RISP2601
In 2025, GDP has increased by 2.1 %
Data compiled by the Central Statistical Bureau (CSB) show that in 2025, compared to 2024, the Gross Domestic Product (GDP) rose by 2.1 %. Last year GDP at current prices amounted to EUR 43.0 billion. Manufacturing and construction sectors contributed the most to the annual GDP growth.
In the 4th quarter of 2025, compared to the 4th quarter of 2024, GDP at constant prices rose by 2.9 % (according to seasonally and calendar non-adjusted data). Compared to the 3rd quarter, GDP increased by 0.6 % (according to seasonally and calendar adjusted data at constant prices). In the 4th quarter of 2025, GDP at current prices was EUR 11.8 billion. Manufacturing contributed the most to the GDP.
In the 4th quarter, the most significant contribution to the growth of value added was made not only by manufacturing, but also by construction, trade, and information and communication services. A decrease was observed in the agriculture, forestry and fishing sectors, as well as in transportation and storage sector.
Production approach
(at constant prices, seasonally and calendar non-adjusted data)
In 2025 value added of producing sectors went up by 3.2 %, but of the services sector by 1.6 %.
Reduction was registered in volume of agriculture, forestry and fishing – of 3.2 %, which was affected by production output decrease in forestry and logging (6.5 %), and reduction in fishery (5.3 %). Rise in agriculture comprised 2.9 %.
A reduction in peat extraction and processing of 14.2 % and drop in quarrying of gravel and sand of 20.6 % affected the overall manufacturing volume drop in mining by 15.3 %.
Manufacturing witnessed a rise of 4.7 %, which was affected by the increase in 15 out of 22 manufacturing sub-sectors. In the sub-sector having the largest share in manufacturing – manufacture of wood and of products of wood – the volume increased by 6.0 %, in manufacturing of food products by 8.9 %, in manufacture of other non-metallic mineral products by 13.5 %. Recession was observed in manufacture of beverages, which shows a drop of 4.9 %, and manufacture of chemicals and chemical products (4.3 %).
In electricity, gas, steam and air conditioning supply manufacturing volumes fell by 1.3 %.
The value added of construction went up by 9.0 % rose 2025. Over the year, construction of buildings rose by 1.5 %. Volume of civil engineering increased by 27.0 %, of specialised construction by 2.8 %.
Value added of retail trade has gone up by 1.4 %. Wholesale trade, retail trade and repair of motor vehicles and motorcycles increased by 7.3 % and wholesale trade by 2.4 %.
Transportation and storage sector showed a negative upturn in 2025 (drop by 3.5 %). Value added of land and pipeline transport went down by 2.6 %, of warehousing and support activities for transportation by 4.1 %, of postal and courier activities by 4.3 %, and of air transport by 11.8 %.
The volume of services provided in accommodation and catering services increased by 3.4 %, of which accommodation experienced a rise of 3.7 %, but catering services a drop of 3.4 %.
In 2025, the information and communication sector experienced an increase of 4.9 %, of which in the largest sub-sectors: computer programming and consultancy sector (8.5 %), and provision of telecommunication services (2.9 %). In turn, a drop of 7.0 % is observed in information services.
In 2025, the decrease in financial and insurance activities in the amount of 0.7 % was determined by the financial service activities and activities auxiliary to financial services and insurance activities – reduction of 0.5 % and 19.4 %, respectively. A rise of 11.9 % in insurance, reinsurance and pension funding was ensured by all enterprise groups, but the totalcontributions to private pension plans had the largest impact. The value added of activities auxiliary to financial services and insurance activities fell by 19.4 %. This drop was affected by such enterprise groups as other activities auxiliary to financial services, except insurance and pension funding, activity of insurance agents and brokers and investment management companies.
Volume of professional, scientific and technical activities decreased by 3.2 % in 2025. Development of the sector was promoted by rise in activities of head offices, management consultancy activities and advertising and market research of 8.2 %, architectural and engineering services, technical testing and analysis of 11.7 %, provision of other professional, scientific and technical activities of 2.9 %. The sector was negatively affected by drop in provision of legal and accounting activities (0.2 %), and provision of advertising and market research (6.4 %).
Rise of administrative and support service activities of 6.5 % was promoted by positive development in provision of rental and leasing services sector of 1.5 %, office administrative activities of 7.4 % and labour recruitment and provision of personnel of 6.9 %. The sector was negatively affected by drop in security and investigation activities by 1.0 % and in building maintenance and provision of landscape architectural services by 0.2 %.
Value added of the arts, entertainment and recreation sector has gone up by 0.2 %. Development of the sector was positively promoted by an increase in sports activities of 2.6 %, as well as creative and arts activities of 4.1 %. Development of the sector was negatively affected by drop of 3.6 % in gambling and betting activities.
In 2025, the volume of taxes on products (mainly value added tax, excise and customs taxes) increased by 3.0 %, which was promoted by growth in income from value added tax.
Expenditure approach
(at constant prices, seasonally and calendar non-adjusted data)
In 2025, compared to 2024, household final consumption rose by 0.8 %. Consumption of food products fell by 0.8 %. The volume of goods and services used by households in the housing, water, electricity, gas and other fuels expenditure group decreased by 1.6 %. In turn, volume of expenditure on restaurants and hotels in households has increased by 3.3 %. Also, expenditure of households on transport (public transport, purchase and exploitation of transport vehicles) increased by 2.8%.
Government final consumption expenditure grew by 3.3 %.
Investment in gross fixed capital formation in total rose by 9.8 %. Investment in dwellings and other buildings and structures increased by 9.0 %, in machinery and equipment (of which in transport vehicles) by 13.2 %. Investment in intellectual property products (research, computer software, databases, copyrights, etc.) – went up by 1.1 %.
Exports of goods and services went up by 0.1 %. Exports of goods reduced by 0.3 %, but of services increased by 1.0 % The main commodities in exports were wood and products of wood (except furniture), electrical machinery and equipment, as well as mineral products. In 2025, the main services exported were exports of transport services and other economic activity (R&D, professional and management consulting, technical, trade-related and other business).
Imports of goods and services increased by 5.7 %, of which imports of goods volume by 4.9 %, but imports – by 9.1 %. Mainly, mineral products, electrical machinery and equipment, vehicles and associated transport equipment are imported. Main imports services: transport services and other economic activity services.
Income approach
(2025 compared to 2024, at current prices)
In 2025 the compensation of employees has increased by 6.4 %, of which total wages and salaries by 6.5 %, but employers' social security contributions by 5.8 %.
Compensation of employees in producing sectors has risen by 6.5 %, most rapidly it rose in construction (by 11.0 %) and sectors group – mining and quarrying; manufacturing; electricity, gas, steam and air conditioning supply; water supply, sewerage, waste management and remediation activities (by 6.3 %).
Compensation of employees in services sectors rose by 7.5 %. It has increased more rapidly in arts, entertainment and recreation sectors (by 11.8 %), financial and insurance activities (by 8.3 %) and professional, scientific and technical activities, as well as administrative and support service activities (by 8.2 %).
Gross operating surplus and mixed income increased by 5.0 %, and taxes on production and imports less subsidies rose by 6.0 %.
Possible changes made by the government sector estimates, balance of payments and financial services sector, moreover updated indices of business services will be taken into account in the GDP calculations and balancing of the quarterly national accounts on the 85th day after the reference quarter. The updated information will be available on the official statistics portal on March 26.
Time series of historical data and revision values of main GDP indicators are available for download in Excel files in the OSP GDP metadata section.
More information on the GDP is available in official statistics portal section Economy Gross domestic product – quarterly data.
Methodological information
Calculations of quarterly data of the GDP are made in line with the methodology of the European System of Accounts (ESA 2010). Main data sources used in calculations are:
Surveys of quarterly and monthly enterprises and institutions;
Labour Force Survey data carried out by the CSB;
Data from the Ministry of Finance, the Treasury and the State Revenue Service;
Latvijas Banka;
Data from the Institute of Agricultural Resources and Economics.
The GDP statistics from production and expenditure approach is calculated at current prices (registration and calculations are made at the actual prices of the corresponding period) and constant prices. The indicators at constant prices are expressed at prices of the previous calendar year and prices of the reference year (chain-linked), thus excluding the effect of changes in prices during the certain period.
To calculate GDP at the prices of the previous calendar year the actual prices of the previous calendar year are used as a base and the ‘annual average’ method (where each running quarter (or year) is calculated at the average prices of the previous year) is used. To make the calculations, various deflators are used. Both volume indices and price indices may be used as deflators. The following price indices are used: consumer price index, producer price index, construction cost index, services producer price index, price indices of agricultural products, export unit value index, import price index. The following volume indices are used: change in number of employees and change in natural indicators (e.g., in removals, passenger number, etc.).
To calculate GDP at the prices of the reference (base) year (currently, prices of 2020) the indices calculated from the GDP indicators at the prices of the previous year are used to chain-link the calculated volume indices with 2020.
GDP from the income approach is calculated at current prices only.
The published data are adjusted in line with the Guidelines for CSB Revision Policy. The adjustments are made due to receipt of specified information as well as the latest administrative data, inclusion of new economically active enterprises and institutions in surveys, specification of economic activity of sector of enterprises.
Media requests:
Public Relations Section
E-mail: media@csp.gov.lv
Phone: +371 27880666
More information on the data:
Gita Ķiņķevska
Quarterly National Accounts Section
E-mail: Gita.Kinkevska@csp.gov.lv
Phone: +371 67366791
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