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Latvia and Norway join forces with new EEA funding agreement

The Baltics Materials 13 October 2025 11:49 (UTC +04:00)
Latvia and Norway join forces with new EEA funding agreement
Daspina Hasanova
Daspina Hasanova
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BAKU, Azerbaijan, October 13. On Thursday, October 9, the State Secretary of the Norwegian Ministry of Foreign Affairs, Maria Varteressian, and Latvia’s Minister of Finance, Arvils Ašeradens, signed Memoranda of Understanding to implement the European Economic Area (EEA) and Norway Grants program through 2031, Trend reports.

Under this new funding period, Latvia will receive a total of 109.5 million euros in grant support.

“For Norway, the EEA and Norway Grants are among our most important contributions to a strong, secure, and united Europe. They are a cornerstone of our close and trusted partnership with Latvia — a partnership built on solidarity, mutual respect, and shared values. By deepening and expanding our cooperation, we are investing in the resilience of our societies and in the democratic values that unite us,” said State Secretary Maria Varteressian.

Harald Aspelund, Ambassador Extraordinary and Plenipotentiary of Iceland to Latvia, highlighted the importance of continued collaboration.

“At a time of complex challenges and geopolitical uncertainty, Latvia remains a close friend and ally in Europe. The EEA Grants have strengthened our mutually beneficial cooperation, and Iceland looks forward to continuing this partnership to support development, resilience, and closer ties between our countries,” he said.

Minister Ašeradens emphasized that the signing marks an important continuation of Latvia’s long-standing cooperation with Norway, Iceland, and Liechtenstein.

“The EEA and Norway Grants have consistently provided vital support for Latvia’s economic and social development — from strengthening business development, education, and research to promoting green innovation and social inclusion. In this new period, the funding will directly contribute to Latvia’s key national priorities — security, sustainability, and support for families,” he added.

In the new grant period, support will focus on three main priority areas.

43 million euros will be directed toward strengthening local development and resilience, including the construction of new shelters, upgrades to civil protection infrastructure, and the installation of generators to ensure energy continuity for essential services.

27.5 million euros will support green innovation, entrepreneurship, and the remediation of polluted sites.

15 million euros will go toward correctional services, including the construction of a new women’s prison and the expansion of rehabilitation programs for children with substance addictions.

As in previous periods, targeted funding will also be available for Latvian non-governmental organizations (NGOs), with 10 million euros allocated to the Civil Society Fund (formerly the Active Citizens Fund). The fund’s implementation will be fully managed by the Financial Mechanism Office established by the donor states in Brussels, without the involvement of Latvian institutions. Donor countries will select the fund operator from Latvia’s NGO sector.

The Memorandums of Understanding define financial allocations and the principles of program management. Following their signing, Latvia’s responsible ministries — in cooperation with national partners, NGOs, and donor-state representatives — will develop detailed program concepts for approval within three months.

Once approved, the program agreements will be finalized and signed bilaterally between Latvia and the donor states, launching the implementation phase, expected at the end of 2026 or early 2027. In parallel, Latvia’s Ministry of Finance is preparing the national regulatory framework to support program delivery.

The EEA and Norway Grants are provided by Iceland, Liechtenstein, and Norway to promote social and economic cohesion in Europe and to strengthen bilateral cooperation with beneficiary states.

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