Latvia's Economic and Financial Outlook slide image

Latvia's Economic and Financial Outlook

43 2 107 -1 -2 Inflation close to 3% is healthy, reflecting income convergence potential Latvia has maintained moderate and predictable inflation for years. Core inflation is moderate and stable. Jan-12 Mar-12 May-12 Jul-12 Sep-12 Nov-12 Jan-13 Mar-13 May-13 Jul-13 Sep-13 Nov-13 Jan-14 Inflation (HICP, %) Mar-14 May-14 Jul-14 Sep-14 Nov-14 Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16 Nov-16 Jan-17 Mar-17 May-17 Jul-17 Energy Inflation Source: Central Statistical Bureau of Latvia data, Bank of Latvia calculations Inflation In Latvia (HICP, %) 2.32.5 1.7 May-18 Jul-18 Sep-18 Nov-18 Jan-19 Mar-19 May-19 Harmonised Index of Consumer Prices (May 2019, 12 months average %) 2.9% EU-28: 1.9% Food, alcohol, tobacco Inflation excl. energy, food, alcohol, tobacco Estonia Latvia Belgium Czech Austria France Finland AA-/A1/AA- A/A3/A- AA/Aa3/AA- AA-/A1/AA- AA+/Aa1/AA+ AA/Aa2/AA AA+/Aa1/AA+ Source: Eurostat 3.2 2.9 2.9 3.0 2.8 2.4 2.6 2.3 1.8 0.4 0.6 0.0 0.2 0.1 -0.1 - 0.2 -0.7 - 0.6 2012 2013 2014 2015 2016 Total inflation ■Goods inflation 2017 Services inflation 2018 Source: Central Statistical Bureau of Latvia data 12 Harmonised Index of Consumer Prices Projection (2019-2020, %) 2.6% Source: European Commission, Spring, 2019 EU-28: 1.7% IT Latvia A/A3/A- Estonia AA-/A1/AA- Czech Austria Belgium Finland France AA-/A1/AA- AA+/Aa1/AA+ AA/Aa3/AA- AA+/Aa1/AA+ AA/Aa2/AA
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