S&P revises Latvia view to negative

S&P said it revised its outlook for Latvia to negative from stable and affirmed its A+ ratings.

“We revised the outlook to negative to reflect our view that a more protracted Russia-Ukraine war raises the risks of large, negative spillover effects on small regional economies such as Latvia.

“In our view, the indirect effects of the conflict are already exerting pressure on the Latvian economy through multiple channels, such as reduced trade, higher inflation, energy supply concerns, tightening monetary conditions, and weakening business and consumer confidence levels,” the agency said in a press release.

S&P said it forecasts Latvia’s economy to contract 0.5% in 2023, citing the indirect effect of the war.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.