On 28 January, the Cabinet of Ministers Republic of Latvia approved the implementation of the Social Economy Plan for 2026–2029. The plan will be coordinated by the Ministry of Welfare, and the Social Entrepreneurship Association of Latvia also participated in its development. The plan aims to promote the development of the social economy in Latvia by fostering social inclusion and access to the labour market, as well as by strengthening support mechanisms for social economy actors, including social entrepreneurs.

According to the definition of the social economy, its participants are associations, foundations, social enterprises and cooperative societies that meet the following criteria:

– they are private entities, independent of the public sector;
– they provide goods or services to their members or to society;
– people, as well as social or environmental objectives, are prioritised over profit;
– the majority of their profit is reinvested in achieving their social or environmental goals;
– they operate under a democratic (participatory) governance model.

In Latvia, the social economy comprises more than 29,000 entities, of which approximately one quarter are active. The largest social economy groups in Latvia are associations and foundations, including public benefit organisations, cooperative societies and social enterprises.

The plan envisages the implementation of measures across three lines of action: the institutional line (legal framework of the social economy, division of responsibilities, supervision), the target group line (access to the labour market and social inclusion), and the systemic line (development of systems that promote the social economy).

Learn more about the Ministry-approved document here!