Foreign investments in Latvian company equity capital increase by €604 million this year

Foreign investments in the equity capital of Latvian companies increased by €603.825 million in the first six months of this year, according to data from Lursoft IT. The sharpest growth was recorded in February, when investments rose by €653.613 million, while January and June saw slight declines.

The main driver of this increase was the Dutch-owned company SIA Ingka Investments Latvia, which boosted its equity capital from €143.926 million to nearly €772.930 million. The company manages forest land – this year it held 74,422 hectares, and last October it acquired an additional 135,000 hectares from Sodra Forest Latvia. Its strategy includes further forest acquisitions and supplying wood resources to the IKEA supply chain. In February, another Ingka group company, SIA Ingka Investments Management, also increased its equity by €6.5 million.

This year's first-half growth is the largest in the last ten years. For comparison, the increase in the first half of 2024 was €319.71 million, and in 2025 it was €277.54 million. The highest number of foreign investment transactions occurred in April (681), while the lowest was in June (410).

By country, the Netherlands saw the fastest growth – an increase of €644.71 million. It was followed by Lithuania (+€57.38 million), Estonia (+€23.86 million), Liechtenstein (+€22.63 million), and Cyprus (+€14.89 million). In total, investments in equity capital come from 142 countries, and four countries have accumulated amounts exceeding €1 billion: Sweden (€4.498 billion), the Netherlands (€1.374 billion), Estonia (€1.180 billion), and Lithuania (€1.032 billion).

Meanwhile, Russian investments continue to decline – from €722.962 million in 2016 to €224.075 million now. In the first half of this year, Russian investments decreased by another €6.973 million, with 285 transactions registered. Investors from Lithuania (419 transactions) and Estonia (354 transactions) were much more active.

Interestingly, India ranks third by number of transactions with 273, but the investment amount increased by only €534,830 to €6.267 million. The largest Indian investments are in wholesale of pharmaceutical products (€1.196 million), real estate (€463,000), and business consulting (€444,940).