Currently, there are 127 companies in the financial technology sector operating in Latvia, writes Diena.
Last year, fintech companies generated a turnover of 372 million euros and paid 91 million euros in taxes, with more than 3,600 people employed in this sector. Meanwhile, the development of the industry’s growth strategy for the coming years has been stalled for a long time. Now, the Ministry of Finance, in cooperation with the Bank of Latvia, has submitted a fintech sector development strategy for 2026-2027 for consideration by the Cabinet of Ministers, although it was supposed to cover the period from 2025 to 2027.
The strategy aims to increase the number of registered fintech companies in Latvia by 30%, providing them with favorable conditions for operation and expansion. It also sets a goal to increase investments in the fintech sector by 15% and the number of jobs by 18%.
At a discussion held at the RTU Riga Business School titled "What is Needed to Realize the Ambitions of the Fintech Sector in Latvia?" the President of the Bank of Latvia, Mārtiņš Kazāks, noted that the strategy contains very modest ambitions. This view is shared by the head of the "Fintech Latvija" association, Tina Lūse, who pointed out that officials took a cautious approach when developing the strategy to ensure that the planned results could be achieved.
"The Financial Sector Development Council supports the adoption of the fintech strategy, but we have issues with immigration policy and processes. This is a politically sensitive issue that is used for political bargaining and gaining voter support. At times, the rational aspect is lost here. If we want to develop the industry, we need labor resources, so we need to think about how to simplify the attraction of workforce," Lūse said.
Fintech companies note that today it is easier for them to open a branch and hire programmers, for example, in Macedonia than to bring them to work in Latvia.
