FX.co ★ Latvia’s Trade Deficit Narrows in July, Offering Tentative Relief for External Balance

Latvia’s trade balance showed a modest improvement in July 2026, with the deficit narrowing to EUR -453.6 million from EUR -476.0 million in June 2026. The latest figures, updated on 9 September 2026, indicate a slight easing in external imbalances during the height of the summer period.

While the country continues to run a significant trade deficit, the reduced gap suggests either a relative strengthening in exports, a cooling in import demand, or a combination of both. Investors and policymakers will be watching upcoming releases closely to see whether July’s improvement marks the start of a more sustained adjustment in Latvia’s trade position or a temporary fluctuation within a still-challenged external sector.