One of the main issues will be the financing of the development of the eastern regions of the country. According to calculations by the Latgale Planning Region, approximately 50 million euros per year will be required for support measures from the state budget. The exact amount will need to be determined annually during the preparation of the state budget. The aim of the bill is to enhance the resilience of the eastern part of Latvia, promote population retention, strengthen security, and improve the well-being of residents. To achieve this, it is proposed to introduce special legal regulations and financial support measures for social and economic development, attracting investments, and increasing the region's competitiveness. The eastern territory of Latvia is proposed to be understood as the areas along the external border of the European Union with Russia and Belarus. It should include all municipalities of the Latgale Planning Region, as well as the Alūksne Municipality. Members of the Saeima have suggested including other territories, particularly the Jēkabpils Municipality. It is anticipated that these municipalities will have priority access to EU cohesion policy programs and other financial resources available at national and European levels. Funds are planned to be directed towards improving civil and military mobility, ensuring access to education, healthcare, and social services, supporting entrepreneurship and investments, strengthening energy security, developing digital infrastructure, as well as preserving culture and the Latgalian language. The bill provides for the establishment of a Fund to Support the Development of the Eastern Territory of Latvia. Its resources are expected to come from state and municipal budgets, EU funds, international financial institutions, donations, and other funding sources. It is proposed that the fund will operate as a public institution under the supervision of the Minister of Smart Governance and Regional Development, while the functions of the secretariat and administrative support will be taken on by the Latgale Planning Region. The fund will be able to finance development projects, provide guarantees and sureties, support startups, attract specialists, foster innovation, and develop export-oriented industries. According to the project, the fund is expected to start operating on January 1, 2027. The Cabinet of Ministers is proposed to develop rules for its operation and conditions for providing support by October 31, 2026. The meeting will also plan to hear a report from the working group on reducing bureaucracy regarding the work done and further measures to reduce administrative burdens. Representatives from the Ministry of Smart Governance and Regional Development, the Ministry of Finance, the State Chancellery, the Association of Local Governments of Latvia, the Confederation of Employers of Latvia, and other organizations are invited to the discussion.
