Latvia’s inflation reaches 16 percent

March 10th, 2008 - 9:25 pm ICT by admin  

RIA Novosti
Riga, March 10 (RIA Novosti) Latvia’s inflation in the past year has been the highest in the European Union (EU), with average prices up 16.7 percent amid soaring food and fuel prices, the national statistics service said Monday. The worrying price surge in one of the EU’s poorest nations has prompted trade unions to start gathering signatures in support of a constitutional amendment that would allow dissolution of parliament by a referendum, the country’s Central Election Commission told RIA Novosti.

The former Soviet republic’s Central Statistical Bureau said food prices grew 11.6 percent during the period.

The inflation rate in the Baltic country, which joined the 27-nation EU in 2004, was 15.1 percent year-on-year in January, and has now been on the rise for nine consecutive months.

If the necessary 145,000 signatures are collected, draft changes to the constitution will be passed on to parliament.

The statistics service said that although economic growth remained strong last year, at an impressive 10.2 percent, the country’s current account deficit has reached 24.8 percent of GDP, the highest in the EU.
RIA Novosti

Tags: , , , , , , , , , , , , , , , , , , ,

Posted in Business |