Latvia: Economic sentiment drops to over one-year low in August
Latest reading: Economic sentiment came in at 97.2 in August, down from July’s 99.5. August’s result marked the weakest sentiment since July 2024. Consequently, the index remained below the long-term average of 100, pointing to a muted near-term outlook for the economy.
The headline print reflected declining sentiment in the industrial and construction sectors, as well as among consumers. However, sentiment in the services and retail sectors improved in August.
Regarding indicators that are not used to calculate the index, employment expectations were unchanged, while the economic uncertainty index increased in August.