FX.co ★ Latvia's Current Account Balance Swings to -4.10% in First Quarter of 2025

In a significant economic shift, Latvia's current account balance as a percentage of GDP plummeted to -4.10% in the first quarter of 2025, from a positive 0.80% recorded in the last quarter of 2024. This marked downturn highlights a rapid reversal in the country's economic stance as the latest data came to light on June 5, 2025.

The -4.10% figure represents the net balance of Latvia's international transactions, signifying a greater outflow than the inflow of funds. The shift from a positive to a negative percentage points to potential underlying dynamics within the Latvian economy, such as a surge in imports, declining exports, or changes in investments. As the nation navigates these economic challenges, policymakers and economists will be closely monitoring these developments to address any potential impacts on the broader economic landscape.

This dramatic change in the current account balance underscores the volatility of global economic interactions and their direct effects on national economies. With global economic uncertainties continuing, Latvia's economic planners may need to reassess strategies to stabilize and improve the nation's current account standings in the upcoming quarters.