Latvia: Industrial output drops for third consecutive month
June 3, 2013
Industrial production data for April showed that output fell 1.0% over the same month last year. Although the reading marks an improvement compared to the 2.9% decline registered in March, it still represents a third consecutive contraction. The drop mostly reflects declines in manufacturing output as well as in mining and quarrying. In contrast, electricity and gas supply improved over the previous month.
A month-on-month comparison paints a rosier picture than the annual data, as industrial production increased a seasonally adjusted 0.5% in April, which follows a 0.7% expansion in March. Nonetheless, the trend continues to point downwards, with annual average growth in industrial production dropping from 4.0% in March to 3.6% in April.
FocusEconomics Consensus Forecast panellists expect industrial production to increase 5.6% this year, which is down 0.4 percentage points from last month's estimate. For 2014, the panel expects growth in industrial output to accelerate to 7.5%.
Author: Ricardo Aceves, Senior Economist