Investor Presentaiton

6.0 5.0 4.0 3.0 2.0 1.0 0.0 1995 1996 1997 1998 Source: Eurostat 6.0 5.5 5.0 4.5 4.0 3.5 3.0 2.5 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 13 Source: Eurostat 1999 2000 2001 M 2002 2003 Debt reduction has been achieved without compromising levels of public investment, which is above EU average, even netting out EU support 2004 European Union - 27 countries (from 2020) 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 ※ 2019 2020 2021 2022 SOLID GROWTH, FISCAL BUFFERS AND HIGH PREVIOUS YEARS PUBLIC INVESTMENTS IN Moderate deficits and solid growth during 2012 -2019 contributed to public debt reduction Since 1995 Latvia's GDP per capita (PPS, 1995=1) has experienced significant increase relative to EU average Change in GDP per capita (1995-1) current prices, purchasing power standard (PPS, EU27 from 2020) Moderate deficits and solid growth during 2012 -2019 contributed to debt reduction by 10 pp in 8 years thus building fiscal buffer for next challenges General government budget balance (% of GDP) 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2.0 0.0 -2.0 -4.0 -4.3 -4.3 -6.0 -8.0 -10.0 -1.4 *** 0.0 -1.2 -0.8 -0.8 -0.6 -1.4 -1.6 -4.4 !|! -4.4 -7.1 ■One-off measures (Covid-19, energy etc.) -9.5 -8.6 Source: Eurostat, Stability Program 2023-2026 (approved on April 6, 2023) General Government Debt (% of GDP) 50.0 45.0 47.6 45.1 43.7 42.0 42.4 41.6 40.8 40.3 40.3 38.9 37.0 37.0 36.5 40.0 LV Gross fixed capital 37.0 formation, % of GDP 35.0 30.0 25.0 18.5 LV Gross fixed capital 20.0 formation net of LV capital transfers 15.0 11.9 10.0 8.4 receivable from EU institutions, % of GDP 10.0 5.0 EU27 Gross fixed capital formation, % of 0.0 GDP 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Source: Eurostat

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