Flash estimate puts Latvia's economic downturn in 2020 at 3.5 pct
The Ministry of Economics indicated that towards the end of last year, the contraction of the Baltic country's GDP considerably slowed in comparison with the second and third quarters of the year, as growth gradually returned in sectors less affected by the coronavirus crisis.
The ministry noted a strong performance of the agricultural and forest sectors, as well as the mining industry. Fast export growth in the fourth quarter of 2020 was an indication of reviving manufacturing, and the construction sector closed last year with comparatively good results as well, the ministry said.
With tough COVID-19 rules still hampering economic activity, Latvia's GDP is likely to keep dropping in the first quarter of 2021, the ministry projected.
According to the ministry's current forecast, Latvia's economic growth might exceed 3 percent this year.