Scholarly record
OPPORTUNITIES FOR LOCAL GOVERNMENTS TO FOSTER THE DEVELOPMENT OF BIOECONOMY INDUSTRIES IN LATVIA
Abstract
Business in the bioeconomy plays an important role in regional growth and balanced development of the country. Therefore, it is important that local governments stimulate business development. The Latvian Bioeconomy Strategy 2030 was approved in 2017 with the aim of rapidly developing bioeconomy industries based on efficient use of natural resources. Therefore, the aim of the present research is to examine one of the sections of the strategy - -Result-oriented motivation system for local governments- for the implementation of the strategic goal of the Latvian Bioeconomy Strategy 2030 - -Result-oriented, efficient and sustainable resource management- in Latvia. The research found that for the implementation of the bioeconomy strategy in Latvia, local governments have access to support measures for business promotion; however, a monitoring system has not been established and, therefore, there was no publicly available information on local government activities aimed at fostering economic activity in the regions. Besides, in 2020 compared with 2016, both the total number of enterprises and the number of newly established enterprises operating in bioeconomy industries decreased; moreover, half or more of the total enterprises operating in bioeconomy industries were located in the capital city or its vicinity, which hindered the balanced development of the country.
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