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Latvia Objective 1 Programme 2004-2006

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Latvia Objective 1 Programme 2004-2006 LLAATTVVIIAA Single Programming Document Objective 1 Programme 2004 – 2006 Riga 2003 Single Programming Document for Latvia Objective 1 Programme 2004-2006 Table of Content 1. Introduction..............................................................................................................13 2. Analysis....................................................................................................................15 2.1. General Description of the State.......................................................................15 2.1.1. Geographical Situation...............................................................................15 2.1.2. Administrative Division.............................................................................15 2.1.3. Demographic Situation ..............................................................................16 2.1.4. Quality of the Environment and Natural Resources ..................................16 2.2. Macroeconomic Context...................................................................................22 2.2.1. GDP Dynamics ..........................................................................................22 2.2.2. Inflation and Monetary Policy ...................................................................23 2.2.3. Fiscal Policy...............................................................................................24 2.2.4. Balance of Payments..................................................................................25 2.2.5. Investment in the Latvian Economy ..........................................................27 2.2.6. Employment...............................................................................................28 2.3. Development of Sectors of Economy ...............................................................31 2.3.1. Primary Sector ...........................................................................................35 2.3.2. Secondary Sector – Industry ......................................................................36 2.3.3. Tertiary Sector – Services..........................................................................38 2.3.4. New Growth Sectors: Preparing the Ground for a Future Growth of Knowledge Based Economy................................................................................39 2.4. Development of Entrepreneurship ....................................................................41 2.4.1. Business Environment ...............................................................................41 2.4.2. Competitiveness (Movement towards Knowledge Economy) ..................43 2.4.3. ICT Solutions for Business ........................................................................46 2.4.4. Conformity with Market Standards and Requirements in the Area of Environment Protection, Work Safety and Consumer Protection .......................46 2.4.5. International Markets.................................................................................47 2.5. Labour Market and Human Resource Development ........................................49 2.5.1. Employment and Unemployment ..............................................................49 2.5.2. Education, Training and Development of Workforce................................57 Higher Education and Science.........................................................................57 Initial Vocational Education and Training.......................................................61 2 Single Programming Document for Latvia Objective 1 Programme 2004-2006 Adult Continuing Training...............................................................................63 2.5.3. Promotion of Social Inclusion ...................................................................65 2.5.4. Gender Equality .........................................................................................68 2.6. Infrastructure.....................................................................................................71 2.6.1. Transport....................................................................................................71 Road Transport.................................................................................................72 Railway ............................................................................................................77 Seaports............................................................................................................77 Airports ............................................................................................................79 Public Transport...............................................................................................79 Transport System Development in the Riga City ............................................80 2.6.2. Information Society and Information and Communication Technologies 82 Access to Telecommunications and Internet ...................................................84 2.6.3. Environmental Infrastructure.....................................................................88 Water Services .................................................................................................88 Waste Management..........................................................................................89 2.6.4. Energy Sector.............................................................................................94 General Information and Main Indicators........................................................94 Electricity.........................................................................................................97 Heat Supply......................................................................................................97 2.6.5. Social Infrastructure.................................................................................103 Health Infrastructure ......................................................................................103 Education Infrastructure.................................................................................107 Social Services Infrastructure ........................................................................111 2.6.6. Tourism and Heritage of Culture and History .........................................115 2.7. Development of Rural Territories, Agriculture, Forest Sector and Fisheries.119 2.7.1. Development of Rural Territories............................................................119 Utilisation of Land .........................................................................................119 Rural Infrastructure........................................................................................120 Population and Employment..........................................................................120 2.7.2. Agriculture and Processing of Agricultural Products ..............................123 Development of Agricultural Production.......................................................123 Processing of Agricultural Produce ...............................................................125 Human Resources ..........................................................................................126 2.7.3. Forest Sector ............................................................................................128 3 Single Programming Document for Latvia Objective 1 Programme 2004-2006 Forestry ..........................................................................................................128 Timber Industry .............................................................................................129 2.7.4. Fisheries ...................................................................................................132 Fishing............................................................................................................132 Aquaculture....................................................................................................134 Fish Processing ..............................................................................................135 2.8. Balanced Development of Territories.............................................................139 2.8.1. Kurzeme...................................................................................................142 2.8.2. Latgale......................................................................................................146 2.8.3. Vidzeme ...................................................................................................148 2.8.4. Zemgale....................................................................................................152 2.8.5. Riga Region .............................................................................................154 2.9. Experienced Gained from Past Assistance .....................................................157 2.9.1. Phare Programme.....................................................................................157 Phare National Programme............................................................................157 Phare Economic and Social Cohesion ...........................................................157 2.9.2. SAPARD..................................................................................................160 2.9.3. ISPA.........................................................................................................161 3. Strategy ..................................................................................................................162
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