Latvian Prime Minister Evika Siliņa has submitted a proposal to amend the Law on the Management of Public Persons' Capital Shares and Capital Companies. The current law allows for only one holder for state capital shares in any one capital company, which Siliņa argues limits the governance and strategic oversight of significant state enterprises. She advocates for a structure where multiple institutional stakeholders can share the responsibility of managing the capital shares, thus enhancing the decision-making process by incorporating diverse perspectives from various sectors.

In her remarks, Siliņa emphasized the need for balanced governance in strategically significant companies by allowing several entities to take on the role of capital share holders. This initiative aims to improve collaboration among different institutions, thus providing a more comprehensive approach to management practices for state investments. She also proposed that the Cabinet of Ministers be tasked with determining the procedures for collaboration among these multiple holders to ensure effective governance.

The Latvian Parliament, Saeima, had previously supported changes to this law at the end of January during its first reading, indicating a legislative movement towards reforming the governance structure of state-owned enterprises. If adopted, these changes could pave the way for a significant shift in how state capital is managed and could enhance the efficiency and accountability of public investments amidst increasing demands for transparency in public governance.