FX.co ★ Latvia’s Retail Growth Cools Sharply to 0.8% in December, Signalling Waning Consumer Momentum

Latvia’s retail sector lost significant momentum at the end of 2025, with year-over-year sales growth slowing to 0.8% in December, down from 3.2% in November. The latest figure, released on 29 January 2026, highlights a pronounced deceleration in consumer activity during the key holiday period.

Both the current and previous readings are measured against the same month a year earlier, meaning December’s 0.8% reflects how much retail sales rose compared with December 2024, while November’s 3.2% was measured against November 2024. The step down in growth suggests that, although Latvian consumers continued to spend, the pace of expansion weakened markedly in the final month of the year.

The softer December reading may raise questions about the resilience of household demand going into 2026, especially after a relatively stronger November performance. Market participants and policymakers will be watching upcoming data closely to see whether this slowdown proves temporary or marks the start of a more persistent cooling in Latvia’s retail sector.