Latvia signs accession agreement with OECD

Latvian Prime Minister Maris Kucinskis (Greens/Farmers) and Angel Gurria, Director General of the Organisation for Economic Cooperation and Development (OECD), signed an agreement on Latvia's accession to the OECD in Paris today. 

After the agreement's signing and ratification by the parliament, Latvia will become the 35th member of the OECD. Lawmakers might vote on the agreement's ratification on June 16. 

Valdis Dombrovskis (Unity), the European Commission's Vice President from Latvia, took part in the signing ceremony as the Commission's representative. Latvia started accession talks with the OECD in 2013 when Dombrovskis was Latvia's prime minister. 

Kucinskis said at the signing ceremony that he is grateful to OECD member states for inviting Latvia to join the organisation. “This is a recognition of tenacious work Latvia has done as part of the accession process,” the Latvian prime minster said.

"It is a privilege, to join this ‘club of best practices.’ At the same time, we realise that along with this privilege we are also taking commitments and responsibilities," Kucinskis said.

The prime minister noted that this is only the beginning, as there is a lot for Latvia to achieve in the future. Latvia is determined to be an active OECD member in the organisation's efforts to find solutions to modern global challenges. Latvia is also ready to share its experience and know-how, Kucinskis said.

Dombrovskis also indicated that Latvia's work does not end with its accession to the OECD and that there is still a lot of work ahead. The European Commission's vice president thanked member states for supporting Latvia's admission to the organisation.

Gurria greeted Latvia on joining the OECD, praising its achievements during the accession process. The OECD secretary general also noted Latvia's significant progress on implementing the OECD's recommendations.

According to the Foreign Ministry, Latvia's accession to the OECD, the bloc of the world's 34 most developed countries, is expected to ensure serious benefits, including to improve Latvia's international credit rating. 

Latvian Foreign Minister Edgars Rinkevics (Unity) said earlier that after joining the OECD Latvia will still have a lot to do in several areas, including enhancing the oversight of its financial sector.

The OECD will analyse Latvia's experience of dealing with the economic crisis, Gurria said during the ceremony today.

On its way to OECD membership Latvia has done a significant work to implement reforms, clamp down on money laundering and corruption, and improve the management of state-owned enterprises. Latvia proved itself as being full of resolve. Latvia made significant progress in a short period of time. As the youngest OECD member, Latvia will be able to draw on the organisation's expertise. The OECD, in turn, will use Latvia's experience, becoming better and different, Gurria said.

One of the aspects the OECD might study as it analyses Latvia's experience is dealing with economic crises. Gurria indicated that Latvia was among those countries that managed to cope with the crisis most effectively and rebuild its economy. "The OECD has to analyse and study this," the OECD secretary general said.

"Latvia was hit severely by the crisis, still we were able to consolidate, pull ourselves together and make the necessary reforms," the prime minister said.

Member states of the OECD are also interested in Latvia's ability to mobilise forces and overcome economic challenges, said Kucinskis.

"Our ability to mobilise in difficult times is our great potential. It is my dream to transfer this mobilisation ability to domestic goals.”

In his words, Latvians are suppressing their self-confidence, being shy about themselves, feeling guilty about something. "We have to set clear goals and go for them," he said.