On Friday, April 4, Minister of Finance Arvils Ašeradens met with Sigrun Rawet, Executive Director of the Nordic-Baltic Constituency at the World Bank, to discuss current challenges facing the World Bank and Latvia’s priorities within the organization. The discussion addressed today’s global economic challenges and their impact on the Bank’s work, particularly in relation to support for Ukraine, attracting private sector investment, and the importance of mobilizing domestic resources in developing countries.
“The mission of the World Bank is more important now than ever. In our discussion with the World Bank representative, we agreed on key priorities – unwavering support for Ukraine, continued engagement through World Bank instruments, the impact of global economic developments, and the opportunities to strengthen private sector involvement in the Bank’s activities,” said Minister Arvils Ašeradens.
The Executive Director thanked the Minister for Latvia’s support for Ukraine through the World Bank and its contribution to the International Development Association (IDA), which provides assistance to the world’s poorest countries. Approximately half, or 40%, of all economic support for Ukraine has been mobilized via the World Bank, and Latvia has played an important role in this by directing €25 million in financial aid through the Bank. In total, Latvia has provided €230 million in support for Ukraine, which amounts to 0.57% of Latvia’s GDP. Latvia also calls for a firm and united position from the Nordic-Baltic countries in condemning Russia’s aggression within World Bank formats, including the upcoming Spring Meetings of the Board of Governors in Washington, D.C.
The discussion also explored opportunities for Latvian companies to participate in World Bank–funded projects through its procurement system, which is currently being improved to place greater emphasis on procurement quality over lowest price, and to ensure earlier engagement of the private sector by providing timely information on upcoming tenders. Furthermore, the meeting addressed how Latvian private sector players could benefit from the financial and risk-mitigation instruments offered by the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA), both part of the World Bank Group, to expand investments in developing markets.
