The annual inflation rate in Latvia edged down to 3.0 percent in November 2018 from 3.2 percent in the prior month. It is the lowest inflation rate since August, as prices slowed mostly for food & non-alcoholic beverages (0.4 percent vs 1 percent in October); housing & utilities (5.0 percent vs 5.7 percent) and transport (5.7 percent vs 6.5 percent). Conversely, inflation quickened for alcoholic beverages & tobacco (5.8 percent vs 5.3 percent); miscellaneous goods & services (3.0 percent vs 2 percent); recreation & culture (2.1 percent vs 1.6 percent) and furnishings (1.4 percent vs 0.9 percent). On a monthly basis, consumer prices dropped 0.1 percent compared to a 0.7 percent increase in the previous month. Inflation Rate in Latvia averaged 3.65 percent from 1998 until 2018, reaching an all time high of 17.70 percent in May of 2008 and a record low of -4.30 percent in February of 2010.
Inflation Rate in Latvia is expected to be 3.60 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Latvia to stand at 2.80 in 12 months time. In the long-term, the Latvia Inflation Rate is projected to trend around 2.20 percent in 2020, according to our econometric models.