According to the European Commission’s summer forecast, Latvia’s economic growth this year is projected at 3.3%.
The European Commission Vice-President for the Euro and Social Dialogue Valdis Dombrovskis said that Latvia’s economic development was fostered by strong private consumption and increasing investments co-financed by the European Union funds.
On the other hand, decreasing volumes of non-resident deposits in the financial sector and declining amounts of transit freight in the transport sector have a negative impact on the economy, said Dombrovskis.
Unemployment continues to decrease in Latvia, while wages are growing fast. It is important that productivity also increases in order to ensure sustainable economic growth, the Commission believes.
According to the Commission’s summer forecast, Lithuania’s economic growth this year is projected at 3.1% and Estonia’s at 3.5%.
