Vaira Vīķe–Freiberga:

"Latvia and the Process of European Integration"

Address at the Norwegian Nobel Institute, 20 September 2000
Professor Lundestad,

Excellencies,

Ladies and gentlemen,

I am pleased to address you at the august Norwegian Nobel Institute, which symbolises the highest achievements and most notable contributions made for the benefit of humanity. It is most appropriate that the Nobel Peace Prize should be awarded in Norway, which has often proved its special role in ensuring and promoting peace all over the world.

My heartfelt thanks go to the Norwegian Atlantic Committee and its Secretary General, Mr. Chris Prebensen, for their crucial role in organizing this event.

My visit here is the first official state visit by a Latvian Head of State to Norway. The first state visit by Norway’s royal couple to my country took place two years ago. These high–level visits bear witness to the fact that the relations between our two countries are growing closer, and that they are assuming a new quality and dynamism.

The establishment of good relations between our countries has been made easier by the fact that Latvia and Norway, besides their relative geographical proximity and closeness to the sea, are united by common values and common ideals, as well as by many similarities in their historical heritage. Among these one might mention the influence of the Protestant ethic, which has helped shape our countries in the centuries that have passed since the Reformation.

At this stage of our history, our societies have established a broad consensus over the necessity of running a country based on free–market economic principles, democratic political institutions, the respect of human rights, and the rule of law.

These common values and ideals offer the most solid foundations for creating a family of secure, stable and prosperous nations that will eventually encompass the entire European continent. This once utopic dream has been made possible by the end of the Cold War, which had divided Europe into two opposing camps.

Ladies and Gentlemen,

Latvia suffered enormously from the ideological confrontations and armed conflicts that rent Europe asunder during the 20th century. For the whole second half of that century, we found ourselves cut off from the rest of Europe, in forced isolation behind the Iron Curtain.

Latvia regained its independence barely ten years ago, along with the possibility of building its own future. Our goal is the creation of a modern, inclusive, and cohesive society.

The Second World War, followed by 50 years of Soviet occupation, dramatically decreased the proportion of ethnic Latvians in their ancestral country, and markedly increased the proportion of Russophones. We are determined to remedy this imbalance with a well–thought–out programme of social integration, which should not be confused with forced assimilation. Social integration is a prerequisite to Latvia’s internal stability. We want to build a country whose inhabitants are loyal to their state, who share the same overriding values and goals, and who show respect and understanding for each other’s linguistic and ethnic diversity.

The official policies of the Latvian government encourage the full participation of all ethnic, religious and other minorities in all aspects of our society, without infringing on their personal freedoms. We are proud of the fact that our policy of social integration is working successfully and is actually being used as a model in other regions of the world.

As we work to create an integrated society within our national borders, we are also actively working towards integrating into a united Europe beyond our borders.

The renewal of our independence signalled our will to rejoin the community of free and sovereign nations. We wish to participate actively in the construction of a new and united Europe, free of artificial barriers and divisions. We stand on the threshold of a new millennium, ready to become equal partners in transnational decision–making, and eager to play an active role in global, Transatlantic, and European political and economic structures.

Ladies and gentlemen,

Relations between Latvia and the European Union have entered into a new phase. Since December of 1999, we have been in the process of active accession negotiations, which we plan to conclude by the end of the year 2002. It is our expectation that the EU will have completed the internal reforms needed on its part by that time, and will be prepared to accept the candidate states that are ready.

The EU’s member states have shown time and time again that countries with differing interests can resolve their differences at the negotiating table, and arrive at mutually acceptable compromises. The EU represents great economic opportunities, as well as serious economic challenges for the three Baltic countries. But ultimately, the benefits of an expanded market and uniform rules of competition can be expected to have a positive effect on the general population of the candidate countries.

Latvia has already made remarkable progress in catching up with its Western neighbours. We have reoriented the bulk of our imports and our exports from the East towards the West, although sometimes at the cost of economic dislocation and lost jobs. But our macroeconomic indicators look very promising and conform to the EU’s Maastricht criteria.

The three Baltic countries can be considered as a real example of success in the context of regional co–operation. We have successfully implemented a free trade agreement and are simplifying customs procedures between our countries.

The Baltic region shows very clearly how small countries with small populations and limited resources can reach a comparatively high level of welfare and technological development in a relatively short time.

Ladies and Gentlemen,

Globalisation will operate in part through regionalisation. In this context, let me say a few words about the development of the Baltic Sea Rim, and the role of this particular region in a broader European context.

The Baltic Sea region is emerging as a formidable force within the European economic market. Approximately 55 million people inhabit the region, which encompasses 10 littoral states adjoining a market with another 245 million inhabitants.

The ten Baltic Sea countries constitute close to 30% of Europe’s economic power. The region’s countries export almost one third of all Europe’s total output, which creates 16% of the world’s exports. The countries of the Baltic Sea area have a growing number of young and skilled workers who are both academically and technically educated. This is promising for the long–term development of the Baltic region, particularly in the high technology field.

In the Baltic Sea region, there are several sectors that can benefit particularly from regional co–operation. These include energy, transport, information technologies, telecommunications, natural resources, environment and nuclear safety, financial services, and cross–border trade.

Latvia and Norway are already co–operating within the framework of the Nordic Gas Grid project, and analysing the possibilities of integrating the Baltic gas grids into a common North European gas grid system.

The enlargement of the European Union will increase the importance of the Baltic Sea region on the EU’s agenda. With the accession of Sweden and Finland to the EU, this organization acquired a common border with Russia. This has increased the strategic and economic significance of North–eastern Europe.

While co–operation between the Baltic and Nordic countries has reached a high level, there are still many opportunities to make it even closer. A fine example of this is the 8–country model of co–operation between the Nordic countries and the Baltic States, which signals a new, more inclusive concept of collaboration.

Ladies and gentlemen,

As concerns our foreign policy, we have two fundamental goals — full membership in the European Union and NATO — which are the focus of our efforts and the main guides in establishing our priorities.

I am confident that in the 21st century, NATO will remain a pillar of the transatlantic security architecture, and am particularly grateful for Norway’s consistent support of NATO enlargement into the Baltic region.

Norway is an internationally recognised expert in peace mediation for conflicts occurring far beyond its borders. Latvia is doing its part in ensuring peace and stability in Europe, by contributing actively to European peacekeeping operations. Latvia has deployed military and police officers to Kosovo and Bosnia–Herzegovina, and taken part in the OSCE observers’ mission in Georgia.

In order to be properly prepared for full membership in NATO, the Latvian government is committed to increasing gradually the state’s defence allocations, so as to reach 2% of the GDP by the year 2003. The positive forecasts for our economic development permit us to believe that this ambitious goal is attainable with the appropriate efforts and continued commitment on our part.

Baltic co–operation in the sphere of defence has been particularly successful. Since we have the common goal of acceding to the EU and to NATO, it is also in our common interest to co–ordinate our foreign policy and defence activities. For several years, soldiers from the joint BALTBAT peacekeeping unit have been operating in Bosnia–Herzegovina. Our three countries have also established a common air defence monitoring system and a Baltic Defence College.

The assistance provided by Norway and other donor countries to these Baltic projects has been of the utmost importance, and our common projects will play a significant role in integrating the Baltic military structures into NATO’s security system. The military co–operation of the Baltic countries will also provide a good basis for their eventual contribution to NATO’s military capacity.

Ladies and gentlemen,

I firmly believe that the admission of Latvia and its Baltic neighbours to NATO will be to the advantage of the whole community of European states, by enlarging the space of European security and stability. In all logic, Russia too will benefit from the presence of stable, peaceful and predictable neighbours at its Western borders, as it has gained from bordering Norway over the last decades.

As a neighbouring country of Russia, Latvia is interested in the evolution of Russia as a democratic state with a functioning market economy, and which is open for a dialogue with the West. Latvia can serve as a valuable partner in the dialogue between the EU and Russia, and is ready to share the experience it has gained in its relations with that country.

Stability and predictability open new opportunities for trans–border co–operation, the fight against organised crime, the transparency of regulations and legal norms, and increased business and trade. I am convinced that everyone will gain from the expansion of the area of peace and stability, and from the eradication of obsolete, Cold War era stereotypes, outdated fears, prejudices and suspicions.

Ladies and gentlemen,

The globalised world is a new reality, where the influence and welfare of any State are determined by its level of integration into global processes. No less important are a country’s intellectual resources — its level of educational and technological development. Prosperity is becoming less and less dependent on the traditional indicators of power and influence, such as a country’s number of inhabitants, the scope of its natural resources, or the possession of nuclear weapons.

As we step over the threshold of the 21st century, we still carry with us a long list of serious problems and challenges that will require all our best efforts to be resolved. These include underdevelopment, poverty, diseases, environmental problems, arms build–up, organised crime, and international terrorism. Nuclear safety in particular concerns each country, regardless of its size or geographic location. The recent events in the Barents Sea have proved the necessity for close co–operation in this field.

Europe faces a further integration process. The continent has embarked upon serious and ambitious reforms, which are designed to make this integration possible. In order for these reforms to be successful, our leaders, like Alfred Nobel, founder of this great Institute, must be guided by the noblest of motives, with the betterment of humanity as their first and foremost consideration. This can only be achieved through Peace and "fraternity among nations" that your Institute’s annual prize so vividly recognizes.

Thank you.