RIGA, Latvia – The Latvian economy faces continued deflationary pressures as the nation's Producer Price Index (PPI) experienced a further dip in June 2025. The latest data updated on July 21 indicates that Latvia's PPI has fallen to -0.5%, following a -0.1% drop in the previous month.
This consecutive monthly decline reflects a month-over-month comparison, where the current PPI marks a more pronounced decrease compared to May 2025's figures. The slipping PPI highlights the challenging economic landscape Latvia is navigating, with reduced costs for goods produced and manufactured within the country. This trend could have significant implications for the country's economic health, signaling potential issues in industrial profitability and economic output.
As the nation grapples with a falling PPI, stakeholders will be closely watching for any policy measures or economic adjustments to counteract these deflationary signals and support local producers. The continued slide underscores the need for strategic interventions to stabilize prices and rejuvenate industrial growth within Latvia.
