On November 22, AmCham members and guests had an opportunity to join the luncheon with Martins Kazaks, Governor of the Central Bank of Latvia to learn more about the global and regional economic outlook.
According to Mr. Kazaks, uncertainty has reached new heights in Europe caused by Russian aggression in Ukraine and global geopolitical tensions, an energy crisis, global inflationary pressures, a possible resurgence of Covid-19 and recession fears. It means that the Euro area inflation is likely to remain above 2% inflation in the coming years.
He emphasized that the baseline scenario forecast for Latvia is a short-lived and shallow recession and economic recovery to a large extent will depend on the transition to alternative energy supplies and efforts to stabilize energy prices. He added that the government support should be timely, targeted, temporary and proportionate. Overall, the Governor stressed the importance to increase competitiveness by focusing on energy independence, education and further development of Riga as the capital city.
To view the presentation of Martins Kazaks