FX.co ★ Latvia's Producer Price Index Drops Sharply in December: Key Insights

Riga, Latvia—The latest statistics showcase a significant decline in Latvia's Producer Price Index (PPI), as reported by national authorities on January 22, 2026. Marking a crucial shift in the country's economic landscape, the PPI stood at 1.0% in December 2025, a stark fall from November's 2.1%.

This year-over-year measurement, which compares the current month with the same month from the previous year, indicates escalating challenges in the country's production sector. The December 2025 data, when juxtaposed with the previous year's figures, highlights a slowdown in the production industry's price growth a month earlier as well. November 2025 had already shown signs of decreasing momentum when it registered a PPI of 2.1% compared to its earlier performances.

Economists are closely monitoring this downtrend, as it may signal ongoing adjustments within Latvia's overarching economic framework or point to challenges such as reduced demand or input cost variations domestically and internationally. Keeping an eye on these shifts can be vital for stakeholders in making informed decisions, as the country navigates through these headwinds in its production and pricing arenas.