The Latvian Government sold lati after the currency reached its trading band limit, being the first sell since the month of November, as the nation moved closer to get the next tranche of a billionaire loan to rescue the weakened Baltic economy.
Latvian Lats LVL
Detailed information and fundamental factors
Central Bank: Bank of Latvia
Interest Rate: 2.50%
Public Debt to GDP Ratio, 2011: 44.8%
Trade Balance, 2011: -$2.8 bln.
Inflation, 2011: 4.4%
Supporting Factors
High-yielding interest rates
weak
Factors of Weakness
Dependence on the eurozone
The Latvian lats (plural: lati) is the currency used in Latvia. The lats was first introduced in 1922, replaced by the Soviet ruble after Latvia became part of the USSR and was reintroduced in 1993. The lats is one of the highest-valued currencies in the world. The government planned to replace the lats with the euro, but the plans were postponed. Latvia’s economy was severely hit by the crisis in 2008, but since recovered is one of the fastest-growing economies of the European Union.
Latvian Lats News Archive
