This page has economic forecasts for Latvia including a long-term outlook for the next decades, plus medium-term expectations for the next four quarters and short-term market predictions for the next release affecting the Latvia economy.


Overview Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
GDP Growth Rate 1.80 0.8 0.9 0.5 1.6 0.6 percent
Unemployment Rate 7.00 8.1 8 8 6.2 8.2 percent
Inflation Rate 3.20 3.6 2.9 2.7 2.8 2.2 percent
Interest Rate 0.00 0 0 0 0.25 0.75 percent
Balance of Trade -349.10 -210 -190 -310 -228 -210 EUR Million
Government Debt to GDP 40.10 37.6 37.2 37.2 37.2 37 percent
MARKETS Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Currency 1.14
1.15 1.14 1.13 1.13 1.1
Stock Market 941.64
points
961 946 932 918 863
Government Bond 10y 0.55
percent
0.55 0.55 0.55 0.55 0.55
GDP Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
GDP Growth Rate 1.80
percent
0.8 0.9 0.5 1.6 0.6
GDP Annual Growth Rate 4.80
percent
2.7 3.1 2.9 3.3 2.8
GDP 30.26
USD Billion
40 44 44 44 48
GDP Constant Prices 5997093.00
EUR Thousand
6283647 5373523 6171009 6194997 6730892
Gross National Product 7150.00
EUR Million
7337 6740 7357 7386 7859
Gross Fixed Capital Formation 1486248.00
EUR Thousand
1652682 1137302 1529349 1535294 1770314
GDP per capita 15553.33
USD
15961 16200 16200 16200 16902
GDP per capita PPP 25063.85
USD
25617 26141 26141 26141 26610
GDP From Agriculture 286036.00
EUR Thousand
176635 186254 294331 295475 189207
GDP From Construction 346543.00
EUR Thousand
383594 213648 356593 357979 410896
GDP From Manufacturing 730513.00
EUR Thousand
715688 607468 751698 754620 766627
GDP From Mining 166872.00
EUR Thousand
212715 239350 171711 172379 227856
GDP From Public Administration 335009.00
EUR Thousand
465004 261869 344724 346064 498101
GDP From Services 817915.00
EUR Thousand
892691 716809 841635 844906 956229
GDP From Transport 519403.00
EUR Thousand
536980 547386 534466 536543 575200
LABOUR Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Unemployment Rate 7.00
percent
8.1 8 8 6.2 8.2
Employed Persons 920.00
Thousand
920 919 925 929 936
Unemployed Persons 56726.00
56264 56072 56011 55994 55986
Long Term Unemployment Rate 3.20
percent
2.99 3.12 3.06 3.02 3.04
Youth Unemployment Rate 8.60
percent
9.38 8.83 9.13 8.95 9.02
Labour Costs 112.32
Index Points
106 103 103 105 106
Job Vacancies 24078.00
26317 27697 29154 30192 35005
Wages 755.00
EUR/Month
790 770 747 747 880
Minimum Wages 430.00
EUR/Month
430 480 480 480 540
Population 1.93
Million
1.93 1.91 1.91 1.91 1.89
Retirement Age Women 63.25
63.25 63.5 63.25 63.25 63.75
Retirement Age Men 63.25
63.25 63.5 63.25 63.25 63.75
Labor Force Participation Rate 70.20
percent
70.09 70.08 70.2 70.29 70.4
Part Time Employment 59.60
Thousand
60.55 59.88 59.68 60.29 59.66
Productivity 128.10
Index Points
130 113 129 131 128
Employment Change -0.30
percent
0.02 0.02 0 0 0
Employment Rate 65.30
percent
65.43 65.41 65.76 66.11 66.64
Full Time Employment 813.80
Thousand
817 817 824 826 831
PRICES Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Inflation Rate 3.20
percent
3.6 2.9 2.7 2.8 2.2
Inflation Rate Mom 0.70
percent
0.1 0.3 0.4 0.2 0.4
Harmonised Consumer Prices 106.75
Index Points
107 108 109 109 112
Consumer Price Index CPI 106.90
Index Points
108 108 109 109 113
Core Consumer Prices 105.75
Index Points
105 106 108 108 110
Core Inflation Rate 2.00
percent
2.03 2.09 2.12 2.15 2.2
GDP Deflator 1.21
percent
1.22 1.24 1.23 1.25 1.26
Producer Prices 119.70
Index Points
124 120 122 124 134
Producer Prices Change 5.00
percent
4.3 3.8 3.6 3.5 2.4
Export Prices 104.90
Index Points
105 105 105 105 105
Import Prices 99.50
Index Points
99.42 99.46 99.47 99.47 99.48
CPI Housing Utilities 104.90
Index Points
103 105 106 107 108
CPI Transportation 107.20
Index Points
106 107 110 109 111
Food Inflation 1.00
percent
3.2 3.77 3.31 3.76 3.8
MONEY Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Interest Rate 0.00
percent
0 0 0 0.25 0.75
Interbank Rate 0.17
percent
0.17 0.17 0.17 0.42 0.92
Money Supply M0 8842.00
EUR Million
8825 8820 8821 8821 8821
Money Supply M1 11515.10
EUR Million
11713 11913 12099 12265 13188
Money Supply M2 13582.20
EUR Million
13887 14121 14341 14540 15685
Foreign Exchange Reserves 3873.00
USD Million
3870 3870 3867 3869 3868
Banks Balance Sheet 21799.00
EUR Million
19628 18431 17772 17216 16105
Loans To Private Sector 5047.30
EUR Million
4902 4801 4725 4665 4418
Central Bank Balance Sheet 18063.00
EUR Million
18140 18142 18142 18142 18142
TRADE Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Balance of Trade -349.10
EUR Million
-210 -190 -310 -228 -210
Exports 1034.46
EUR Million
1040 1250 1180 1033 1380
Imports 1383.59
EUR Million
1250 1440 1490 1396 1590
Current Account -46.00
EUR Million
-47.09 -45.43 -45.29 -45.25 -45.27
Current Account to GDP -0.80
percent
-1.9 -2.4 -2.4 -2.4 -2.7
External Debt 35568.00
EUR Million
34910 34588 34325 34063 32562
Capital Flows 576000.00
EUR THO
537372 571596 554821 540848 554707
Gold Reserves 6.60
Tonnes
6.6 6.6 6.6 6.6 6.6
Terrorism Index 0.00
0 0 0 0 0
Foreign Direct Investment 154.00
EUR Million
74.23 78.66 87.15 84.8 84.58
GOVERNMENT Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Government Debt to GDP 40.10
percent
37.6 37.2 37.2 37.2 37
Government Budget -0.50
percent of GDP
0.7 0.6 0.6 0.6 0.2
Government Budget Value -18040630.00
EUR Million
73086 58655 63618 62733 62854
Government Spending 1050484.00
EUR Thousand
1149528 895665 1080948 1085150 1231347
Government Spending to GDP 38.00
percent
38 38 38 38 38
Government Revenues 846658.00
EUR Thousand
990577 959214 965749 964448 964657
Government Debt 10385.80
EUR Million
10229 10203 10236 10216 10220
Fiscal Expenditure 879214.00
EUR Thousand
907274 900559 902131 901715 901802
Military Expenditure 491.61
USD Million
520 520 521 522 502
Asylum Applications 10.00
persons
19.45 20.68 21.27 21.55 21.82
BUSINESS Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Business Confidence 3.90
Index Points
3.59 3.71 3.75 3.68 3.72
Industrial Production -1.20
percent
-1.15 0.53 -0.57 -0.07 1
Industrial Production Mom -3.30
percent
0.5 0.34 0.35 0.28 0.6
Manufacturing Production 2.00
percent
1.33 2.38 1.74 2.09 1.97
Capacity Utilization 75.90
percent
77.45 76.03 75.87 75.67 75.84
Car Registrations 4192.00
4261 4055 4481 4023 4142
Internet Speed 16580.44
KBps
19338 19687 20043 20390 23524
IP Addresses 878525.00
IP
980175 994696 1009217 1023738 1154419
Mining Production 2.70
percent
5.42 6.44 6.73 6.81 6.84
Changes In Inventories -48267.00
EUR Thousand
-45132 1062 -34595 65926 -21608
Competitiveness Index 66.25
Points
66.75 66.75 66.75 66.75 69.25
Competitiveness Rank 42.00
42 42 42 42 42
Ease of Doing Business 19.00
17 18 18 19 19
Electricity Production 398.00
Gigawatt-hour
531 536 517 519 521
Corruption Index 58.00
Points
58 58 58 58 58
Corruption Rank 40.00
40 40 40 40 40
CONSUMER Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Consumer Confidence -8.20
Index Points
-7.93 -7.88 -7.89 -7.89 -7.89
Retail Sales MoM 1.60
percent
1.1 2.1 1.9 1.8 0.4
Retail Sales YoY 3.50
percent
3.8 3.3 3.4 3.2 4.2
Consumer Spending 3726501.00
EUR Thousand
3700722 3606167 3834570 3849476 3964124
Personal Savings 2.66
percent
1.38 1.08 0.78 0.48 -0.03
Consumer Credit 515.10
EUR Million
520 523 527 530 549
Bank Lending Rate 3.61
percent
3.61 3.61 3.61 3.86 4.36
Economic Optimism Index 107.20
107 107 107 107 108
Gasoline Prices 1.51
USD/Liter
1.49 1.46 1.43 1.41 1.3
Households Debt To Income 35.94
percent
35.31 35.52 35.72 35.93 40.28
HOUSING Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Housing Index 129.91
Index Points
133 134 134 134 134
Construction Output 3.90
percent
9.1 5.73 7.27 7.17 6.83
Home Ownership Rate 81.50
percent
81.75 81.81 81.86 81.92 82.33
TAXES Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Corporate Tax Rate 20.00
percent
20 20 20 20 20
Personal Income Tax Rate 31.40
percent
31.4 31.4 31.4 31.4 31.4
Sales Tax Rate 21.00
percent
21 21 21 21 21
Social Security Rate 35.09
percent
35.09 35.09 35.09 35.09 35.09
Social Security Rate For Companies 24.09
percent
24.09 24.09 24.09 24.09 24.09
Social Security Rate For Employees 11.00
percent
11 11 11 11 11
CLIMATE Actual Q4/18 Q1/19 Q2/19 Q3/19 2020
Precipitation 46.46
mm
54.63 36.15 56.38 56.38 54.93
Temperature 2.26
celsius
0.42 -4.62 9.08 7.58 5.47



Latvia - Economic Forecasts - 2018-2020 Outlook