LATVIA

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Latvia Economy

Country Name: Republic of Latvia

Capital City: Riga

Population: 2,274,735 (2006)

Population Growth: -0.67% (2006)

Currency: Latvian lat (LVL)

Languages: Latvian

Area: 64,589 sq km

Inflation Rate: 6.8% (December 2006 est.)

Unemployment Rate: 7.5% (2005)

Domain extension: .lv

ECONOMIC DETAILS OF LATVIA

ECONOMY OVERVIEW
Latvia's economy experienced average GDP growth of more than 7.0% over the past several years. In 2006 it reached 10.2% real GDP growth. The majority of companies, banks, and real estate have been privatized, although the state still holds sizable stakes in a few large enterprises. Latvia officially joined the World Trade Organization in February 1999. EU membership, a top foreign policy goal, came in May 2004. The current account deficit - more than 15% of GDP in 2006 - and inflation remain major concerns.

GDP - purchasing power parity:

$36.49 billion (2006 est.)

GDP - real growth rate:

11.9% (2006 est.)

GDP - per capita:

$16,000 (2006 est.)

GDP - by sector (agriculture):

agriculture: 3.7%

GDP - by sector (industry):

industry: 26.3%

GDP - by sector (services):

services: 70% (2006 est.)

Export Partners:

Lithuania 14.1%, Estonia 12.2%, Russia 11.6%, Germany 9.8%, UK 7.7%, Sweden 6.3%, Denmark 4.8% (2006)

Import Partners:

Germany 15.4%, Lithuania 13%, Russia 8%, Estonia 7.7%, Poland 7.2%, Finland 5.7%, Sweden 5%, Belarus 4.7% (2006)

Export Commodities:

wood and wood products, machinery and equipment, metals, textiles, foodstuffs

Import Commodities:

machinery and equipment, chemicals, fuels, vehicles

Exports Volume:

$6.98 billion f.o.b. (2006 est.)

Imports Volume:

$10.33 billion f.o.b. (2006 est.)

Labour Force:

1.136 million (2006 est.)

Unemployment Rate:

6.5% (December 2006 est.)

Population below poverty line:

NA%

Inflation Rate:

6.8% (December 2006 est.)

Investment (gross fixed):

31.4% of GDP (2006 est.)

Public Debt:

11% of GDP (2006 est.)

Agriculture Products:

grain, sugar beets, potatoes, vegetables; beef, pork, milk, eggs; fish

Industries:

buses, vans, street and railroad cars; synthetic fibers, agricultural machinery, fertilizers, washing machines, radios, electronics, pharmaceuticals, processed foods, textiles; note - dependent on imports for energy and raw materials

Industrial Production Growth Rate:

8.5% (2006 est.)

Electricity - production:

4.55 billion kWh (2004)

Electricity - consumption:

6.329 billion kWh (2004)

Electricity - exports:

707 million kWh (2005)

Electricity - imports:

2.855 billion kWh (2005)

Oil - production:

0 bbl/day (2004 est.)

Oil - consumption:

47,000 bbl/day (2004 est.)

Oil - exports:

0 bbl/day (2004)

Oil - imports:

0 bbl/day (2004)

Natural gas - production:

0 cu m (2004 est.)

Natural gas - consumption:

Natural gas - exports:

Natural gas - imports:

Current Account Balance:

-$2.538 billion (2006 est.)

Currency Code:

Latvian lat (LVL)