Double-Digit Inflation To Persist

March 2008
Emerging Europe Monitor: Central Europe & Baltic States;Mar2008, Vol. 15 Issue 3, p11
Country Report
This article presents an economic outlook for Latvia for 2008. It is noted that inflation is likely to remain stuck at high levels in 2008, increasing the risks of a hard landing for the economy. Although it is expected that domestic demand is likely to decelerate in 2008-2009, economic activity affects prices with a lag and it will be at least five to six months after the peak of the business cycle before core inflationary pressures start to decline.


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