Anita Matisone, Natalja Lace

Proceedings of the 14th International Multi-Conference on Complexity, Informatics and Cybernetics: IMCIC 2023, pp. 162-167 (2023); https://doi.org/10.54808/IMCIC2023.01.162

Anita Matisone
Faculty of Engineering Economics and Management, Riga Technical University, Riga, Latvia

Natalja Lace
Faculty of Engineering Economics and Management, Riga Technical University, Riga, Latvia

Cite this paper as:
Matisone, A., Lace, N. (2023). Infrastructure Funding Gap in Baltic States. In N. Callaos, S. Hashimoto, N. Lace, B. Sánchez, M. Savoie (Eds.), Proceedings of the 14th International Multi-Conference on Complexity, Informatics and Cybernetics: IMCIC 2023, pp. 162-167. International Institute of Informatics and Cybernetics. https://doi.org/10.54808/IMCIC2023.01.162

It is wildly acknowledged that the infrastructure level significantly impacts any country's economic growth perspectives and social welfare. The development and even maintenance of the existing infrastructure require high financial investments with a long repayment period. Also, to limit monopoly in the infrastructure networks, there is a line between a free market and a regulated market providing these services. Therefore, infrastructure finance is very complex.
The Baltic States substantially benefitted from EU Cohesion money in improving and maintaining their infrastructure in the last decades. The shift in EU funding priorities (starting from the planning period 2021-2027) from the traditional infrastructure projects to supporting smarter and greener investments, besides other factors, will lead to a substantial funding gap. The study is devoted to assessing the amount of necessary funding in the Baltic States and identifying the factors which could potentially attract more private investors in the infrastructure projects in Baltics.