PPP in Cesis

Today public private partnership plays a very important role in the overall economic development of the city or whole country. In fact, this kind of partnership has allowed implementing notable infrastructure projects in many countries all over the world.

The Cesis Municipality tries to find best ways in cooperation with local entrepreneurs who not only take thoughts about profit-making but feel responsible for the community or support for solutions of different problems Celebrating its 800th anniversary Cesis looks back in eventful history and sets targets for successful development in the future. One of the priorities of Cesis is tourism, especially cultural tourism attracting more and more visitors every year and brings in certain benefits. As the Municipality does not have enough resources for cultural activities as well as for renovation of infrastructure, here local entrepreneurs can play ever more relevant role. As we do not have long experience in implementation of PPP projects in our country, four municipalities signed five agreements on the pilot projects in small cities, two of them will be implemented in Cesis. In recent years Cesis has achieved a high rate of development. Although we upgraded streets, renovated schools, built new sport complex, and started building a new school, the needs are still big. For that reason private public partnership is good mechanism for sustainable development of the city. Cesis signed an agreement with the Latvian Investment and Development Agency to develop two pilot projects - street repair in Old Town and building a new kindergarten. 300 children are waiting for new premises. It is no longer possible to postpone solving those problems. The city has started negotiations with external experts who will work out a PPP model here in Latvia as the State does not have such experience. It is hoped that several projects will follow up. Most important gain from PPP is solving actual problems for the city by involving private investment and relieving stress on the municipal budget. This is essential impetus for development of entrepreneurship, consequently more work places will be established as PPP projects will be implemented by local entrepreneurs. As a result regional development and sustainability will be strengthened and Cesis will be attractive city not only for visitors but also for further investments.