Latvia: Economic sentiment rises to over two-year high in April
Economic sentiment rose to 98.2 in April from March’s 98.0. April’s result marked the strongest sentiment since February 2022. Nevertheless, the index remained below the long-term average of 100, pointing to a muted near-term outlook for the economy.
The headline print reflected rising sentiment in the retail sector and stronger consumer confidence. Less positively, April saw deteriorating sentiment in the industrial sector and dampened sentiment in the construction sector. Additionally, confidence in the services sector cooled in April.
Considering indicators that are not used to calculate the index, employment expectations deteriorated, while the economic uncertainty index decreased in April.