Republic of Latvia

This 2004 Article IV Consultation highlights that since the last Article IV consultation discussions, economic activity in Latvia has maintained its momentum. GDP grew 7½ percent in 2003 and 8¾ percent year over year in the first quarter of 2004; however, inflation climbed to 6.1 percent at end-June, from 3.6 percent at end-2003. Fiscal performance has improved appreciably, and public debt remains low. The general budget deficit, at 1.6 percent of GDP in 2003, narrowed by nearly 1 percentage point from 2002, reflecting lower-than-budgeted expenditures, unexpectedly high tax revenues, and lower net lending.Article IV consultations;Staff Reports;current account, credit, external debt, current account deficit, payments, prices, balance of payments, public sector debt, net external debt, central bank, short-term debt, public debt, current account balance, debt sustainability, debt stock, amortization, debt dynamics, long-term debt, confidentiality, purchases, payment systems, net debt, reserve assets, reserve requirements, domestic currency, long-term loans, external financing, debt data, currency mismatches, counterpart, shares, reserve management, total external debt, debt ratio, currency board, refinancing, public external debt, government debt, terms of trade, currency composition, external shocks