OECD Regulatory Policy Outlook 2025

Since regulatory impact assessment (RIA) was made obligatory for all draft legal acts submitted to Cabinet, including subordinate regulations in 2009, Latvia has continued to adjust RIA requirements and introduced guidance to support institutions. Accordingly, RIA should be conducted early in the policy-making process and undergo public consultation. Latvia’s RIA methodology assesses mainly financial, budgetary, and administrative costs, as well as broader environmental and social costs. New requirements to assess impacts on gender equality and poverty were introduced in 2021.

Through the “Government Modernization Plan 2023-2027”, the government has set out measures to improve the quality of policy planning and regulation, in particular through data-driven policymaking and introducing a methodology for ex post evaluation. Currently, ex post evaluation is used ad hoc and required for only some subordinate regulations and not for primary laws. Latvia has undertaken periodic reviews comparing regulation across countries, regions, or jurisdictions, and thematic in-depth reviews.

Building upon existing processes, Latvia has taken steps to improve stakeholder engagement practices. In 2021, a centralised portal was created to allow stakeholders to participate in all government consultations more easily, aiding transparency and accessibility. In 2022, voluntary guidelines on engagement and effective public participation were developed and issued to government departments.

The main responsibilities for co-ordinating regulatory policy and promoting regulatory quality are shared between the Ministry of Justice and the State Chancellery. The Ministry of Justice issues opinions regarding draft legal acts and planning documents and provides methodological assistance. The Chancellery, through its Legal Department, focuses on compliance with the rules for drafting legislation, including the obligation to conduct RIA and engage relevant stakeholders, and also co-ordinates the development and application of uniform rules of regulatory drafting.