Boston, MA -- (ReleaseWire) -- 03/28/2014 -- Latvia's economic recovery will continue into 2014 and beyond, although we emphasize that strong headline real GDP growth is largely a result of statistical base effects. We see growing scope for the government to ease up on its long-held policy of fiscal austerity going forward.
We anticipate the moderation in consumer prices in Latvia to pick up slightly in 2014. We forecast inflation to average 0.1% in 2013 and 1.1% in 2014.
Major Forecast Changes
We have revised up our expectations for the current account deficit, which we now expect to arrive at 1.2% in 2014, from a previous forecast of 2.2%
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