Latvia's fintech sector has signed a cooperation agreement with a UK industry body during a trade mission to London aimed at strengthening bilateral links and investment flows, LETA reported on April 23.

The Fintech Latvia Association signed a memorandum of understanding with Innovate Finance, one of Britain's leading fintech industry bodies. The agreement is expected to strengthen knowledge exchange, foster joint initiatives and open business opportunities across both ecosystems.

The deal was concluded during Latvia's participation in the Innovate Finance Global Summit, a flagship event held during UK FinTech Week. A national delegation, supported by the Investment and Development Agency of Latvia, showcased Latvian fintech capabilities at the event and sought to expand the country's international footprint.

Latvian representatives used the platform to engage with investors, financial institutions and technology firms, while also attending industry discussions and networking events designed to attract partnerships.

Tina Luse, head of the Fintech Latvia Association, said UK-based firms exploring EU access might find Latvia's licensing environment particularly appealing.

Latvia has positioned itself as a small but active European fintech hub, with the sector benefiting from the country's EU membership, English-language business environment and strong digital infrastructure. Riga hosts a growing number of fintech companies, many of which serve both Nordic and Central European markets.

The UK has remained outside the EU single market since Brexit and UK-based fintechs seeking European regulatory access have increasingly looked to Baltic jurisdictions including Latvia and Lithuania, both of which offer streamlined licensing processes for electronic money institutions and payment service providers.

The Bank of Latvia has been active in promoting the country as a fintech destination, with fintech firms accounting for a growing share of financial services activity in recent years.