Graf: State's inconsistent shareholder role has hindered state-owned companies

According to Grafs, the inconsistent actions of the state as a shareholder have held back the long-term development of public enterprises, and the current management model needs to change. He told LETA that an assessment of state-owned commercial companies, including national airline airBaltic and AS Latvijas valsts meži (LVM), shows the existing arrangement has become ineffective. With several ministries and politicians involved in shareholder decisions, the model has exhausted its potential.

Grafs singled out airBaltic as an example. He said that politicians' public comments about the airline have long served to escalate the situation, something private shareholders would not do. In his view, this reflects the broader lack of professional and consistent state action as a shareholder, which has hindered the development of state enterprises.

To address this, Grafs calls for a centralised, unified holder of state capital shares in commercial public companies. He reminds that the government declaration of Prime Minister Andris Kulbergs already includes plans to establish the Latvian Development Fund, which would take over centralised and professional management of state capital companies. However, Grafs stresses that a stated commitment alone is not enough; concrete steps are now needed to put the area in order.