Portrait of an Ascending Sovereign Credit

Average EU (27 countries) 1,4% 0.7 Estonia Luxembourg Sweden Denmark Bulgaria Germany Latvia Lithuania Netherlands Source: Eurostat (October 2021) 29 Finland Czechia Ireland Slovakia France Malta Interest payments 2020, % GDP General government debt remains well below 60% of GDP Despite the recent increase due to fiscal impact of Covid-19 pandemic debt level is expected to be in line with Maastricht criteria in the medium term • • • Key Characteristics of Latvia's Government Debt General government debt was amongst the lowest in the EU at 43,5 % of GDP at the end of 2020 - the 3rd lowest in the Eurozone and the 7th lowest in the EU General government debt level increased due to fiscal impact of Covid-19 pandemic, but expected to be well below 60% of GDP in the medium term Latvia enjoys one of the lowest debt servicing costs across the region, significantly lower than the EU and Eurozone averages Since March 2014 Latvia participates in the European Stability Mechanism, which provides additional financial stability to its members General Government Debt at Year End (EUR million, % GDP, ESA methodology) 52% 49% 49% 49% 43% 40% 39% 37% 37% 17 591 17 827 18 628 15 300 12 754 10 245 10 519 10 816 11 247 Austria Poland Romania Slovenia Belgium Croatia Spain Cyprus Hungary Portugal Greece Italy Estonia Luxembourg 19. Latvia - Lithuania Source: Eurostat (October 2021) 3.5 % of GDP Average Eurozone 97,3% 43.2-46.6 2016 2017 2018 2019 2020 2021 F 2022 F 2023 F 2024 F Source: Eurostat (actual data 2016-2020), forecast 2021-2024 (Medium Term Budget Framework Law 2022-2024) General Government Debt 2020, % GDP (Eurozone countries) Malta Netherlands Ireland Slovakia Germany Finland Slovenia Austria Belgium France Cyprus Spain Portugal Italy Greece 206.3

View entire presentation