Analytics, Economics, Financial Services, GDP, Inflation, Investments, Latvia

Economic growth is expected to slow down slightly compared to the previous year: the base scenario for 2013 predicts 3.6%, primarily because of external risks and the related delayed investments, reports press secretary of the Bank of Latvia Mārtiņš Grāvītis.

The Bank of Latvia Council therefore maintains that the current monetary policy conditions are suited to the economic situation.

The interest rates set by the Bank of Latvia are as follows:

• In effect as of % per annum
• Bank of Latvia refinancing rate 24.09.2012. 2.5
• Bank of Latvia marginal lending facility rate to banks that have used the facility no more than 5 working days within the previous 30 day period 24.09.2012. 3.0
• Bank of Latvia marginal lending facility rate to banks that have used the facility no more than 10 working days within the previous 30 day period 24.09.2012. 6.0
• Bank of Latvia marginal lending facility rate to banks that have used the facility more than 10 working days within the previous 30 day period 24.09.2012. 9.0
• Bank of Latvia overnight deposit facility rate 24.09.2012. 0.050
• Bank of Latvia 7-day deposit facility rate 24.09.2012. 0.075

The Bank of Latvia Council made amendments to the "Regulation for Purchasing and Selling Cash Foreign Currency" that will take effect on 01.02.2013.

The Regulation specifies that no licence is granted to a foreign currency purchasing and selling point that already has a valid licence. It likewise specifies the purpose for which the information on purchased and sold foreign currency submitted by capital companies should be used.

As reported, in the third quarter last year, Latvia's GDP increased 5.2% from the third quarter of 2011, according to the Central Statistical Bureau's seasonally unadjusted data.