News

December 2005

Latvia has shown the highest economic growth rates in the EU

The rates of economic growth in Latvia have been very fast in recent years. Since 2000 Latvian GDP (Gross domestic product) has increased annually by 7,7% on average. Such indicators of development are among the highest in the European Union.
Stability and predictability of business environment is also indicated by number of newly founded enterprises and commercial companies, that reached 1046 in November 2004 (record number of the last 10 years). Official data show indicate positive trends in growth of the number of newly founded enterprises (7690 newly founded enterprises were registered in 2003, 10 228 – in 2004, which is by 33% more than in 2003).
Moreover, Latvia has the leading positions in the investment dynamics among the EU member states. In the period from 2001 to 2004 the investment in the private sector has doubled (increased on average by 19% annually) while the investment in the public sector has increased by 32% in 4 years (on average by 7,7% annually).
A chart indicating financial inflows can be seen below.

Inflow of Foreign Investment into Latvian Economy