Excellencies, Ladies and gentlemen!

It is my great pleasure to be here today by opening The Baltic Sea Region Bussiness Forum.

First at all I would like to thank for this opportunity to meet with you and to share some thoughts and ideas on further tasks and challenges that the Baltic Sea region will face the next coming years. If we look at the latest economic developments in the region and on the global scale as such - this forum takes place at the right moment.

We see the consequences of being driven by globalization. We see where we come short in the region. We see a clear need to be more competitive as a region and as a common European market.

The key question is: what can we do to be more adequate and, more responsive to the needs of the global markets. The most of the answers are to be provided by the business community. However, I see that there is a certain role that has to be played also by the Governments.

This role is to provide a regional framework conducive to business. This role is to set the key parameters and to create a competitive environment. I would like to mention just a few.

The first is values. If we talk about the Europe, I would like to stress, that Europe today more than any given day before this is the union of values, a union of solidarity between nations and people. Not just a common market in which we trade but also a common political space in which we live as citizens. Therefore I would really like to stress that political Europe and economic Europe do not live in separate rooms.

The same I would say on our region, here, around our Baltic Sea. All our contracts and business encounters must be based on the fundamental values of freedom, democracy and rule of law. It is crucial for our ability to be competitive in era of globalization. To thrive on globalization, not only to survive it.

The second is the economy itself. It is the question of our strengths and ability to take advantage of the new economic order in the best possible manner. It means we have to be able to see the opportunities, use them and avoid the risks.

Such risks as climate change or organized, transnational crime. The risks no country can handle on its own. These topics will become a more actual on the political and economical agenda.

We Baltic Sea region countries - the governments, the enterprises and the transnational companies acting in the region - have the responsibility toward our people to make this region as a flourishing example of the success story. Therefore we have to reach a common understanding on basic rules and regulations.

Only then the Baltic Sea region countries and Baltic Sea region enterprises themselves can make the transition from being a regional actor to becoming a global actor.

For reaching this ambitious goal, the Baltic Sea region has to become a real free trade zone. We have to have an environmental friendly maritime economy. And most of all - we have to achieve secure and responsible management.

I look at these three points as cornerstones of our common future, first of all I think about the clear need of common energy policy of the EU. True free market, responsibility towards environment and security are the key aspects of any sustainable energy policy in our region.

I know, it wouldn't be easy, but I ask each of you to bear in mind that we live in a new world. It means we have to show the ability to change the way of thinking.

It is especially true in case of our region and our common sea. Economic activity has grown substantially over the last 20 years. However it still has not been properly matched by environmental, sea safety and sea management efforts. It may be the best managed sea in the world; but there is always space for improvement.  It is only together that we can achieve results that are shared by all and are sustainable. There is much to be gained, but our economic development should be based on our ability to be responsible. Otherwise, instead of gaining we can lose a lot.

Finally, ladies and gentlemen. I would like to speak about us. About Latvia. We are a small country. But we can achieve great things in cooperation with others. We have knowledge how to overcome the economic difficulties, how to set up short term tasks, and how to draw a long term perspective. And, most of all, we have an ability and resolve to be responsive to challenges.

We have a unique combination of a flexible, well educated labor market, promotable tax system and very specific knowledge of the way of doing business in the EU neighboring countries. This makes the Latvian economy very adaptable in the new international economic order and very European at the same time. It makes us competitive on the global scale.

Ladies and gentlemen,

I am optimistic about our region. I am not selling it short. Instead, I am sure - we are ready to leave our mark on the future of Baltic Sea region as a well known and respected global player.

I wish you a fruitful discussion on such essential topics as energy policy and global competiveness.