The annual inflation rate in Latvia increased to 3.4 percent in April 2019 from 2.8 percent in the previous month. It was the highest inflation rate since April 2017, as prices advanced faster for food & non-alcoholic beverages (3.4 percent vs 2.3 percent in March), mainly fresh vegetables (18.4 percent); housing (5.9 percent vs 5.7 percent); transport (3.3 percent vs 1.2 percent); alcoholic beverages & tobacco (6.0 percent vs 5.4 percent) and communication (2.9 percent vs 2.6 percent). On the other hand, recreation & culture cost slowed (2.3 percent vs 2.8 percent) while prices fell for clothing & footwear (-0.3 percent vs 0.7 percent). On a monthly basis, consumer prices inched up 0.9 percent, after increasing 1.1 percent in March. Inflation Rate in Latvia averaged 3.64 percent from 1998 until 2019, reaching an all time high of 17.70 percent in May of 2008 and a record low of -4.30 percent in February of 2010.
Inflation Rate in Latvia is expected to be 2.70 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Latvia to stand at 2.00 in 12 months time. In the long-term, the Latvia Inflation Rate is projected to trend around 2.20 percent in 2020, according to our econometric models.