Translated using ChatGPT service.
According to the Central Statistical Bureau's preliminary assessment, Latvia’s GDP in the third quarter of this year was 2.4% lower in comparable prices than a year ago. The GDP decline in Q3 was primarily driven by a 4.1% decrease in the production sectors. The output in the services sector also dropped, though more moderately by 2.3%, while product tax revenues in Q3 were down by 1.3%.
Detailed data for Q3 will be available in a month, but current indicators suggest that the downward trends observed in the first half of this year have continued into Q3. The production sectors were particularly impacted by adverse external conditions.
In the first eight months of 2024, goods exports in actual prices were down 3.4% compared to last year, while imports decreased by 7.7%. Manufacturing output over this period was 3% lower than last year, with trends varying significantly across sub-sectors. Notable positive impacts came from the production of non-metallic mineral products, rubber and plastics manufacturing, and the chemical industry. However, there was a decline in finished metal product manufacturing and in the two largest manufacturing sub-sectors—wood processing and food production.
The services sector also experienced a downturn, with significant declines in transportation and storage services and real estate activities. However, there were increases in administrative and support services, accommodation and food services, and information and communication services.
In Q3 of this year, retail volumes were 0.5% higher than a year ago, indicating that household consumption remained steady.