting or developing a 
business.  
3. Background and authority for t he subsidy  
Regulation on the operational programme "Regional business incubators and Creative Industries 
Incubator" of the Activity 3.1.1.6. "Regional business incubators and the Creative Industries 
Incubator" of the Specific Aid Objective 3.1.1. "Facilita te SME creation and development, particularly 
in the manufacturing industry and RIS3 priority sectors" of the ERDF Operational Program "Growth 
and Employment" of 3 May 2016 (amendments by the Regulation of the Cabinet of Ministers 
No. 279 – 26 January 2018 , 1 February 2019, 10 April and 1 August 2020).  
Authority for the subsidy: the Ministry of Economics, the Investment and Development Agency of 
Latvia.  
4. Form of the subsidy  
Subsidized services.  
5. The annual amount of the subsidy  
2017 – total grant amount – EUR 39,915.  
2018 – total grant amount – EUR 697,684.  
2019 – total grant amount – EUR 1,652,329 . 
2020 – total grant amount – EUR 3,118,082 . 
6. Duration of the subsidy  
2016 – 2023.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
7  EXTERNAL MARKETING – STRENGTHENING INTERNATIONAL COMPETITIVENESS OF 
INDUSTRIES  
1. Period covered by the notification  
2016 – 2020. 
2. Policy objective/to whom the subsidy is provided  
The programme nurtures competitiveness of Latvian companies and entrepreneurs . Support can be 
provided for the following activities, among others:  
• Participations in nationals and international exhibitions with own stall/booth;  G/SCM/N/372/EU/Add.16  
 
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  • Participation in entrepreneurship -related conferences and seminars , forums, contact 
exchange  abroad, if participant gives a presentation about their product or service;  
• Participation in trade mission abroad;  
• Participation in international visits of high government officials of Latvian;  
• Evaluation of production and product compliance ; 
• Adaptation o f products / services to foreign markets;  
• Participation in international digital industry platforms;  
• Membership in international industry associations ; 
• Publicity in foreign industry media.  
Consultations with LIAA representatives abroad.  
Support is given to State agency whose purpose is to promote business development and implement 
the Tourism Development Policy.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No.  678 Operational programme "Growth and 
Employment" p articular specific objective 3.2.1.  "To increase export proportion of high value added 
products and services" 3.2.1.2. measure "Promotion of International Competitiveness" of 
1 December  2015 (amendments by the Regulation of the Cabinet of Ministers No. 801  of 
22 December  2015, No. 649 of 4 October 2016, No. 240 of 3 May 2017, No. 688 of 
28 November  2017, No. 497 of 7 August 2018, No. 676 of 5 November 2018, No. 70 of 
12 February  2019, No. 204 of 9 April 2020, No . 482 of 28 July 2020 ). 
Authority for the subs idy: the Ministry of Economics, the Investment and Development Agency of 
Latvia.  
4. Form of the subsidy  
Grant.  
5. The annual amount of the subsidy  
2016 – 2018 total grant amount EUR 15 .72 million.  
2019 – 2020 total funding grant amount EUR 3 .19 million.  
6. Statisti cal data permitting an assessment of the trade effects of the subsidy  
N/A. 
8  CORPORATE INCOME TAX RELIEF  
1. Period covered by the notification  
2017 – 2018.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development. The purp ose of the measure is to contribute to an 
attraction of foreign direct investments as well as to the development of new products and 
technologies and introduction of them in the production.  
Support is given to enterprises investing at least EUR 10 .000 mill ion in tangible assets related to the 
extension of an existing establishment, diversification of the output of an establishment into new 
products and services and a fundamental change in the overall production process of an existing 
establishment.  G/SCM/N/372/EU/Add.16  
 
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  3. Backgrou nd and authority for the subsidy  
Article 17.2 of the Law on Corporate Income " Tax Rebate  for Initial Long -term Investments Made 
Within the Scope of Supported Investment Projects " (adopted on 20 December 2010, amendments 
on 15  December 2011, 6 June 2013, 6 November 2013, 4 December 2014, 23 November 2016).  
The transitional provisions of the Corporate Income Tax Law, which came into effect on 
1 January  2018, refer to the application of Article 17. 2 of the Law on Corporate Income Tax and the 
application of the  Regulations of the Cabinet of Ministers, dated of 3 January 2017, No 20 "Procedure 
for the Adoption and Implementation of Supported Investment Projects ". 
Authority for the subsidy: State Revenue Service/ Ministry of Economics.  
4. Form of the subsidy  
Tax relief.  
5. The annual amount of the subsidy  
Investment project was approved for the application of tax relief in 2017 – 6 projects.  
In 2018 were approved 8 investment projects.  
6. Duration of the subsidy  
The decisions on approval of investment projects for the a pplication of tax relief were taken until 
31 December  2018. On 1 January 2018 The Corporate Income Tax Law came into  effect. The 
Corporate Income Tax  Law determines that an investment project application might be submitted 
to the Ministry of Economy by 31 December 2017. The investment project applications received by 
the deadline within a period of 12 months were evaluated and directed to the Government fo r taking 
a decision regarding the granting of a corporate income tax allowance.  Period of approved 
investment project could last until 2023.  
Duration of the application of tax relief is planned for maximum 16 years starting taxation period 
when the investm ent project has been implemented.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
9   INVESTMENT LOANS FOR MICRO, SMALL AND MEDIUM -SIZED ENTERPRISES AND 
COOPERATIVE PARTNERSHIPS WHICH PROVIDE AGRICULTURAL SERVICES FOR RISING  
DEVELOPMENT  
1. Period covered by the notification  
2017 and 2018.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development ( de minimis  aid). The Regulation is to improve access 
to financing by the registered performers o f economic activity in Latvia, thereby promoting the 
development of the economy of the Republic of Latvia.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No. 1065 "Regulations Regarding loans for promoting the 
developme nt of micro, small and medium sized merchants and agricultural service co -operative 
societies" of 15 September 2009 (amendments by the Regulations of the Cabinet of Ministers 
No. 949 of 5 October 2010, No. 184 of 13 March 2012, No. 1434 of 10 December 2013 , No. 416 of G/SCM/N/372/EU/Add.16  
 
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  22 July 2014, No. 772 of 16 December 2014, No. 588 of 13 October 2015, No. 278 of 3 May 2016, 
No. 595 of 10 October 2017, No . 265 of 21 June 2019, No. 186 of 8 April 2020, No. 237 
30 April 2020). 
Authority for the subsidy: State JSC "Latvian D evelopment Finance Institution Altum".  
4. Form of the subsidy  
Soft loan.  
5. The annual amount of the subsidy  
Total amount of loan is EUR 204 ,047,797.11. By  2018, 427 loans were issued for EUR 78 million.  
6. Duration of the subsidy  
2014 - 2020.  
7. Statistical data perm itting an assessment of the trade effects of the subsidy  
N/A. 
10   MICRO -LOANS PROGRAMME  
1. Period covered by the notification  
2016 – 2020.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development ( de minimis aid). The aim is to increase the possibility 
of micro -financial support to business start -up and development, thus contributing to the 
development of Latvian economy. Loans are given to micro -enterprises.  
3. Background and authority for the subsidy  
The Regulations of t he Cabinet of Ministers No. 328 Regulations for micro -loans and start -up loans 
of 31 May 2016 (amendments by Regulation of Cabinet of Ministers No. 57 of 1 February 2018, 
No. 249 of 9 May 2018, No. 718 of 26 November 2018, No. 238 of 30 April 2020, No. 499  of 
18 June 2020). 
Authority for the subsidy: State JSC "Latvian Development Finance Institution Altum".  
4. Form of the subsidy  
Soft loan.  
5. The annual amount of the subsidy  
By 2020, 118 micro -loan were issued for EUR 1.5 million.  
6. Duration of the subsidy  
2014 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. G/SCM/N/372/EU/Add.16  
 
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  11   BUSINESS START -UPS PROGRAMME  
1. Period covered by the notification  
2016 – 2020. 
2. Policy objective/to whom the subsidy is provided  
Policy objective: The aim of the de min imis aid programme is to increase economic activity in the 
country, to develop knowledge and skills of business start -up, as well as to provide the necessary 
financial support for business start -up. 
Support is given to newly established enterprises and pri vate persons planning to start commercial 
activity.  
3. Background and authority for the subsidy  
The Regulations of the Cabinet of Ministers No. 328 Regulations for micro -loans and start -up loans 
of 31 May 2016 (amendments by Regulation of Cabinet of Ministers No. 57 of 1 February 2018, 
No. 249 of 9 May 2018, No. 718 of 26 November 2018 No. 238 of 30 April 2020, No. 499 of 
18 June 2020).  
Authority for the subsidy: State JSC "Latvian Development Finance Institution Altum".  
4. Form of the subsidy  
Soft loan.  
5. The annual amount of the subsidy  
By 2018, 405 start -up loans were issued for EUR 9.5 million.  
By 2020, 427 start-up loans were issued for EUR 10.9 million . 
6. Duration of the subsidy  
2014-2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
12  GUARANTEES TO ENTREPRENEURS AND COOPERATIVE SOCIETIES OF AGRICULTURAL 
SERVICES TO IMPROVE COMPETITIVENESS  
1. Period covered by the notification  
2016 – 2010.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: De mini mis aid for regional development. The purpose of the measure is to provide 
companies with credit resources to implement their projects in case their available resources are 
insufficient to get a bank loan.  
Guarantees are given to enterprises and cooperativ e societies of agricultural services.  G/SCM/N/372/EU/Add.16  
 
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  3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers of 26 October 2010 No. 997 "Regulations on guarantees 
to entrepreneurs and cooperative societies of agricultural services to improve c ompetitiveness" that 
replaced the Regulation of the Cabinet of Ministers of 24 March 2009 No. 269 (amendments by 
Regulation of Cabinet of Ministers No. 283 of 28 May 2013, No. 1518 of 17 December 2013, No. 414 
of 22 July 2014, No. 539 of 9 September 2014, No. 21 of 12 January 2016, No. 344 of 31 May 2016, 
No. 89 of 14 February 2017, No. 248 of 24 April 2018).  
Authority for the subsidy: State JSC "Latvian Development Finance Institution Altum".  
4. Form of the subsidy  
Credit guarantees.  
5. The annual amount of the subsidy  
For credit guarantees the subsidy equivalent is calculated as the difference between the safe harbour 
premium rate corresponding credit quality grade and applied premium rate.  
Till 2018 guaranties issued EUR 78 .346 million (427 guaranties) . 
Till 2020 guaranties issued EUR 128.3 million ( 578 guaranties) . 
6. Duration of the subsidy  
2014 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
13   PARALLEL (MEZZANINE) LOANS  
1. Period covered by the notification  
2017 and 202 0. 
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for regional development. The aid programme is aimed to provide Latvian 
entrepreneurs long -term financing in addition to the granted loan. Parallel loans is a long -term 
financing ins trument, subordinated to a loan issued by the commercial bank and with an increased 
risk. 
Support is given to all size enterprises.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No. 469 "Rules on parallel lending to ec onomic operators 
for improving competitiveness" of 15 July 2016 (amendments by the Regulation of the Cabinet of 
Ministers No. 416 of 8 August 2017 and No. 20 of 9 January 2018, No. 170 of 19 April 2019, No.  247 
of 1 May 2020, No. 649 of 3 November 2020).  
Authority for the subsidy: State JSC "Latvian Development Finance Institution Altum".  
4. Form of the subsidy  
Mezzanine loan.  G/SCM/N/372/EU/Add.16  
 
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  5. The annual amount of the subsidy  
Till 2018 loans issued EUR 4 .336 million (13 loans).  
Till 2020 loans issued EUR 8.09 million (16 loans) . 
6. Duration of the subsidy  
2016 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
14  PORTFOLIO GUARANTEES  
1. Period covered by the notification  
2017 – 2018.  
2. Policy objective/to whom the subsidy is provided  
Policy obj ective: The objective of the portfolio guarantee is to facilitate access to finance for 
merchants.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No. 537 "Regulation on Portfolio Guarantees to 
Foster  Lending to micro, s mall and medium enterprises lending" of 5 September 2017 (amendments 
by the Regulation of the Cabinet of Ministers No. 145 of 6 March 2018, No . 155 of 24 March 2020, 
No. 207 of 14 April 2020, No . 824 of 12 December 2020).  
4. Form of the subsidy  
Credit guarant ee. 
5. The annual amount of the subsidy  
By 2018 in total 59 (portfolio) guarantees were issued EUR 3 million.  
6. Duration of the subsidy  
2014 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
15   NEXT GENERATION NETWORK FOR RURAL AREA  
1. Period covered by the notification  
2018 – 2020.  G/SCM/N/372/EU/Add.16  
 
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  2. Policy objective/to whom the subsidy is provided  
The direct recipient of the aid is the wholesale operator of the network, State Joint Stock Company 
"Latvia State Radio and Television Centre". Indirect beneficiaries are electronic communication 
operators utilizing the new network for offering retail services to end users.  
State Aid scheme "Next Generation Network for rural area" (hereafter - NGN project) foresees 
support to development and establishment of the broadband infrastructure to provide wholesale 
broadband services in rural areas of Latvia, which are currently not served and where there are no 
plans for development of next generation network (hereafter - NGN) in the near future  – three -year 
period. During the planned activities optical ( fibre) backhaul infrastructure is developed, which allows 
a long period of use before becoming obsolete (20 years) and thus provides a reliable technology 
platform for the construction of the next  generation access network – "last mile".  
In 2015 first phase of the NGN Project is completed and 1 ,813 km of optical cable and 177 access 
points were built.  
By 2020 the implementation of NGN project second phase (2016  - 2020) will ensure infrastructure 
for future development of NGA in rural area and provide possibility for operators deliver NGA for 
households and governmental (administrative) entities (local governments, centres  of rural 
territories, schools, libraries, hospitals etc.).  
The NGN project for esees totally setting up 500 connection points to NGN (approximately 7 ,000 km 
of fibre). The estimated overall costs of rolling out the network are estimated at EUR 119 million.  
Phase 1 thereof require EUR 26 .400 million, phase 2 EUR 92 .600 million. The pl anned overall aid 
amount is EUR 101 .710 million EUR 23 .000 million for phase 1, EUR 78 .710 million for phase 2. 
Financial means are obtained from the European Regional Development Fund (ERDF).  
3. Background and authority for the subsidy  
Sustainable Developmen t Strategy of Latvia until 2030; National Strategic Reference Framework 
2007 - 2013; Operational Programme "Infrastructure and Services" 2007 -2013; Regulation of the 
Cabinet of Ministers No.  79 of 24 January 2012 "Regulations for Operational Programme 
"Infrastructure and services" 3.2.2.3. Activity "Provision of equal access opportunities to electronic 
communications services in the whole territory of the country (development of Broadband network)" . 
Operational programme "Growth and Employment" 2014 -2020; R egulation of the Cabinet of 
Ministers No. 664 of 24 November 2015 "Regulations on the implementing rules of the first round 
project applications for the Operational Programme "Growth and Employment" specific objective 
No. 2.1.1. "To improve accessibility o f the electronic communication infrastructure in rural areas".  
Authority for the subsidy: Ministry of Transport of the Republic of Latvia.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
2018 – total grant amount – EUR 1 .936 million (fro m ERDF, aid intensity 85%).  
2019 – total grant amount – EUR 5 .788 million (from ERDF, aid intensity 85%).  
2020 – total grant amount – EUR 16 .433 million (from ERDF, aid intensity 85%).  
6. Duration of the subsidy  
2012 - 2020.  G/SCM/N/372/EU/Add.16  
 
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  7. Statistical data permitting an ass essment of the trade effects of the subsidy  
N/A. 
16   SUPPORT TO TRAINING FOR EMPLOYED FOR ENHANCING COMPETITIVENESS OF 
ENTERPRISES – SUPPORT TO TRAINING FOR EMPLOYED IN PARTNERSHIP (2014  - 2020 
PLANNING PERIOD PROGRAMME)  
1. Period covered by the notification  
2017 – 2020. 
2. Policy objective/to whom the subsidy is provided  
Policy objective: Training aid. The activity is aimed to promote training of employees in order to 
facilitate innovation adoption into the operation of the businesses for Manufactur ing industry, 
ICT industry, Tourism industry and Global Business Service Centre industry (1.2.2.1. action) and to 
support ICT skills development for ICT industry, non -technological innovations and training to attract 
investors (1.2.2.3. action).  
3. Background  and authority for the subsidy  
The Regulations of the Cabinet of Ministers No. 617 for measure No. 1.2.2. "To facilitate 
implementation of innovations in enterprises" action No. 1.2.2.1.  "Technology training" 1st and 2nd 
call of 27  October 2015. (amendment s by the Regulation of the Cabinet of Ministers No. 757 of 
6 December  2016, No. 317 of 13 June 2017, No. 402 of 10 of July 2018, No. 180 of 23 April 2019, 
No. 124 of 10 March 2020, No. 708 of 24 November 2020).  
The Regulations of the Cabinet of Ministers N o. 365 for measure No. 1.2.2. "To facilitate 
implementation of innovations in enterprises" action No. 1.2.2.3. "Non -technology training and 
training to attract investors" of 14 June 2016. (amendments by the Regulation of the Cabinet of 
Ministers No. 52 of 23 January  2018, No. 496 of 29 October 2019, No. 125 of 10 March 2020, 
No. 723 of 1 December 2020.)  
Authority for the subsidy: the Ministry of Economics, the Central Financing and Contracting Agency 
of Latvia.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
1.2.2.1. action (ERDF):  
2017 – total grant amount – EUR 1 .839 million . 
2018 – total grant amount – EUR 1 .631 million . 
2019 – total grant amount – EUR 1 .064 million . 
2020 - total grant amount – EUR 1 .134 million.  
1.2.2.3. action  (ERDF):  
2017 – total grant amount - EUR 0 .264 million . 
2018 – total grant amount – EUR 0 .411 million . 
2019 – total grant amount – EUR 0 .485 million . 
2020 - total grant amount – EUR 0 .571 million.  
6. Duration of the subsidy  
2016 - 2023 (1.2.2.1./1.2.2.3. acti on). G/SCM/N/372/EU/Add.16  
 
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  7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
17  OPEN CALL FOR PROJECT APPLICATIONS "APPLIED RESEARCH PROGRAM"  
1. Period covered by the notification  
2016 - 2018.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Research and development. The objective of the activity is to support research, 
which contributes to the achievement of goals of the Latvian Smart Specialization Strategy, to the 
development of human capital for science and technology and  to the creation of new knowledge for 
the improvement of competitiveness of the national economy.  
3. Background and authority for the subsidy  
The Regulations of the Cabinet of Ministers of 12 January 2016 No . 34 "Regulation for the 
implementation of measure 1 .1.1.1 "Applied research program" of Specific Objective 1.1.1 "To 
increase the research and innovative capacity of scientific institutions of Latvia and their ability to 
attract external funding by investing in human resources and infrastructure" of Operat ional 
Programme "Growth and Employment".  
Support is provided for implementation of research projects in open call for project application, which 
contribute to the implementation of Latvian Smart Specialisation strategy.  
Project applicants: Scientific insti tutions registered in the Scientific Institution Register and 
entrepreneurs.  
Authority for the subsidy: the Ministry of Education and Science.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
2017 total public funding amount EUR 14 .41 mil lion. 
2018 total public funding amount EUR 14 .77 million.  
(2016 total public funding amount EUR 0).  
6. Duration of the subsidy  
2016 - 2023.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
18  OPEN CALL FOR PROJECT APPLICATIONS " POST -DOCTORAL RESEARCH AID"  
1. Period covered by the notification  
2016 - 2018.  G/SCM/N/372/EU/Add.16  
 
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  2. Policy objective/to whom the subsidy is provided  
Policy  objective: Research and development. The objective of the activity is to develop the skills of 
new scientists and to increase the scientific capacity, ensuring the possibilities for new scientists to 
start a career in scientific institutions and with enterprises, as well as improvement of research 
competences, renewal of human resources and increase in the number of qual ified specialists.  
3. Background and authority for the subsidy  
The Regulations of the Cabinet of Ministers of 19 January 2016 No . 50 "Regulations Regarding 
Implementation of Activity 1.1.1.2 "Post -doctoral Research Aid" of the Specific Objective 1.1.1 "To 
increase the research and innovative capacity of scientific institutions of Latvia and their ability to 
attract external funding by investing in human resources and infrastructure" of the Operational 
Programme "Growth and Employment".  
Project applicants: Scie ntific institutions registered in the Scientific Institution Register and 
entrepreneurs.  
Authority for the subsidy: the Ministry of Education and Science.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
2016 total public funding amount E UR 0.07 million.  
2017 total public funding amount EUR 0 .45 million.  
2018 total public funding amount EUR 2 .74 million.  
6. Duration of the subsidy  
2016 - 2023.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
19  VENTURE CAPITAL  
1. Period covered by the notification  
2016 – 2018.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Risk capital. Risk capital and venture capital funds offer long -term equity 
investment for start -ups and innovative enterprises with a high gr owth potential at early stages of 
development, which traditional financers choose to refrain from financing due to higher attributed 
risk. Investments can be made in the form of equity or quasi -equity.  G/SCM/N/372/EU/Add.16  
 
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  3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No. 518 "Regulations on Seed Capital and Venture Capital 
Funds for the Establishment, Development and Competitiveness of Economic operators" of 
12 April 2016 (amendments by the Regulation of the Cabinet of Ministers N o. 7 of 9 January 2018, 
No. 90 of 24 April 2018).  
Authority for the subsidy: Financial intermediaries selected in open public procurement process by 
state JSC "Latvian Development Finance Institution Altum".  
4. Form of the subsidy  
Provision of risk capital.  
5. The annual amount of the subsidy  
By 2018 in total 3 companies were issued EUR 1 .568 million.  
By 2020 in total 14 companies were issued EUR 6.7 million . 
6. Duration of the subsidy  
2014 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
20  ACCELERATOR FUNDS  
1. Period covered by the notification  
2018 and 2020.  
2. Policy objective -to whom the subsidy is provided  
The acceleration programme is allocated to innovative start -up companies for the establishment and 
development of business ideas and products, with the aim of promoting their growth and 
competitiveness, especially with regards to projects with a technological and industrial focus.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Minister No . 226 "Regulations Regarding Acceleration Funds for 
Facilitating the Establishment, Growth and Competitiveness of Performers of Economic Activities" of 
12 April 2016 (amendments by the Regulation of the Cabinet of Minister No. 19 of 9 January 2018, 
No. 247 of 24 April 2018 and No . 565 of 8 September 2020).  
Authority for the subsidy: Funding is available from three acceleration funds, selected in a public 
procurement by state JSC Latvian Development Finance Institution Altum: BuildIt Latvia; 
Commercial React or fund; Overkill Ventures.  
4. Form of the subsidy  
Provision of venture capital.  
5. The annual amount of the subsidy  
In 2016 there are no payments made.  G/SCM/N/372/EU/Add.16  
 
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  Form 2018 till 2020 (incl.) 81 companies were issued EUR 3 .068 million.  
6. Duration of the subsidy  
2014 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
21  SHORT -TERM EXPORT CREDIT INSURANCE  
1. Period covered by the notification  
2016 - 2020.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: short -term export  credit insurance. The purpose of the measure is to provide short -
term export credit guarantee coverage to Latvian exporters. A guarantee covers up to 90% risk 
coverage concerning political risk, of the total sum of an export transaction. The maximum amoun t 
of an export credit guarantee or the maximum amount of ALTUM obligations for losses that have 
incurred due to non -payment by one foreign customer is EUR 2 million. An export credit guarantee 
may cover both the buyer's risk and the risk of the guarantor o f the buyer's obligations – bank or 
buyer's associated company if having certain doubt about the liquidity of the buyer's obligator. The 
objective of an export credit guarantee is to cover the risks of export deals or to serve as a collateral 
for the recei pt of financing necessary for export deals, for instance, factoring.  
3. Background and authority for the subsidy  
The Regulation of the Cabinet of Ministers No. 866 "Regulation on short -term export credit 
guarantees to entrepreneurs and cooperative societies o f agricultural services" of 20  December  2016 
(amendments by the Regulation of the Cabinet of Ministers No. 596 of 26  September 2017, No.  330 
of 17 July 2019, No.  206 of 16 April 2020, No.  821 of 23 December, 2020).  
Authority for the subsidy: State JSC "Lat vian Development Finance Institution Altum".  
4. Form of the subsidy  
Export credit risk insurance (financial instrument is not provided as subsidy in any form).  
5. The annual amount of the subsidy  
Till 2019 signed 147 contracts in the amount of EUR 10,622,722.  
From 2019 till 2020 (incl.) signed 203 contracts in the amount of EUR 13,387,897 . 
6. Duration of the subsidy  
2016 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. G/SCM/N/372/EU/Add.16  
 
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  22  MID-TERM AND LONG -TERM GUARANTEES  
1. Period covered by the notification  
2017 - 2018.  
2. Policy objective and/or purpose of the subsidy  
Policy objective: medium and long -term export credit guarantees. The purpose of the measure is to 
provide medium and long -term export credit guarantee coverage to Latvian exporter s. A guarantee 
covers up to 95% risk coverage concerning commercial risk and up to 100% risk coverage 
concerning political risk. The maximum amount of an export credit is EUR 5 million. The objective of 
an export credit guarantee is to cover the risks of e xport deals or to serve as a collateral for the 
receipt of financing necessary for export deals, for instance, factoring. The credit risk period, 
including the production period, exceeds two years.  
3. Background and authority for the subsidy  
Regulation of the  Cabinets of Ministers No. 290 "Regulation for the issuance of medium and 
long-term export credit guarantees to economic operators" of 30 May 2017.  
4. Form of the subsidy  
Export credit risk insurance (financial instrument is not provided as subsidy in any for m). 
5. The annual amount of the subsidy  
No transactions concluded.  
6. Duration of the subsidy  
2017 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
23  INNOVATION MOTIVATION PROGRAMME  
1. Period covered by the notification  
2016 – 2020.  
2. Policy objective/to whom the subsidy is provided  
Policy objective: Promote understanding of innovation and business, as well as to practically involve 
different societal groups in business activities, and development and further implementation of 
innovative ideas and solutions.  
3. Background and authority for the subsidy  
Regulation of the Cabinet of Ministers No . 287 "Implementing regulations for Operational Program's 
"Growth and Jobs" 1.2.2. Specific Support Objective's "To promote innovation in enter prises" 
1.2.2.2.  Measure "Innovation motivation program".  
4. Form of the subsidy  
Non-financial support (soft measures).  G/SCM/N/372/EU/Add.16  
 
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  5. The annual amount of the subsidy  
EUR 0.7 million annually (2016 -2023). Total amount of support available within the programme – 
EUR 5.65 million.  
6. Duration of the subsidy  
2016 - 2023.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
24  CONTACT POINTS OF TRANSFER OF TECHNOLOGIES  
1. Period covered by the notification  
2019 - 2020.  
2. Policy objective/to whom the subsidy is provided  
Program objectives: provide a contribution to achieve objectives of the Smart Specialization Strategy 
of Latvia; support the development of the competence of the research result commercialization; 
promote commercialization of the resear ch results and to transform the research results into 
successful entrepreneurship; promote innovation activities in SME's and to provide aid to them 
through the transfer of technologies for the development of new or significantly improved products 
or techn ologies, and promote the establishment of start -up companies in Latvia.  
3. Background and authority for the subsidy  
Regulation of the Cabinet of Ministers No. 692 Regulation for the Implementation of the 
Activity  1.2.1.2 "Support for the Improvement of Techno logy Transfer System" of the Specific 
Objective 1.2.1  "To increase investments of private sector in R&D" of the Operational Programme 
"Growth and Employment" (25 .01.2016).  
Authority for the subsidy: the Ministry of Economics, the Investment and Development  Agency of 
Latvia.  
4. Form of the subsidy  
Grant.  
5. The annual amount of the subsidy  
Total eligible funding – EUR 35 million (EUR 30 million – ERDF; EUR 5 million – state budget).  
2019 total public funding amount EUR 2 .75 million.  
2020 total public funding amoun t EUR 6 .84 million.  
6. Duration of the subsidy  
2016 – 2022.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. G/SCM/N/372/EU/Add.16  
 
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  25  PROMOTION OF EFFECTIVE USE OF ENERGY RESOURCES, REDUCTION OF ENERGY 
CONSUMPTION AND TRANSFER TO RES IN MANUFACTURING INDUSTRY  
1. Period covered by the notification  
2016 - 2020. 
2. Policy objective/to whom the subsidy is provided  
Policy objective: The goal of the measure is to promote effective use of energy resources, reduction 
of energy consumption and transfer to RES in manufacturing industry.  
Support will be provided for energy efficiency measures in industrial buildings as well as for 
improvement and replacement of equipment that is more energy efficient. Financial beneficiaries: 
Manufacturing companies – NACE  2. red C section (excl. Tobacco manufacturing).  
3. Background and authority for the subsidy  
1) The Regulation of the Cabinet of Ministers No. 590 "Regulations on the operational 
programme's "Growth and employment" 4.1.1. specific support objective "To promote 
effective use of energy resources, reduction of energy consumption and transfer to 
RES in manufacturing industry" of 9 September 2016";  
2) The Regulation of the Cabinet of Ministers No. 38 "Regulations on the operational 
programme's "Growth and employment" 4.1 .1. specific support objective "To promote 
effective use of energy resources, reduction of energy consumption and transfer to 
RES in manufacturing industry" Second Project Application Selection Round" of 
27 January  2018";  
3) The Regulation of the Cabinet of M inisters No. 506 "Operational programmes "Growth 
and employment" 4.1.1. specific support objectives "To promote effective use of 
energy resources, reduction of energy consumption and transfer to RES in 
manufacturing industry" implementing rules for the thi rd round of project applications " 
of 5 November 2019 "; 
Authority for the subsidy: the Ministry of Economics, the Central Finance and Contracting Agency.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
Until end-2020 signed 45 contracts f or EUR 11,963,283 (Cohesion Fund).  
6. Duration of the subsidy  
2016 - 2023. 
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
26  SUPPORT TO ELECTRICITY PRODUCTION  
1. Period covered by the notification  
2019 and 2020. G/SCM/N/372/EU/Add.16  
 
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  2. Policy objective/to whom the subsidy is provided  
Increase of renewable energy production, energy security and environmental protection climate 
change.  
3. Background and authority for the subsidy  
Several Legal Acts form the legal basis: The Electricity Market Law; Su bsidised Electricity Tax Law; 
Regulations of the Cabinet of Ministers of 10 March 2009 No . 221 "Regarding Electricity Production 
and Price Determination upon Production of Electricity in Cogeneration"; Regulations of the Cabinet 
of Ministers of 16 March 20 10 No. 262 "Regarding the Production of Electricity Using Renewable 
Energy Sources and the Procedures for the Determination of the Price "; Regulations of the Cabinet 
of Ministers of 2 September 2020 No . 561 "Regulations on the Production, Monitoring and Pr icing of 
Electricity from Cogeneration"; Regulations of the Cabinet of Ministers of 2 September 2020 No. 560 
"Regulations on Electricity Generation from Renewable Energy Sources, as well as on 
Pricing  Procedures and Monitoring ". 
Authority for the subsidy: the Ministry of Economics.  
4. Form of the subsidy  
Feed-in tariffs, capacity payments, and tariff measures (subsidised electricity tax) limiting state 
support.  
5. The annual amount of the subsidy  
2019 – total aid amount – EUR 150 .846 million.  
2020 – total aid amount – EUR 150 .673 million.  
6. Duration of the subsidy  
Rights to produce and sell electricity within the framework of mandatory purchase or guaranteed 
payments is limited to a maximum of 20 years. The current system of mandatory purchase and 
guarantee d payments is in place until 2032 for electricity production in cogeneration and until  2037 
for electricity production from renewable energy sources.  
However, since 26  May 2011 no new rights are conferred to sell electricity produced from renewable 
energy sources within the framework of mandatory purchase or guaranteed payments. Similarly, 
since 10  September 2012  no new rights are conferred to sell electricity produced in cogeneration 
within the framework of mandatory purchase or guaranteed payments.  
Applic ation of the subsidised electricity tax ceased on 31 December 2017.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
27  SUPPORT FOR PROCESSING OF AGRICULTURAL PRODUCTS  
1. Period covered by the notification  
2019 and 2020. 
2. Policy objective/to whom the subsidy is provided  
The regional aid scheme supports investment projects, which aim at the activities related to the 
processing of agricultural products.  G/SCM/N/372/EU/Add.16  
 
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  3. Background and authority for the subsidy  
The Regulations of the Cabinet o f Ministers of 30 September 2014 No. 600 "The procedure for 
granting of the State and European Union support in the form of open project tenders under the 
measure "Investments in physical assets".  
Authority for the subsidy is the Ministry of Agriculture, t he Rural Support Service.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
2019 – Total grant amount – EUR 3 .945 million.  
2020 – Total grant amount – EUR 4 .092 million.  
6. Duration of the subsidy  
2015 - 2020.  
7. Statistical data permitting an a ssessment of the trade effects of the subsidy  
N/A. 
28  SUPPORT FOR INVESTMENTS IN CREATION AND DEVELOPMENT OF 
NON-AGRICULTURAL ACTIVITIES  
1. Period covered by the notification  
2019 - 2020. 
2. Policy objective/to whom the subsidy is provided  
The measure aims at encou raging production of non -agricultural commercial activities (business) or 
employment in the rural area, diversifying activities that are not related to agriculture, to develop 
alternative income sources and increase in income levels in rural areas.  
3. Backgro und and authority for the subsidy  
The Regulations of the Cabinet of Ministers of 24 May 2016 No. 320 "The procedure for granting of 
the State and European Union support under the measure "Support for investments in creation and 
development of non-agricultural activities" in the form of open project application tenders".  
Authority for the subsidy is Ministry of Agriculture, the Rural Support Service.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
2019 – Total grant amount – EUR 2.579 million.  
2020 - Total grant amount - EUR 1.150 million.  
6. Duration of the subsidy  
2016 - 2020.  G/SCM/N/372/EU/Add.16  
 
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  7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
29  SUPPORT FOR THE STRENGTHENING OF LOCAL ECONOMICS  
1. Period covered by the notification  
2019 and 2020. 
2. Policy objective/to whom the subsidy is provided  
The measure aim is promote the local development in rural territory, to support the local 
development initiatives which complying with the Rural Development Programme 2014  - 2020 and 
included in the community -led local development strategies of local action groups and improving 
situation in rural areas, creating a favourable environment for living, entrepreneurship and 
development of rural territories.  
3. Background and authority for the subsidy  
The Regulations of the Cabinet of Ministers of 13 October 2015 No. 590 "The procedure for granting 
of the State and European Union support for rural development under the sub -measure 'Support for 
implementation of operations under community -led local development strategy'".  
Authority for the subsidy is Ministry of Agriculture, the Rural Support Service.  
4. Form of the subsidy  
Direct grant.  
5. The annual amount of the subsidy  
2019 - Total grant amount - EUR 0 .573 million.  
2020 - Total grant amount - EUR 0 .680 million.  
6. Duration of the subsidy  
2016 - 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
30  THE LOAN PROGRAMME FOR RURAL ECONOMICS, AGRICULTURAL AND FISHERIES 
ECONOMIC OPERATORS  
1. Period covered by the notification  
2019 - 2020. 
2. Policy objective/to whom the subsidy is provided  
Policy objective: Aid for rural development, agricultural and fisheries operators ( de minimis aid). 
The aim is to promote the involvement of citizens in rural economic activity and increase the 
availability of financial resources for rural economics, agricultural and fisheries operators.  G/SCM/N/372/EU/Add.16  
 
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  3. Background and authority for the subsidy  
The Regulations of the Cabinet of Ministers of 24 July 2018 No. 446 "Provisions on the loan program 
for rur al economic, agricultural and fisheries economic operators".  
Authority for the subsidy: Ministry of Agriculture, State JSC "Latvian Development Finance Institution 
Altum".  
4. Form of the subsidy  
Loan.  
5. The annual amount of the subsidy  
2019 – total issued loan amount – EUR 3.217  million . 
• Support for agriculture – EUR 2.318 million;  
• Support for processing of agricultural products – EUR 0.147 million;  
• Support for investments in creation and development  of 
non-agricultural  activities – EUR 0.752 million . 
2020 – total issued loan amount – EUR 5.569 million.  
• Support for agriculture – EUR 3.779 million;  
• Support for processing of agricultural products – EUR 0.511 million;  
• Support for investments in creation and development  of 
non-agricultural  activities – EUR 1.279 m illion. 
6. Duration of the subsidy  
2018 – 2020.  
7. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
__________