Latvia: economy

What is the GDP growth rate of Latvia?

Latvia's gross domestic product was 3.0% higher in real terms in the second quarter of 2026 than a year earlier, and 0.7% higher than in the first quarter after seasonal adjustment, according to the Central Statistical Bureau (CSB). GDP at current prices was EUR 11.5 billion in the quarter and EUR 21.3 billion in the first six months of 2026, when growth was 2.8% year on year.

The year-on-year figure uses data that are not seasonally adjusted; the quarter-on-quarter figure is adjusted. Wholesale and retail trade made the largest contribution to growth in the second quarter, while transport and storage and agriculture and forestry declined. Quarterly estimates are revised as fuller data arrive.

Official sources: CSB: In the 2nd quarter, GDP has increased by 3.0 %

What is the inflation rate in Latvia?

Consumer prices in Latvia were 3.2% higher in September 2026 than a year earlier, and 0.2% higher than in August, according to the Central Statistical Bureau. Transport, mainly fuel, added 1.6 percentage points to the annual rate and housing, water, electricity and gas 1.2 points, while cheaper food took off 1.1 points.

This is the national consumer price index. Eurostat's harmonised index (HICP), used to compare euro area countries, gives a flash estimate of 2.9% for Latvia in September 2026 in its HICP database. The two indices differ slightly in coverage and weights.

Official sources: CSB: Consumer price changes in September 2026 · Eurostat: HICP monthly rates of change

What is the GDP per capita of Latvia?

Latvia's GDP per person was EUR 23,560 in 2025, up from EUR 22,000 in 2024, at current prices, according to Eurostat national accounts based on data from the Central Statistical Bureau. Latvia had 1.845 million residents at the start of 2026.

GDP per capita divides total output by the resident population, so it is not a measure of household income. For comparisons between countries, Eurostat also publishes the figure in purchasing power standards, which adjusts for price levels. The CSB publishes a detailed annual GDP estimate each autumn, and earlier years can be revised.

Official sources: Eurostat: GDP and main components per capita (nama_10_pc)

What is the interest rate in Latvia?

Latvia uses the euro, so its policy interest rates are set by the European Central Bank. Since 16 September 2026 the ECB deposit facility rate is 2.50%, the main refinancing rate 2.65% and the marginal lending rate 2.90%, according to the ECB key interest rates page. The rates were raised by 0.25 points on 17 June 2026 and again in September.

The Bank of Latvia takes part in ECB Governing Council decisions. Rates that banks charge on loans in Latvia are set by each bank and are higher than the ECB rates.

Official sources: ECB: Key ECB interest rates · Bank of Latvia

What are Latvia's biggest exports and trading partners?

Latvia exported goods worth EUR 14.01 billion in January to August 2026, 7.9% more than a year earlier, and imported goods worth EUR 16.76 billion, according to provisional CSB foreign trade data. In August 2026 Lithuania took 18.6% of exports, followed by Estonia (10.9%), Germany (6.6%) and Russia (5.6%).

The largest export increases in August were in mineral products, machinery and electrical equipment, and base metals. Trade values are at current prices, so changes reflect prices as well as volumes. Monthly figures are provisional and are revised in later releases.

Official sources: CSB: Value of exported goods increased by 10.9 % in August

What is Latvia's economic growth rate?

In 2025, real GDP growth in Latvia was 2.1%, according to the World Bank. Its high point since 2005 was 2006, at 12.8%; its low point was 2009, at -16.0%. Across Europe & Central Asia the middle value was 2.1%, and Latvia placed 23rd highest of 49. Worldwide: 125th of 180.

What is GDP per capita in Latvia?

$26,312: that is GDP per person in Latvia for 2025, according to the World Bank. It is the top of the series, which starts in 2005. It is 28th highest of 49 in Europe & Central Asia, where the median is $28,420. Of 180 countries with 2025 data, 44th highest.

How does Latvia's income per person compare after prices?

$46,137 in international dollars: that is GDP per person at purchasing power parity in Latvia for 2025, according to the World Bank. No year since 2005 has been higher. It is 30th highest of 49 in Europe & Central Asia, where the median is $50,946 in international dollars. World rank, highest first: 45th of 179.

How big are Latvia's exports?

The World Bank puts exports of goods and services in Latvia at 62.6% of GDP in 2025. The peak was 77.5% of GDP in 2022 and the low 40.4% of GDP in 2007. Across Europe & Central Asia the middle value was 47.7% of GDP, and Latvia placed 14th highest of 46. Of 133 countries with 2025 data, 26th highest.

Does Latvia earn more abroad than it spends?

The IMF puts the current account balance in Latvia at -5.3% of GDP in 2025, a deficit. Its high point since 2005 was 2009, at 8.0% of GDP; its low point was 2006, at -22.1% of GDP. Across Europe & Central Asia the middle value was -0.3% of GDP, and Latvia placed 39th highest of 47. World rank, highest first: 105th of 132.

How much foreign investment does Latvia receive?

According to the IMF, net inflows of foreign direct investment in Latvia was 0.8% of GDP in 2025. Its high point since 2005 was 2021, at 10.0% of GDP; its low point was 2009, at -0.6% of GDP. Across Europe & Central Asia the middle value was 1.9% of GDP, and Latvia placed 32nd highest of 49. Of 179 countries with 2025 data, 135th highest.