Promote International Investment for
Mutual Benefit and Win for All

I am truly delighted to welcome all the distinguished participants and visitors of the China International Fair for Investment and Trade. It is honour and pleasure for me to visit Xiamen upon the invitation of the CIFIT.

I believe one of the best ways to think of the global economy is as of a two-way street: there are flows - or lanes - in two directions: flow of goods, capital, and investments. It is a joint, interdependent mechanism and cannot work properly if one of the lanes has slowed down.

Countries are striving to open up their markets and to create favorable conditions for full integration into the system global trading and investment. That speeds up the dynamics of both big and small economies – and growth rates of China and Latvia are

well-matching examples for it.

This year China International Fair for Investment and Trade has put forward two road signs - “go global” and “attract FDI”. And that could not be more precise - China is a good example of following these road signs carefully: its policy of ongoing economic reform and increasing market openness has resulted in record levels of economic growth and development, raise in trade and investment, as well as significant developments in the regions. By strengthening the private sector, promoting investments, turning to manufacturing, China strengthens its role as one of the leaders in the global world.

Moreover, China is an excellent example of becoming a growth source for its trade partners. The EU-China exchange of goods and services has increased dramatically in the past few years. The European companies have benefited considerably from their investments in China. Within the framework of the new Partnership and Cooperation Agreement China and the EU are building multilane highway for future growth and cooperation. Challenges can and always will appear from the side roads, but China and the EU need conditions for stable and prosperous economies.

Matchmaking is considerable part of the CIFIT agenda. Organizing matchmaking symposiums, China has discovered new investment opportunities, found new business partners, enhanced bilateral and multilateral cooperation.

Latvia is a good “matching point”, talking in the terminology of the CIFIT.

Latvia is a strategic link between the two regions: the East and the West. Small but swift, Latvia has the fastest growth rates in Europe: since 1996, the average GDP growth rate amounted to 8.5% annually, hitting 11.9% in 2006. While China is one of the world’s largest recipients of the foreign direct investment, with FDI/GDP ratio 30% in 2006, Latvia enjoys one of the highest recognitions among regional and global FDI contributors.

We recognize the major driving force of Latvia’s economy – the FDI stock has been doubling every 4–5 years. No limitations to currency conversion and free flow of capital are just some preconditions assuring investors to target Latvia.

Latvia offers high transit / value-added logistics operations:

• The Government of Latvia has created four special economic zones.  Three of them are located in the ice-free ports, which have developed into regional centres of industrial activity.

• The largest and most modern airport in the region is located in Rīga – the capital city of Latvia – which could also serve as a new transit hub between Asia and Europe.

• The transport infrastructure - network of roads and railways - is compatible with the gauge of the Russian and Asian rail system.

• Last but certainly not least, Latvia is proud to have high-qualified and multilingual human capital that has gained expertise of the EU and Russian markets. 

Latvia is geographically privileged – it is located at the centre of strategically significant transportation flows connecting major world economies. Historically Latvia has been a transit point in both north-south and east-west directions.

The history repeats. In the conditions of the global economy and growing trade volumes between China and Europe it is necessary to search for faster and more profitable transport routes.

I believe today it is worth thinking about the creation of new transit route, connecting China and Latvia – the infrastructure for it is already existing. It is spreading through China, Kazakhstan, Russia and Latvia. This route will ensure faster delivery of goods and its expenses are compatible with the sea transport.

Latvia offers services for cargo logistics, delivering cargos to the EU without further customs formalities.

I see that future opportunities are not only related to transport and logistics, but also to industrial parks.

I wish success to all the visitors of the 11th China International Fair for Investment and Trade, to those who have come to Xiamen to think and act in the global world. I am sure this exhibition will give considerable boost to the industrial development of China and new possibilities for closer cooperation between China and Latvia.