Economy
In September 2022, for the fourth consequent month, business confidence indicators are negative in all business sectors, according to data published on September 30 by the Central Statistical Bureau (CSB).
Before the new heating season, typically information is typically compiled on how much the population is in debt to utilities and thermal plants. This season, due to the energy price crisis, delayed payments will not be penalized, Latvian Radio reported on September 30.
Calendar adjusted data (at constant prices) compiled by the Central Statistical Bureau (CSB) and published September 29 show that, compared to August 2021, in August 2022 total retail trade turnover rose by 0.7 %.
Rīga residents are ready to put on an extra layer and not yet turn on central heating. Latvian Radio reported on September 29 that people say they are trying to save, and they are not yet cold.
In response to the information on potential sabotage of the gas transmission infrastructure in the Baltic Sea “Nord Stream”, the Latvian authorities have stepped up security measures in the energy transmission infrastructure sector, the Ministry of Interior told LETA on September 28.
It is likely that low-value wood prices will continue to rise at least until spring, according to experts in the sector. There is a growing shortage of working arms in the forests, while existing workers have moved from public forests to private ones, Latvian Radio reported on September 28.
Data published on September 27 by the Central Statistical Bureau show that in August 2022, compared to August 2021, the level of construction costs in Latvia increased by 20.5 %.
The procurement commission has named Citrus Solutions as the winner of the tender procedure for the design, supervision, and construction of the new prison complex in Liepāja, the Ministry of Justice said on September 27.
The most recent (August 2022) "Payment Radar" data published September 27 by the Latvian central bank (Latvijas Banka, LB) suggests that while electronic payments are becoming more and more important, cash is still very much alive and kicking in Latvia.
In Latvia, at the beginning of September, total tax debts, including current, suspended debts, and maturity extensions, amounted to EUR 1.093 billion, which is 0.1% more than a month earlier and 4.7% more than at the beginning of the year, according to data from the State Revenue Service (VID), LETA reported on September 26.
The Rīga municipal heating company Rīgas siltums' thermal energy tariff will double as of October - from EUR 85.45 per megawatt-hour (MWh) to EUR 170.59 per MWh, according to the decision of the Public Service Regulatory Commission (SPRK), LETA reported.
77% of surveyed Internet shoppers in Latvia check and compare the price of goods before buying, according to a survey by the internet store 220.lv and Norstat, LETA reported on September 25.
Latvijas Banka, the Latvian central bank (LB) on September 23 published its latest macroeconomic forecasts, with 2023 now expected to be a year of "stagnation" instead of growth.
The Latvian economy has already begun to slow down. The winter will be difficult economically and a recession is expected, but the fall in GDP will not be very deep, Latvian central bank governor Mārtiņš Kazāks said on Latvian Television September 23.
The Ministry of Economics (EM) will move three additional support measures to compensate households for the rise in electricity and heating prices in the near future, said Edijs Šaicāns, deputy State Secretary of the EM for Energy, during the meeting of the Saeima's Sustainable Development Committee September 21.
Data published by the Central Statistical Bureau of Latvia on September 21 show that in August 2022, compared to August 2021, level of producer prices in Latvian industry rose by 35.0 %.
It will be allowed to lower central heating and hot water temperatures slightly during this heating season, Latvian government decided on September 20.
Energy resource price ceiling restrictions should be temporary, energy expert and consultant Juris Ozoliņš said in an interview with Latvian Radio September 20.
It is planned to set price ceilings for central heating, natural gas, and electricity, and it is planned to decide on specific solutions in the forthcoming government meetings, said Saeima deputy Arvils Ašeradens (New Unity) after the coalition meeting on September 19.
Latvia is rich in forests, and our current situation calls for the use of this resource to strengthen Latvia’s energy independence,” said Arnis Muižnieks, board chairman of the Latvian Forest Owners’ Association.
In the heating season, the Riga House Manager (Rīgas namu pārvaldnieks, RNP) which maintains most multi-apartment buildings in the capital, will reduce heating temperatures by one to two degrees, which according to the operator's estimates, would save costs by 5%-10%, Latvian Television reported on September 16.
According to the data of the Central Statistical Bureau, in July 2022 the number of foreign and resident visitors comprised 344.2 thousand, which is 34 % more than in July 2021.
Active construction of office buildings is continuing in Rīga. According to the real estate company Newsec, in Q2 of this year, only 11% of all office spaces were free. The market will increase substantially this and the next year. Given that many work remotely or in hybrid mode, will so many offices be needed? Latvian Radio explored the topic on September 16.
Provisional data published by the Central Statistical Bureau (CSB) September 15 show that, compared to the 2nd quarter of 2021, in the 2nd quarter of 2022 prices of dwellings rose by 16.5 %.
Inflation has raised concerns for shops about a possible rise in thefts in the autumn and winter. The shops say currently there is no such trend, but the security company G4S Latvia says there is, Latvian Radio reported on September 15.
If Russian gas had already been turned down in 2014 after the annexation of Crimea, the Baltic states would by now have adapted to the new conditions and would be an energy-independent region, argues Jānis Irbe, Chairman of the Board of the Latvian Renewable Energy Federation.
Price ceilings should be set on heating bills, said Prime Minister Krišjānis Kariņš in an interview on Latvian Television September 14. In that case, the country would have to borrow funds.
Luminor Bank forecasts a 0.5% decline in gross domestic product (GDP) next year, the bank economist Pēteris Strautiņš said in a presentation of the forecasts for Latvia and the Baltic economy, LETA reported on September 13.
Around half of Latvian households could have problems with the payment of energy bills this season, said Gints Kaminskis, Chairman of the Latvian Association of Local Governments (LPS), in an interview with Latvian Television on September 13.
The development of solar parks in Latvia has gained momentum in the last two years, and in the near future, the first solar parks that are currently under development will begin to bear fruit. The interest in developing solar parks in Latvia is shown by both local and foreign investors. Competition for free capacity is huge because grid capacity is exhausted, Latvian Radio reported on September 13.
Most important
Most read
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.