Latvia Extends ICT Procurement Moratorium Until Single Responsible Body Established

Moratorium Extended

Prime Minister Andris Kulbergs (AS) announced at a press conference after the Information Society Council meeting that the moratorium on large information and communication technology (ICT) procurements will remain in effect until a single responsible person is appointed. He noted that the working group has already saved approximately €5 million.

Lack of Control

The main issue has been insufficient oversight of ICT procurements – there was no central department to ensure system interoperability and assess public value.

Reform Plan

The Information Society Council supported proposals from Smart Administration and Regional Development Minister Edgars Tavars (AS) to improve state ICT project management and procurement. The plan includes 12 measures in three directions: strengthening digital governance, developing and consolidating ICT competencies, and improving the procurement system.

The goal is to introduce a unified approach to planning, evaluation, and oversight, as well as foster more open competition. State and municipal ICT procurements in 2025 reached almost €278 million, or over 9% of total public procurement.

Concrete Steps

Plans include establishing a system for evaluating and monitoring large projects, strengthening unified state ICT governance, and creating a public project overview. Shared competence centers will be developed, and ICT support functions consolidated.

The Finance Ministry will propose amendments to the Electronic Procurement System (EIS) regulations, setting a €140,000 threshold for software development services in e-catalogs. VARAM, together with the State Digital Development Agency (VDAA) and the Procurement Monitoring Bureau (IUB), will evaluate EIS ICT catalogs by October 1.

Moratorium History

Kulbergs initially imposed a 30-day moratorium on large ICT procurements, later extended. Restrictions do not apply to procurements up to €142,000.