AGP Executive Report

EU Sanctions Shake-Up: The EU extended Russia-related sanctions for 3 years but removed Russian billionaires Alisher Usmanov and Mikhail Fridman from the bloc list; Latvia abstained after initially opposing, while Lithuania and Estonia moved to impose national sanctions and declare them undesirable, citing security and continued support for Russia’s war. Baltic Defence & Drones: Baltic states are pushing the EU for about €500m more for counter-drone defence, while a report warns the region lacks enough drone developers and that some local forces are slow to adopt domestic systems. Rail Baltica Funding: Estonia, Latvia and Lithuania say Rail Baltica needs €10bn and a longer timeline, effectively easing the original 2030 deadline. Latvia Fuel Relief: The Saeima approved a temporary cut in fuel excise duty from Oct 1 to Dec 31, aiming to lower prices by about 8 cents per litre. Riga Culture & Business: BODIES Evolution opens in Riga (Sept 17–Dec 17), and dots. and HOLON plan to seek €30m for autonomous transport pilots and an autonomous vehicle manufacturing facility in Latvia. Crime in Riga: Police say a woman was murdered by a relative in the Jugla area and the suspect was arrested the same day.

Baltic Drone Funding Push: Latvia, Estonia and Lithuania have asked the EU for an urgent €500 million to boost anti-drone defenses, warning that Russian drone incursions and hybrid attacks could test NATO’s eastern flank. Latvia on EU Sanctions Row: Latvian PM Andris Kulbergs says Latvia was the only EU country to oppose lifting sanctions on Russian oligarchs Alisher Usmanov and Mikhail Fridman, arguing the Baltic states should have kept a unified position. EU Sanctions Backlash: The EU’s delisting deal is drawing backlash after France pushed for the change, with critics saying it undermines support for Ukraine and signals “blackmail” pressure. UN Ceasefire Call: 51 countries and the EU backed a UN statement urging Russia to accept a full, immediate ceasefire and return detained Ukrainians, while the US did not join. Latvia–France Nuclear Talks: Riga says France has agreed to open negotiations for Latvia to join France’s nuclear deterrence initiative, as part of broader European security cooperation. Ukraine Winter Warning: Ukrainian lawmakers in Canada urged more help for energy resilience as Russia targets power and water infrastructure ahead of winter.

EU Sanctions Showdown: Latvia’s PM says it was the only EU country to oppose delisting Russian oligarchs Alisher Usmanov and Mikhail Fridman, after the bloc extended Russia-related personal sanctions to 2029 but removed the two men in a “difficult compromise.” Ukrainian Pushback: Ukraine called the delistings “shameful and unjustifiable,” warning the EU risks weakening pressure on Moscow. Baltic Drone Funding: Estonia, Latvia and Lithuania have asked the European Commission for €500 million to strengthen drone defences, warning Russia could test NATO’s resolve on the eastern flank. Latvia Cybercrime: Latvian police arrested a 23-year-old suspected of hacking at least two companies, stealing personal data and attempting extortion. Security Spillover: Poland put ground forces on standby and scrambled jets after a Russian Mi-8 helicopter briefly entered Polish airspace near Braniewo. Local Impact: Salaspils kindergarten reports dozens of illness cases of unknown origin, with norovirus confirmed in two cases. Business & Tech: A Latvian trade mission has started in the US, with meetings in New York, Los Angeles and San Diego, including defence and dual-use tech firms. Riga Airport Development: Riga Airport has launched a tender for RIX Airport City hotel and office projects.

EU Sanctions Showdown: The EU agreed to extend Russia sanctions for three years but remove Russian oligarchs Alisher Usmanov and Mikhail Fridman from the blacklist after France-led pressure and a last-minute Latvia shift from veto to abstention. Latvia’s Response: Latvian PM Andris Kulbergs said Riga “stood to the end” but chose a compromise, while Latvia is preparing national sanctions against the two men. Ukraine Pushback: Zelensky called the delistings “self-defeating and counterproductive,” warning Russia is using the move to gain impunity as attacks continue. EU Economic Pressure: Valdis Dombrovskis urged EU capitals to beat “sanctions fatigue” and keep economic pressure on Moscow. Riga Angle: The sanctions fight is now tied to Latvia’s Oct. 3 parliamentary election, with President Rinkēvičs warning of an “alarming” period ahead of possible cyber and information disruption.

EU Sanctions Standoff: Latvia has blocked an EU compromise to lift sanctions on Russian-linked oligarchs Alisher Usmanov and Mikhail Fridman, arguing sanctions must be strengthened, not weakened. Brussels Deadline Pressure: EU ambassadors resumed talks in Brussels after failing to reach unanimity, with the wider sanctions package covering about 3,000 targets set to expire unless all 27 agree. Latvia’s Position: Prime Minister Andris Kulbergs said a 36-month extension of the sanctions regime is acceptable, but not if it comes with delisting the two men. Ukraine War Update: Ukraine says it hit a Russian drone storage and launch site in Oryol region, damaging launchers and UAV facilities. Security Warnings: European intelligence officials warn Russia could test NATO “within months, not years,” as European leaders debate how to respond. Riga Business & Infrastructure: Riga Airport begins the next phase of RIX Airport City, launching a competitive process for a hotel and office development. Local Economy & Tech: Datlex group expands after Digitex buys a 90% stake in InfoStrategy, boosting business intelligence and data analytics capacity.

EU Sanctions Deadlock: Latvia blocked a last-minute EU deal to renew Russia-linked sanctions, after France and Slovakia pushed to delist oligarchs Alisher Usmanov and Mikhail Fridman; ambassadors will reconvene early Tuesday as the measures risk lapsing at midnight. Russia-NATO Tensions: NATO is reinforcing its eastern flank as European spy chiefs warn Russia could “test NATO” within months, including drones, false-flag provocations or limited incursions; Baltic officials stress there’s no sign of an imminent attack. Latvia Defense Procurement: Latvia will buy Excalibur Army’s Morana 155mm self-propelled artillery instead of BAE Systems’ Archer, citing better pricing, faster delivery, and more involvement for local industry. Air Safety Alert in Kraslava: A cell-broadcast warning was issued for a possible air threat in Kraslava municipality, then ended shortly before midnight. Mobility in Europe 2030 (Riga): A high-level Riga event urged faster work on climate-neutral, resilient, and secure mobility systems, including military mobility. Start-up Push in Latgale: Rēzekne will host the StartUP Festival on 9 October to grow Latgale’s start-up ecosystem beyond Riga.

Start-up Push in Latgale: Rēzekne will host the StartUP Festival on 9 October, bringing founders, investors, universities and support groups together to help Latgale ideas grow and reach export markets, with sessions on early funding, AI for business building, and investor criteria. Digital Telecom Upgrade: Bitė Group is creating a new Digitalization division led by CDO Gytis Breikštas, aiming to shift up to half of key customer operations to self-service channels within 2–3 years. NATO-Russia Warnings: European intelligence chiefs say Russia could test NATO “within months,” including possible drone/missile strikes or limited incursions; Latvia’s security service says there are no signs of an imminent attack, urging calm. Latvia’s Defence Procurement: Latvia has selected Excalibur Army’s Morana 155mm wheeled howitzer, citing price, delivery terms and industrial participation over the Swedish Archer option. Economy Watch: The IMF warns Latvia faces slowing growth and fiscal pressure, urging a credible medium-term budget plan and faster reforms. Politics & Voting: More than 10,000 people signed a ManaBalss.lv initiative to cut Saeima MPs from 100 to 70. Banking Results: Latvia’s banks posted €205.3m profit in H1 2026, down 2.9% year-on-year. Weather: Rain is expected often this week, with heavier downpours in Latgale and Sēlija and cooler temperatures. Riga Travel & Mobility: Ryanair plans to grow in Riga Airport this winter, adding 40,000 seats and 16 routes. EU Red Tape Drive: 13 EU countries, including Latvia, back a “legislative deep-cleaning” push to review and cut burdensome EU rules.

NATO Security Watch: European intelligence chiefs warn Russia could “test” NATO within months, not years, via drones/missiles, sabotage, false-flag provocations or even a limited incursion; Latvia’s security chief says there are no signs of an imminent attack, but the risk of hybrid escalation is growing. Latvia’s Drone Readiness: Latvia’s president Edgars Rinkēvičs says Europe is falling behind in drone and aerial warfare and that air-defence gaps could be a serious challenge if Russia escalates. Latvia in the JEF Loop: Canada has formally applied to join the UK-led Joint Expeditionary Force, which already includes Latvia and aims to strengthen NATO’s northern flank and crisis response. Local Economy—Germany Ties: Latvia’s trade missions in Berlin highlight new investment momentum: German projects worth over EUR 600 million, plus cooperation talks in life sciences and medical tech. Russian Voting Claims: Russia’s foreign ministry alleges intimidation of Russian voters in Latvia and Estonia ahead of Duma elections. Sports—Riga Region in Focus: Latvia’s U22 beach volleyball team won gold at the European Championships; and Latvia is mentioned in wider Baltic sports coverage, including volleyball and basketball results.

Latvia–Germany Business Ties: A LIAA trade mission in Berlin (Sept 14–17) brought 54 Latvian firms and institutions to meet German investors and partners, with two top projects now put at over EUR 600 million in planned value, spanning energy, defence tech, autonomous mobility and space. Health & Life Sciences: A separate LIAA delegation also pushed Latvian medical technologies and digital health into Germany, focusing on joint product development and clinical research at Berlin-Buch. Security Watch: Latvia’s president Edgars Rinkēvičs warns Europe and NATO are falling behind drone and air-war developments in Ukraine, saying some defences could become outdated within months and that many allies may struggle even with a limited missile use. Energy Snapshot: Eurostat reports 54.1% of EU electricity in Q2 2026 came from renewables; Latvia led with 97.7%, driven by hydropower and solar. Sports (Riga-linked): Latvia advanced in men’s European volleyball after beating Turkey, setting up a tough round-of-16 vs Poland.

Drone & air-defence warning: Latvia’s President Edgars Rinkēvičs says Europe and NATO are not keeping up with Ukraine’s “lightning speed” drone warfare, warning that current countermeasures could be obsolete by mid-2027 and that many allies can’t reliably repel a missile strike. Russian hybrid pressure: Poland scrambled jets four times in a week after Russian drone provocations, while Moscow claims Latvia and Estonia intimidate Russians trying to vote in the Duma election. Latvia in the spotlight: Latvia says most NATO allies can’t cope with a Russian missile attack, and it has also banned Russian NHL star Alexander Ovechkin over a pro-Putin political ad. Energy & resilience: EU renewables hit 54.1% of electricity generation in Q2 2026 (Latvia 97.7%), while Ukraine received 2,300+ tons of energy equipment from partners in 27 countries, including Latvia. Local security cooperation: Latvian defence/dual-use firms met German industry and defence officials in Berlin to plug into supply chains. Travel & borders: EU entry/exit system (EES) rollout is being paused by nine countries for the rest of 2026, as queues and missed flights keep causing backlash.

Drone Readiness Warning: Latvia’s President Edgars Rinkēvičs says Europe and NATO are falling behind the “lightning speed” of drone and aerial warfare in Ukraine, warning current air-defence plans could be outdated within months and that many countries may struggle even against a limited missile strike. EU Energy Update: Eurostat reports renewables generated 54.1% of EU electricity in Q2 2026, with Latvia leading at 97.7% (mostly hydro and solar). Latvia-Russia Entry Ban: Latvia has banned Russian NHL star Alexander Ovechkin after his appearance in a Putin-aligned political ad, alongside a separate blacklist move involving Kremlin-connected businessman Umar Kremlev. Border Security: Lithuania says it found 12 tunnels on the Belarus border that could be used for illegal migrant crossings, and is testing new detection tools. Latvia-Ukraine Support: Ukraine received 2,333 tonnes of energy equipment from 27 countries, including Latvia, to repair critical infrastructure ahead of winter. Business & Defence Ties: Latvian defence and dual-use firms met German industry leaders in Berlin to plug into supply chains and joint development. Sports (Riga/Latvia angle): Latvia beat Turkey to reach the knockout stage of the men’s European volleyball championship, where they face Poland next.

Latvia’s Security Warning: President Edgars Rinkēvičs says Europe is falling behind on drone and aerial warfare after Ukraine, warning many NATO states can’t reliably repel a missile attack if the conflict spreads. Russian Grain Pressure: Latvia is moving to tighten rules on Russian grain transiting through Baltic ports, including raising rail fees and considering higher tariffs, as grain flows rise sharply. Election-Period Air Defences: Germany plans to send Eurofighters to Latvia to protect airspace during the election period amid drone-incursion risks. Ovechkin Entry Blacklist: Latvia has banned NHL star Alexander Ovechkin from entering the country over his pro-Putin political ad, adding him to an entry blacklist. Canada Joins JEF Talks: Canada has formally applied to join the UK-led Joint Expeditionary Force, which already includes Latvia, as Ottawa seeks to diversify defence ties. Sports—Latvia in 3x3: Latvia advanced in the FIBA 3x3 U23 World Cup, sweeping Pool B and booking quarter-finals spots. Energy Snapshot: Eurostat reports renewables generated 54.1% of EU electricity in Q2 2026, with Latvia at 97.7%—one of the highest shares in the bloc.

Latvia-Russia Trade & Security: Latvia will join Ukraine and the UK in verifying the origin of Russian grain transiting through Baltic ports, with checks aimed at stopping grain stolen from occupied Ukrainian territories. Defence Procurement: Latvia has chosen Czech Morana 155mm wheeled self-propelled howitzers over Sweden’s Archer, citing lower cost and faster delivery, while also boosting involvement of the local defence industry. Elections & NATO Readiness: Extra NATO fighter jets are set to reinforce Latvian airspace protection during the Saeima election period, as drone incidents keep raising concerns on the eastern flank. Cybersecurity: A commission report says the CSDD data breach was enabled by multiple cybersecurity failures, including weak testing, insufficient network protection, and missing multi-factor authentication. Economy & Business: Luminor granted EUR 1.5m in leasing financing to Mūsa Mežciems to expand its demo vehicle fleet, and Latvijas Banka issued a licence to Velvian SIA to operate as a payment institution. EU Mobility Forum in Riga: An EESC forum in Riga focused on making Europe’s mobility more sustainable, resilient, and ready for military mobility needs.

Latvia–Russia Tensions: Latvia’s Saeima has adopted urgent amendments to the Railway Law to speed up higher rail infrastructure fees for Russian grain transit, cutting the notice period from two months to two weeks and allowing LatRailNet to consider increases up to 300% until Dec. 31, 2026, with any extra revenue earmarked for Ukraine’s defense. Border Security & Migration: Lithuania says it found 12 tunnels from Belarus intended for illegal border crossings, and Latvia has also been dealing with similar concerns as Belarus is accused of using migration as a hybrid tool. Sanctions & Diplomacy: U.S. envoy John Coale met Latvian leaders in Riga, discussing security on the eastern border, illegal migration, and efforts to free political prisoners in Belarus; Latvia backs stronger EU sanctions. Entry Ban: Latvia has indefinitely banned Russian NHL star Alex Ovechkin and boxing official Umar Kremlev from entering the country after Ovechkin appeared in a Putin-aligned political ad. Culture & Media: The Saeima backed changes requiring streaming platforms serving Latvia to invest 3.5% of their local on-demand revenue in Latvian-language or European audiovisual works. Aviation: Ryanair says it wants to double passenger numbers across the Baltic region over five years, banking on airBaltic’s restructuring and fleet cuts.

Latvia’s Election Security: Germany will deploy four Eurofighter jets to Latvia’s Lielvārde air base for about a week in late September/early October to help protect airspace during the Oct. 3 parliamentary election, after repeated drone incursions in the Baltics. Regional Military Tensions: Belarus is running four-day drills near the Suwałki Gap with tanks, artillery and drone units, focused on countering simulated sabotage and reconnaissance—raising alarm for land access to Latvia, Lithuania and Estonia. Latvian Justice: A criminal case tied to former Welfare Minister Reinis Uzulnieks’ drunk-driving incident has been sent to prosecutors, who will decide whether to bring charges. Culture & Media Policy: Saeima-backed changes would require major streaming platforms to invest 3.5% of Latvia on-demand revenue into Latvian-language or Latvian film/European audiovisual works. Transport & Economy: Ryanair plans to double passenger numbers across the Baltic region over five years, targeting 11 million seats annually by 2031, as airBaltic restructures. Local Life: Riga has the longest micromobility network in Latvia, with 170.4 km of bike and pedestrian paths recorded in 2025. Business: Luminor approved a EUR 6.3m loan to Livonia Print for new equipment to boost export capacity. Tech/Startups: BirdyChat rebrands as Balsio and launches in Latvian, targeting small professional teams.

Latvia-Ukraine Grain Security: Ukraine’s MFA says it welcomes Latvia’s preparations to tighten controls on Russian grain transit, including higher tariffs and closer monitoring to stop stolen Ukrainian grain being moved via Latvian ports. NATO Air Policing & Drone Threat: Germany will deploy four Eurofighter jets to Latvia for about a week to help secure Latvian airspace amid ongoing drone incursions and hybrid risks. Arctic & Defence Cooperation: Canada has formally applied to join the UK-led Joint Expeditionary Force (JEF), a rapid-response group that includes Latvia, signaling deeper European security ties. EU Policy Update: The European Commission welcomed a new AI Important Project of Common European Interest (IPCEI) involving 19 member states, including Latvia, to develop shared AI services. Local Riga Infrastructure: Tet and Riga municipality continue work to identify and remove non-compliant overhead telecom lines. Sports (Riga): Latvia’s men’s volleyball team faces Türkiye in a decisive European Championship match, with knockout hopes on the line.