Pakistan Journal of Criminology

Vol. 15, No. 04, October-December 2023 (49-67)

Forecasts of Long-term Progress in the Socio-cultural Sphere in the

Context of Combating Economic Crime

Aldona Kipane1, Andrejs Vilks2 & Anatolijs Krivinch3

Abstract
The relevance of the study is stipulated by the need to revise the strategy of
combating economic crime in Latvia in the context of sustainable development of
the socio-cultural environment. The study is aimed at revealing specific aspects of
crime in the Latvian economy, identifying its main causes and mechanisms of
functioning. The article uses methods of statistical analysis, analogy and
generalization, as well as formal legal and formal logical approaches. The study
shows that the development of cultural space is a key aspect of the strategy for
sustainable development of the socio-cultural environment in Latvia. It is concluded
that the development of cultural space and the fight against economic crime in
Latvia require an integrated approach, including the preservation and development
of cultural values, sustainable attention to environmental aspects with the use of
modern technologies to improve law enforcement.

Keywords: Cultural Heritage, Socio-Economic Development, Security

Culture, Corruption, Artificial Intelligence.

Introduction
Economic crime, which is a serious social problem, threatens sustainable
development and socio-economic well-being. Corruption and the shadow economy
are manifested in different countries, especially during periods of crisis and
transformation in society. In today’s environment, economic crimes have a real
negative impact on the production sector, the ability to attract investment and the
normal functioning of financial and business structures.
For a deeper understanding of organized crime, it is necessary to take into
account the multifactorial nature of its origin and impact on the socio-cultural
environment. It is important to bear in mind that ignoring these aspects may simplify
the analysis of the problem and lead to an underestimation of the scale of the
problem. The situation in Latvia serves as an example of the fact that traditional
economic standards are not effective, and a new economic culture has not yet been
formed. All this is accompanied by a lack of sufficient practical experience to

1 Faculty of Law, Riga Stradins University, LV-1007, 16 Dzirciema Str., Riga, Latvia.
2 Faculty of Law, Riga Stradins University, LV-1007, 16 Dzirciema Str., Riga, Latvia.
[email protected]
3 Department of Humanities and Social Sciences, Daugavpils University, LV-5401, 13 Vienibas Str.,

Daugavpils, Latvia.
50 Kipane et al.
implement new approaches and a lack of clarity about stereotypes of market
behaviour (Shipanga et al., 2022; Nurgaliyeva et al., 2017). Changes in thinking
related to the economy have two main forms: adaptation to new stereotypes of
economic behaviour and violation of laws and regulations (Barlybayev and
Sharipbay, 2015). The latter refers to the reaction to objective conditions arising
from policy. Conflicts between new standards and traditional models require
scientific study to better understand the nature of this phenomenon and its
determining factors. In this context, the use of an institutional approach to the
analysis of the phenomenon of economic crime and its impact on the socio-cultural
environment is necessary in view of its importance.
M. Kacare et al. (2022) consider the improvement of the environmental
situation as a factor contributing to the sustainable development of the economy and
the socio-cultural environment in general. In particular, they believe that factors
such as initial capital, transaction costs, economic conditions and availability of
financial resources can determine the pace of introduction of new technologies.
A. Kairiss et al. (2023) investigate the relationship between individual socio-
economic preferences and the benefits of developing cultural heritage sites in
localities and aspects of sustainability of cultural heritage development projects.
This demonstrates the relevance of this issue not only for Latvia but also for other
countries. The use of socio-economic indicators in practice is an important step
forward. However, it is important to emphasize that the effectiveness of the use of
these indicators can be increased through the implementation of a methodology for
managing immovable cultural heritage and socio-economic development. Socio-
economic indicators play an important role in this methodology at the national and
regional/local levels (Barlybayev et al., 2017).
In another study, I. Olevska-Kairisa and A. Kairiss (2023) draw attention to
the limited access of most stakeholders to justice and the right to an effective remedy
in the traditional criminal law system. It is emphasized that the low level of social
awareness of the socio-economic benefits and rights arising from the preservation,
development, and use of archaeological sites, together with the existing legal
restrictions, can lead to insufficient self-determination of individuals and groups
affected by heritage crimes.
О. Hynek (2020) notes that the crime rate in Russian-speaking regions does
not show higher trends than in non-Russian-speaking regions. At the same time,
unemployment and wages have improved, which indicates positive changes in this
direction.
Therefore, the purpose of the study is to investigate and establish the
prospects for the development of the socio-cultural environment in Latvia, taking
into account active measures to combat economic crime.
 Pakistan Journal of Criminology 51

Materials and Methods

The study is based on a variety of methods, including philosophical, general
scientific and special scientific approaches. In determining the prospects for
sustainable development of the socio-cultural environment of Latvia in the context
of combating economic crime, a variety of philosophical methods are used. One of
them is a dialectical approach, which allows for a deeper understanding of the
essence of sustainable development of the socio-cultural environment of Latvia in
the context of combating economic crime, as well as a more meaningful assessment
of the existing shortcomings of the existing system. In addition, the systematic
method is applicable for a comprehensive study. It allows considering this problem
in the context of the overall provision of the fight against economic crime in Latvia,
identifying the interrelationships and influence of various factors on its formation
and development.
The methods of classification and grouping were used to analyse the main
areas of activity of the states in the direction of forming the prospects for sustainable
development of the socio-cultural environment in the context of combating
economic crime. The methods of specification and generalization were used to
identify the main problems and gaps in ensuring the fight against economic crime
with a socio-cultural aspect. The combination of these methods allows for a more
complete and comprehensive understanding of the issues related to the current state
of sustainable development of the socio-cultural environment of Latvia in the
context of combating economic crime. This approach allows for a deeper study of
the peculiarities of the functioning of the socio-cultural environment, as well as
identifying potential problems and ways to solve them.
In the course of the research and in order to fully understand and substantiate
the issue, the norms of various legal sources were used, including both national and
foreign or international law, in particular: Indicators of sustainable development:
framework and methodologies made by Commission on Sustainable Development
(2001), A sustainable Europe for a better world: A European Union strategy for
sustainable development (2001), The “Earth Summit” on Population (Population
Council, 1992), Latvia 2030 – sustainable development strategy of Latvia (2010),
Evaluation of the judicial systems (2020-2022) Latvia (2022). Normative legal
research focuses on the systematic analysis of positive law, principles, and doctrines
of law, analysis of legal cases, systematization of legal norms and establishment of
the level of legal coherence. They also include comparative law and legal history.
52 Kipane et al.
Results
Economic crime, which is aimed at infiltrating all spheres of public life,
interferes with the natural course of social processes and disrupts the natural
development of society. This leads to benefits for individuals, but in reality, society
as a whole suffers significant losses. In extreme cases, this situation can lead to the
loss of the independence of an ethnic group, especially if there are favourable
conditions on the part of strong and hostile neighbours. Thus, economic crime has
a significant impact on the economic security of the state. It is a destructive factor
that ultimately leads to the destruction of the system of economic relations at various
levels. This destruction covers both internal and external aspects of the economic
security of the state.
Updating the value foundations, which contributes to the formation of a
single field of security culture, is important for the socio-cultural mechanism of
ensuring the security of society. The security culture has a hierarchical structure that
arises as a result of social stratification on various grounds, including social classes
and strata. These stratifications affect relations in the fields of economics, social
sciences, politics, and culture and can contribute to the formation of zones of social
tension where the potential for social insecurity accumulates. Relationships of
material, economic, and personal dependence arising from the lack of transparency
in the functioning of state structures can become a source of shadow mechanisms
and corruption in society.
In today’s context, corruption is a complex and immoral phenomenon in
socio-cultural perception. This problem is important because addressing issues
related to socio-cultural stereotypes is an extremely difficult task. Usually, in the
context of fighting corruption, power is understood as abuse at the highest levels.
The roots of this phenomenon, which affects social dynamics and the system of
power, are laid in the sphere of everyday corruption, and it is worth noting that it is
in this context that social stereotypes are formed, which are further spread and
integrated into the structure of public administration and government institutions.
The aggravation of the economic crisis and the formation of ethnic diasporas in
different countries create a favourable background for the activities of organized
criminals from other nations. The latter create national groups that are more
cohesive and protected from law enforcement agencies. National solidarity and,
sometimes, family ties, language and cultural barriers effectively prevent foreign
actors from infiltrating these groups.
Sustainable development is seen as an integrated and balanced process that
aims to achieve harmony between social welfare, the environment and economic
growth. This process aims to meet the current social and economic needs of the
population, while ensuring compliance with environmental standards and taking
 Pakistan Journal of Criminology 53

into account the ability of future generations to meet their needs. The impact of
globalization on sustainable development is evident and reflects general trends in
global development, such as economic, social, technological and political changes.
These processes lead to an increase in the volume of international flows of goods,
services, capital, and people between countries, which improves the quality of life
and contributes to the sustainable development of the socio-cultural environment
(Kotenko et al., 2020). Thus, sustainable development is aimed at improving the
welfare of society to meet the needs and ambitions of people and ensure an equitable
distribution of development between the present and the future (Rakauskienė et al.,
2022).
Sustainability includes three main components: economic, social and
environmental, in Figure 1. These three pillars do not exist independently of each
other; they interact and reinforce each other. The level of economic growth, life
expectancy, education level and poverty rate are key factors in this process (Latvia
crime rate & statistics 1992-2023, 2023).

Economical
Social

Cultural

Figure 1. Three pillars of sustainable economic development

The UN Commission on Sustainable Development adopted its first Work

Programme on Sustainable Development Indicators in April 1995, which included
58 key groups of indicators. However, in 2001, the UN Commission presented an
expanded version of the indicators, which included four main groups of indicators:
social, economic, environmental and institutional indicators (Indicators of
sustainable development: framework and methodologies made by Commission on
Sustainable Development, 2001). However, a more complex and balanced approach
54 Kipane et al.
to the problem of assessing the sustainable development of the European Union is
considered to be the approach described in the EU Sustainable Development
Strategy (2001), which was supplemented in subsequent documents. This approach
takes into account the main criteria, such as stability, flexibility and compactness,
and limits the number of indicators to no more than 42, ensuring a balance between
the interests of the main priorities and the interests of all EU member states (A
sustainable Europe for a better world: A European Union strategy for sustainable
development, 2001). This system of sustainable development indicators includes
the following areas: economic development, poverty and social exclusion, ageing
population management, health, climate change and energy efficiency, production
and consumption, natural resource management, transport, global governance and
global partnerships. This system of indicators has a long institutional history and
continues to be refined and developed.
However, due to the redefinition of values, the ideal of state security has
changed. Previously based on military power, it is now associated with public safety
and the sustainable development of civil society. This change in the ideal took place
in the context of collective responsibility for the future of humanity and global
security and was enshrined as a principle of the concept of “sustainable human
development” adopted at the UN World Conference in 1992 (Population Council,
1992). This raises the question for society about the value foundations that
correspond to the new ideal and that will allow Latvia to develop successfully, while
maintaining its independence, sovereignty, and security in functioning in the global
community. The new paradigm of sustainable development of society, based on the
priorities of common, universal security, requires significant changes in the system
of world-view orientations and values that will determine its renewed socio-cultural
content.
The culture of security and sustainable development is the result of human
activity and is embodied in the global cultural experience of preserving human life
and maintaining a universal state of security and sustainable development of society
(Berdykulova et al., 2021). It is expressed in ideals, values, norms, symbols,
behavioural patterns, traditions, customs, and rituals. By changing and expanding
the semantic context of these components, humanity enriches its experience and
understanding of security and sustainable development. The culture of security and
sustainable development emerges at different levels and has two aspects: one based
on human experience and reflected in history and culture, and the other reflecting
the values and security goals adopted by society (Horbal and Makarova, 2023). It
contributes to the harmonious development of society, ensures security and helps to
solve various problems in public life. The culture of security and sustainable
 Pakistan Journal of Criminology 55

development is an alternative to the counterculture of violence, cruelty, domination,

fear, and cynicism that characterize the involution of society.
Culture has a social and economic value that contributes to improving the
quality of life of individuals and societies as a whole. Latvia’s policy documents
recognize the important role of culture in ensuring national stability, security and
economic development. Cultural conditions influence the economic sphere, cultural
heritage and cultural behaviour of individuals and social groups. Thanks to the
development of information and communication technologies, a new virtual cultural
space and various types of social networks have emerged, changing the structure of
society and making it more accessible to different cultural values (Bedelov et al.,
2021). The digital society has opened up new opportunities for cooperation and
interaction between different groups, but it has also given rise to new challenges
and threats that need to be addressed and answered.
In Latvia, between 2008 and 2010, a strategy for sustainable development
until 2030 was developed (Latvia 2030 – Sustainable development strategy of
Latvia, 2010). This strategy was approved by the Saeima of the Republic of Latvia
in June 2010. The development of the strategy was extremely complex and unique,
as it involved active consideration of public opinion and sentiment, extensive
discussions among experts and other stakeholders, and active participation of
various social groups. In particular, a group of independent foreign experts from
various countries, such as Switzerland, the USA, Belgium, the UK, and New
Zealand, was engaged to assess the strategy and its development process. The main
goal of Latvia’s Sustainable Development Strategy is to increase the productivity
of human, economic, social and natural capital, taking into account global trends.
This strategy is based on the idea of meeting the needs of the present generation,
balancing the interests of social welfare, environmental protection and economic
development, as well as preserving the ability to meet the needs of future
generations and biological diversity.
At the same time, it is important to take into account global challenges, such
as demographic changes, economic globalization, climate change, energy security,
the development of the global middle class and many others. Responding to these
challenges requires development policies that promote socio-cultural growth,
improve the quality of life of citizens, social cohesion and security, and protect the
environment for future generations. The socio-cultural foundations for overcoming
confrontational logic and moving to a position of dialogue between cultures and
reconciliation of social positions can be established through the imperatives of
humanism, social justice, responsibility, tolerance, consensus, and tolerance (Tacij
et al., 2014). A culture of tolerance, including these important values, is recognized
as the ability to accept “difference” in other people and nations in terms of culture,
56 Kipane et al.
way of thinking and behaviour, and the willingness to engage in dialogue even with
those who are difficult to understand, but with whom it is important to jointly solve
social problems and coexist on this planet.
Based on universal, national and civilisation-wide values, the priorities of
interreligious, interfaith, interethnic, interethnic and intercultural dialogue, mutual
understanding, consensus building and responsibility, security culture is aimed at
uniting society and forming a single field of security culture in both vertical and
horizontal socio-cultural dimensions (Yaroshenko et al., 2019). The analysis of the
above data suggests that there is a clear relationship between socio-economic
factors, culture, and the influence of economic, cultural and political aspects in
modern Latvia. Although families report their desire to raise children and develop
their cultural knowledge and cultural literacy, preserving hereditary customs,
traditions and cultural values, they also face numerous challenges and obstacles. It
should be noted that crime, which is inextricably linked to the structure of human
society, largely depends on the cultural and ideological aspects inherent in a given
society. Different levels of crime, as illustrated by the example of Latvia, serve to
illustrate the impact of national cultural identity on crime rates (Latvia crime rate &
statistics 1992-2023, 2023). In this context, the characteristics of a country, such as
its political system, geographical location and role in migration processes, also play
a significant role. Of particular importance is the understanding that countries where
different cultures clash on the same territory may face certain challenges and
conflicts arising from differences in languages, traditions, religions, and beliefs.
There is a significant diversity of ethnic groups in Latvia, including Latvians,
Russians, Ukrainians, Belarusians, Poles, Lithuanians, Estonians, and others
(Latvia: World directory of minorities and indigenous peoples, 2018). This
interethnic diversity is the result of historical processes such as colonization and
migration. The coexistence of different cultural groups in Latvia promotes cultural
exchange, but can also create conflicts due to differences in traditions, languages,
and beliefs. At the same time, the Latvian government is actively working to support
the rights of minorities, including the right to their own language and cultural
identity (Rights of national minorities in Latvia, 2006). These measures contribute
to the peaceful coexistence of different cultural groups in Latvia, although this task
requires constant improvement and support from both society and the state.
Thus, crime is a complex and dynamic problem that always reflects the
violation of social norms in society. Society is constantly changing, and the
perception of and response to crime is changing with it. The understanding of crime
is contextual and depends on the socio-economic and cultural conditions of each
historical period. It is important to understand that crime is always associated with
a violation of accepted social norms, and its level reflects the socio-economic and
 Pakistan Journal of Criminology 57

cultural dynamics of a society. The solution to the crime problem cannot be limited
to isolating offenders and physically punishing them, as this approach has limited
possibilities and can lead to overcrowding in correctional facilities. Overcoming the
phenomenon of crime requires a comprehensive approach and consideration of
numerous factors that influence this phenomenon. Society should focus its efforts
on analysing time perspectives, including the short-, medium- and long-term future,
as well as the various aspects of life that can become a breeding ground for crime.
Factors such as the political and economic situation, the psychological and
sociological state of society, and the depth of the human personality are important
for understanding and combating crime. The positive dynamics of these factors
contribute to the creation of a favourable environment for crime prevention and the
maintenance of social harmony. In the context of the development of a socio-
cultural sustainable society and the fight against economic crime at the international
level, the Foreign Investors Council in Latvia (FICIL) has been actively
emphasizing the need for more active measures to combat economic and financial
crime for a number of years. In order to improve the situation, FICIL recommends
developing a clear strategy for combating economic and financial crime, focusing
on three key aspects:
 cooperation between institutions at the local and international community
level, as well as between the public and private sectors;
 ensuring an effective and up-to-date legal framework that is understandable
and accessible to all citizens;
 providing the necessary funding for the implementation of measures to
combat economic and financial crime.
Crimes in the field of finance and economy have a significant impact on
economic development, competitiveness, and welfare of the population, as well as
a direct impact on the circulation of illegally acquired funds in the national economy
(Dovgal et al., 2017). According to the 2021 annual report of the Financial Market
and Capital Commission, the overall level of money laundering and terrorist
financing and proliferation of weapons of mass destruction (ML/FT) risk in the
Latvian financial sector has significantly decreased in the most important segments
– credit institutions and payment institutions (Strengthening Latvia’s capacity to
combat financial crime, 2022).
An effective system of monitoring and combating economic crimes, as well
as the development of relevant legislation and changes in organizational structures,
along with the coordination of their activities, must be based on research and a deep
understanding of the causes of these crimes and the mechanisms of their formation.
It is extremely important to influence the factors that determine the level of crime
in general. The authors note that legislation, legal regulation and their use have a
58 Kipane et al.
significant impact on the situation with criminal activity in the country. Legitimate,
efficient, high-quality and socially oriented judicial proceedings are a fundamental
pillar, contributing to the implementation of the key principles of a fair trial as
defined in the concept of justice. The state is responsible for ensuring the
effectiveness of justice. The criminal investigation process, as defined by the
Criminal Procedure Law, should be aimed at achieving a fair result on the merits of
the case, while avoiding overly restrictive procedural barriers.
The activities of law enforcement agencies are aimed at preventing crimes,
detecting them and identifying the perpetrators, as well as ensuring compliance with
the law. In Latvia, criminal investigation is divided into pre-trial and trial stages.
During a criminal investigation, circumstances should be taken into account in
which the rights of individuals cannot be restricted too severely or indefinitely.
Thus, the state is obliged to guarantee the realization of the interests of each person
within the framework of fair and objective legal proceedings. Lengthy court
proceedings not only slow down investment and negatively affect Latvia’s
reputation as a state governed by the rule of law, but also have a serious impact on
economic activity and increase the feeling of impunity among citizens.
Latvia has an interesting experience in improving the institutional system of
law enforcement agencies in the fight against economic crimes. Since 31 March
2020, the Economic Court, a specialized district court, has been operating
(Evaluation of the judicial systems (2020-2022) Latvia, 2022). The competence of
the Economic Court is determined on the basis of an analysis of areas that require
immediate resolution in order to ensure a thorough, cautious and progressive
approach to determining jurisdiction, avoiding overloading with cases during the
first years of operation. The establishment of the Economic Court provides
significant benefits for the sustainable development of the legal system: increased
reserves and their efficient and rational use; improved judicial qualifications and
quality of judgments; increased credibility of the judiciary and reduced burden on
other judicial bodies. As a result, it is expected that the speed of court proceedings
will increase and the court practice will be enriched, which will contribute to the
development of a unified policy of collecting fines. The establishment of the
Economic Court is an important step for:
1. Ensuring stable economic development of Latvia and attracting
investments.
2. Improvement of the legal system – creation of a system in which economic
cases will be considered in a reasonable time.
At the same time, the use of advanced law enforcement technologies and the
latest tools, including artificial intelligence, can play a key role in combating
economic crime and contribute to the sustainable development of society, as well
 Pakistan Journal of Criminology 59

as to the improvement of the socio-cultural environment. Artificial intelligence and

other innovative technologies used in the fight against economic crime are
transforming crime prevention strategies, making them more effective and
sophisticated (Kalinichenko and Havrysh, 2019).
New technologies, in particular artificial intelligence, make it possible to
identify areas and industries (manufacturing, services, construction, tourism, etc.)
where there is a significant risk of economic crime (Ntshangase and Msosa, 2022).
The use of artificial intelligence allows for an effective fight against money
laundering. The developed algorithms can provide a more informed and accurate
strategy for determining due diligence by analysing and interpreting signals of
possible criminal activity and analysing significantly larger volumes of data with
increased reliability. Artificial intelligence and other new technologies, both online
and in real life, are revolutionizing crime prevention methods, making them more
efficient and intelligent (Liadskyi et al., 2022).
In the area of socio-cultural sustainable development of law enforcement
agencies, a completely new direction can be developed – digital investigation,
collection, and enhancement of electronic evidence in cases related to cybercrime
(Berdykulova, 2019). It is important to develop skills to monitor and control
underground networks and conduct online investigations. In this context, tools that
can identify and address this problem include search engines. They can be used for
automated indexing of network information, information retrieval tools for
processing large amounts of data, cryptocurrency analyses for tracking cash flow,
and specialized software for finding evidence. It is also important to develop a new
international legal framework to combat cybercrime.

Discussion
Scientific research aimed at analysing the prospects for sustainable
development of the socio-cultural environment in the context of combating
economic crime in Latvia plays an important role in addressing the problem of
economic crime in this country. These studies help to examine the impact of socio-
cultural factors on the level of shadow economy and corruption.
One such study conducted by G. Stack (2021) found an inverse relationship
between the level of development of the tax culture of the population and the size
of the shadow economy. In a comparative analysis between the United States of
America and Spain, statistically significant evidence was found that a higher level
of tax culture leads to a reduction in the size of the shadow economy. Similar results
were confirmed by other empirical analyses conducted by
A. Lytvynenko et al. (2022). Similarly, other researchers have widely considered
the socio-cultural context of the relationship between the development of the
60 Kipane et al.
shadow economy and corruption in a number of empirical studies
(Sredņakova & Sumbarova, 2022; Ginting, 2019; Aldhila et al., 2021). For practical
application in the development of anti-corruption policy, studies recommend taking
into account the conceptual aspects of systemic innovation and security approaches,
which confirms the security approach proposed in the study results
(Mileiko & Hamilton, 2022).
At the same time, P. Seshaiyer and C. McNeely (2020) found that the
characteristic features of transformational economic systems are their
deinstitutionalized nature and the transition from formal institutions to informal
interactions. According to their conclusions, informal institutions include not only
informal economic practices that arise in the context of formal institutions, but also
a set of social norms that are shaped by cultural factors. However, it should be
understood that the nature of transformational economic systems is not necessarily
deinstitutionalized or that it is necessary to move from formal institutions to
informal interactions (Makalyuk, 2014). There are other theories and studies that
may indicate a different type of interactions in the process of transforming economic
systems. Thus, it is possible to question the generally accepted nature of these
conclusions and point to the need for additional research and discussion of different
approaches to this issue.
It is also worth noting the opinion of T. See (2020), who emphasizes that the
shadow economy has an impact not only on the economy, but also on social
processes taking place in a transitional society. In the context of market
transformations, shadow economic activity is becoming typical for many business
entities (Pylypchynets, 2022). This is due to the conflict between modern and
outdated norms, rules and standards, as well as the willingness of business entities
to act in conditions of legal ambiguity to meet their needs. In this context, informal
rules, infrastructure, and prices for bureaucratic services are formed. It seems that
Latvia, like other transition countries, differs from developed countries not only in
terms of the size of the shadow economy, but also in terms of its qualitative
characteristics (Shapoval et al., 2018). In developed countries, the shadow economy
is usually assessed as a violation of existing legislation, while in transition countries
it is seen not only as deviant behaviour of economic agents, but also as the
institutional structure of society, which is manifested in the legislative, executive
and judicial branches in the form of shadow institutions. It is clear that the
deinstitutionalization of society affects the legal infrastructure of the economy,
which leads to the institutionalization of shadow and criminal economic activity
(Haraschuk et al., 2020).
The economic order is an indispensable tool for the organization of society
and the modern open economy, as pointed out, for example, by A. Uslu et al. (2020).
 Pakistan Journal of Criminology 61

Its main goal is to achieve maximum productivity through the rational use of
resources, harmonization of social interests and creation of conditions for making
informed economic decisions. In a society in transition, economic order involves
strengthening the legislative and regulatory framework for reforms, consolidating
state power, restructuring enterprises, creating effective ownership structures,
developing the financial and credit system and channels for investment, expanding
market infrastructure, improving the culture of business relations, building trust
between business entities and reforming labour relations, social protection of
employees and the population, and improving relations between the centre and the
regions (Kondratenko et al., 2018). Therefore, it is important to understand that the
socio-cultural context that determines the way people interact, regardless of the
strict grammatical norms of the language, is a significant component of human
communication (Kopnova et al., 2022). Individuals choose the way they
communicate based on their socio-cultural background and are not limited to
grammatical requirements. All aspects of their communication have a certain
structure that influences the choice of interaction. Therefore, it is worth agreeing
with T. See (2020) and M. Mintaurs (2021), who note that the rituals of daily
communication play an important role, determining certain connections and
relationships.
The results of the study showed a strong positive linear correlation between
the socio-cultural conservation strategy and the sustainability of community-based
tourism projects. In the opinion of W.C. Tubey et al. (2019), this indicates that
effective factors of the socio-cultural conservation strategy, such as the preservation
and promotion of cultural heritage, quality, and diversification of products offered,
entrepreneurial opportunities for local residents and social integration of minority
groups, contribute to the sustainability of community-based tourism. Thus, most
scientific research is aimed at analysing the phenomenon of economic crime in
Latvia. The research includes the study of types of economic crimes, their causes,
mechanisms of occurrence and spread. Researchers pay attention to the analysis of
factors that contribute to economic crime, such as corruption, economic inequality,
insufficient regulation of markets and human trafficking. An important aspect of the
research is to consider Latvia’s cooperation with international organizations and
other countries in the fight against economic crime. This may include an analysis of
joint programmes, exchange of information and practices. Some studies focus on
the impact of the socio-cultural environment on economic crime. This includes
analysing cultural aspects, societal upbringing and attitudes towards offences. Some
studies aim to develop recommendations for the Latvian government on policies
and strategies to reduce economic crime and support sustainable development.
Thus, the state of research on this issue is constantly changing and evolving. Both
62 Kipane et al.
national and international researchers are increasingly interested in the problem of
economic crime and its impact on the socio-cultural environment in Latvia. This
research is important for the development of strategies and policies aimed at
strengthening the rule of law and sustainable development of the country.

Conclusions
The development of cultural space is a key aspect of the strategy for
sustainable development of the socio-cultural environment in Latvia. The
uniqueness and multifaceted identity of nations is determined by their material and
spiritual values, both inherited and newly created. This development contributes to
the consolidation of society and the development of new social, economic and
cultural values. Cultural capital is especially important in the era of changes in the
global economy, when the creative industry is becoming the main source of
competitiveness, determining its presence in human creativity, imagination, and
intuition. The socio-cultural environment is a key factor that determines these
qualities. The main idea behind Latvia’s sustainable development is to achieve a
balance between the needs of the current generation and the interests of social
welfare, environmental protection and economic development. It requires taking
into account environmental aspects and avoiding compromising the ability to meet
the needs of future generations. Crime, which is rooted in the structure of society,
has a strong impact on the cultural and ideological component of the latter. In
Latvia, crime depends on the national factor and other factors, such as the type of
country, political system, geographical location and the role of migration. Countries
with different cultures and mentalities may experience different levels of crime. In
Latvia, as a multinational country, this diversity is reflected in the coexistence of
different ethnic groups. This can lead to cultural exchange, but it can also give rise
to conflict. However, the Latvian authorities recognize the rights of minorities and
take care of their cultural identities and language rights.
Artificial intelligence and new technologies play an important role in the fight
against economic crime and in the development of the socio-cultural environment.
They help identify risky industries, improve criminal investigations and contribute
to the fight against crime. The application of these innovations helps to improve
investigative techniques and the ability of law enforcement agencies to respond to
modern challenges. The development of the cultural space and the fight against
economic crime in Latvia require an integrated approach that includes the
preservation and development of cultural values, sustainable attention to
environmental aspects and the use of modern technologies to improve law
enforcement. This will help achieve sustainable development and maintain the rule
of law in society. Ensuring the sustainable development of the socio-cultural
 Pakistan Journal of Criminology 63

environment and the fight against economic crime in Latvia requires a

comprehensive approach that includes international cooperation, an effective legal
framework, strengthening of cultural values and continuous analysis. This
integrated strategy will contribute to sustainable development and the maintenance
of law and order in society.

References
A sustainable Europe for a better world: A European Union strategy for sustainable
development. (2001). Retrieved from https://eur-
lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2001:0264:FIN:EN:P
DF
Aldhila, A., Warsono, H., Suwitri, S. & Astuti, R. (2021). Management of slum
settlements based on sustainable development in the Deli watershed of
Medan city. Budapest International Research and Critics Institute-Journal,
2, 2791-2799.
Barlybayev, A. & Sharipbay, A. (2015). An intelligent system for learning,
controlling and assessment knowledge. Information (Japan), 18(5), 1817-
1827.
Barlybayev, A., Sabyrov, T., Sharipbay, A. & Omarbekova, A. (2017). Data base
processing programs with using extended base semantic hypergraph.
Advances in Intelligent Systems and Computing, 569, 28-37.
Bedelov, K., Bidaibekov, Y., Grinshkun, V., Bostanov, B. & Koneva, S. (2021).
The effective use of telecommunication cloud services for the training of
future computer science teachers. World Transactions on Engineering and
Technology Education, 19(4), 398-403.
Berdykulova, G.M., Kamysbayev, M.K., Omarova, A.S., Sagandykova, S.S.,
Sharapieva, Z.T. & Bolat, R.A. (2021). Human Resource Management in a
Pandemic: The Case of Kazakhstani Company. In: ACM International
Conference Proceeding Series, (article number: 3492652). Virtual, Online,
Association for Computing Machinery.
Berdykulova, G.M.K. (2019). Cyber risk management in digital environment: Case
of Kazakhstani bank. International Journal of Engineering and Advanced
Technology, 8(5), 777-782.
Dovgal, O.V., Kravchenko, M.V., Demchuk, N.I., Odnoshevnaya O.A., Novikov
O.Y., Andrusiv U.Y., Lesik, I.M. & Popadynets, I.R. (2017). Methods of
competitiveness assessment of agricultural enterprise in Eastern Europe.
Regional Science Inquiry, 9(2), 231-242.
Evaluation of the judicial systems (2020-2022) Latvia. (2022). Retrieved from
https://rm.coe.int/latvia-2020-en/1680a85c88
64 Kipane et al.
Ginting, P. (2019). Sustainable growth and development. advances in economics.
Business and Management Research, 144, 481-486.
Haraschuk, V., Zelinska, Y., Spasenko, V. & Shulga, I. (2020). Information
component of the environmental policy of ukraine: Current status and
development potential. European Journal of Sustainable Development, 9(2),
69-79.
Horbal, N. & Makarova, Yu. (2023). Eco-innovations for sustainable development
of Ukrainian enterprises. Economics, Entrepreneurship, Management, 10(1),
30-39. https://doi.org/10.56318/eem2023.01.030
Hynek, O. (2020). Does the economic security of the Russian speaking minority
threaten the Latvian national security?
https://doi.org/10.34135/svpmvpIV.191017
Indicators of sustainable development: framework and methodologies made by
Commission on Sustainable Development. (2001). Retrieved from
https://www.un.org/esa/sustdev/csd/csd9_indi_bp3.pdf
Kacare, M., Pakere, I., Gravelsins, A. & Blumberga, A. (2022). Impact assessment
of the renewable energy policy scenarios – A case study of Latvia.
Environmental and Climate Technologies, 26(1), 998-1019.
Kairiss, A., Geipele, I. & Olevska-Kairisa, I. (2023). Sustainability of cultural
heritage-related projects: Use of socio-economic indicators in Latvia.
Sustainability, 15(13), 10109.
Kalinichenko, A. & Havrysh, V. (2019). Feasibility study of biogas project
development: Technology maturity, feedstock, and utilization pathway.
Archives of Environmental Protection, 45(1), 68-83.
Kondratenko, Y.P., Kozlov, O.V., Kondratenko, G.V. & Atamanyuk, I.P. (2018).
Mathematical model and parametrical identification of ecopyrogenesis plant
based on soft computing techniques. Studies in Systems, Decision and
Control, 125, 201-233.
Kopnova, O., Shaporeva, A., Iklassova, K., Kushumbayev, A., Tadzhigitov, A. &
Aitymova, A. (2022). Building an information analysis system within a
corporate information system for combining and structuring organization
data (on the example of a university). Eastern-European Journal of
Enterprise Technologies, 6(2-120), 20-29.
Kotenko, S., Nitsenko, V., Hanzhurenko, I. & Havrysh, V. (2020). The
Mathematical Modeling Stages of Combining the Carriage of Goods for
Indefinite, Fuzzy and Stochastic Parameters. International Journal of
Integrated Engineering, 12(7), 173-180.
 Pakistan Journal of Criminology 65

Latvia 2030 – Sustainable development strategy of Latvia. (2010). Retrieved from

https://www.pkc.gov.lv/sites/default/files/inline-
files/LIAS_2030_parluks_en_0.pdf
Latvia crime rate & statistics 1992-2023. (2023). Retrieved from
https://www.macrotrends.net/countries/LVA/latvia/crime-rate-statistics
Latvia: World directory of minorities and indigenous peoples. (2018). Retrieved
from https://minorityrights.org/country/latvia/
Liadskyi, I., Kononets, N. & Senko, I. (2022). Management of social intelligence in
the context of developing citizen’s patriotism. Economics, Entrepreneurship,
Management, 9(2), 44-52.
Lytvynenko, A., Senyuta, I., Jurkeviča, T. & Makarchuk, V. (2022). A comparative
analysis of informed consent legislation in Ukrainian and Latvian legislation
and case law. International Comparative Jurisprudence, 8(2).
http://dx.doi.org/10.13165/j.icj.2022.12.004
Makalyuk, I.V. (2014). Analysis of the methods and approaches to assessing
enterprise transaction costs. Actual Problems of Economics, 152(2), 170-182.
Mileiko, I. & Hamilton, G. (2022). A mediated tolerance of violence: An analysis
of online newspaper articles and “below-the-line” comments in the Latvian
media. Journal of Interpersonal Violence, 37(11-12), 9496-9524.
Mintaurs, M. (2021). The social context of expressions of anti-Soviet activity in
occupied Latvia in the 1960s-1980s. In: Symposium of the Commission of the
Historians of Latvia (pp. 208-222). Riga: Zinatne.
Ntshangase, B.A. & Msosa. S.K. (2022). Enhancing service delivery for
metropolitan municipalities in South Africa via project management. Insights
into Regional Development, 4(3), 127-138.
Nurgaliyeva, M.T., Iskakova, Zh.A., Mamayeva, L.A., Zhamurova, V.S., Wright,
A. & Smagulov, A.K. (2017). Studying effectiveness of the European and
Eurasian economic union food safety legislation. European Research Studies
Journal, 20(3), 740-757.
Olevska-Kairisa, I. & Kairiss, A. (2023). Victims of heritage crimes: Aspects of
legal and socio-economic justice. Open Archaeology, 9(1), 20220293.
Perera, S., Trapenciere, I. & Vilka, L. (2022). Policy and legal framework on
protecting children’s rights in Latvia and Sri Lanka. SHS Web of
Conferences, 131, 03001.
Population Council. (1992). The “Earth Summit” on population. Population and
Development Review, 18(3), 571-582.
Pylypchynets, I. (2022). Optimal scheme for stimulating photofission of shielded
nuclear materials on the Microtron M-30: A combination of theoretical and
66 Kipane et al.
experimental studies. Scientific Herald of Uzhhorod University. Series
"Physics", (52), 16-26. https://doi.org/10.54919/2415-8038.2022.52.16-26
Rakauskienė, O.G., Petkevičiūtė & Stručko, M. (2022). Determinants of
logistics’performance: a new approach towards analysis of economic
corridors and institutional quality impact. Insights into Regional
Development, 4(3), 11-33.
Rights of national minorities in Latvia. (2006). Retrieved from
https://assembly.coe.int/nw/xml/XRef/X2H-Xref-
ViewHTML.asp?FileID=11490&lang=EN
See, T. (2020). The socio-cultural and political dimensions of the economic success
of the Chinese in the Philippines. Chinese Studies Journal, 13, 142-158.
Seshaiyer, P. & McNeely, C. (2020). Challenges and opportunities from COVID‐
19 for global sustainable development. World Medical & Health Policy,
12(4), 443-453.
Shapoval, R., Bytiak, I., Khrystynchenko, N. & Solntseva, K. (2018). Problematic
issues of the administrative and legal status of the police in the baltic states
(Lithuania, Latvia, Estonia). Journal of Advanced Research in Law and
Economics, 9(1), 295-306.
Shipanga, U., Le Roux, S. & Dubihlela, J. (2022). Operational risk factors and the
sustainability of small and medium manufacturing enterprises in South
Africa. Insights into Regional Development, 4(4), 126-139.
http://doi.org/10.9770/IRD.2022.4.4(7)
Sredņakova, J. & Sumbarova, M. (2022). Problems of solving property issues in
criminal proceedings in Latvia. Electronic Scientific Journal of Law
Socrates, 3(24), 106-118.
Stack, G. (2021). Latvia as a shadow-economy offshore financial centre in the age
of anti-money laundering. Retrieved from
https://eprints.nottingham.ac.uk/67361/4/Latvia%20as%20an%20Offshore
%20Financial%20Centre.pdf
Strengthening Latvia’s capacity to combat financial crime. (2022). Retrieved from
https://www.iem.gov.lv/en/article/strengthening-latvias-capacity-combat-
financial-crime?utm_source=https%3A%2F%2Fwww.google.com%2F
Tacij, V.J., Tjutjugin, V.I. & Grodeckij, J.V. (2014). Conceptual model establish
responsibility for offense in the legislation of Ukraine (draft). Criminology
Journal of Baikal National University of Economics and Law, 2014(3), 166-
183.
Tubey, W.C., Kyalo, D. & Mulwa, A. (2019). Socio-cultural conservation strategies
and sustainability of community based tourism projects in Kenya: A case of
Maasai Mara conservancies. Journal of Sustainable Development, 12, 90.
 Pakistan Journal of Criminology 67

Uslu, A., Alagoz, G. & Gunes, E. (2020). Socio-cultural, economic, and

environmental effects of tourism from the point of view of the local
community. Journal of Tourism and Services, 11(21).
https://doi.org/10.29036/jots.v11i21.147
Yaroshenko, O.M., Sliusar, A.M., Sereda, O.H. & Zakrynytska, V.O. (2019). Legal
relation: The issues of delineation (on the basis of the civil law of Ukraine).
Asia Life Sciences, (2), 719-734.