Diplomatic representation in the US: chief of mission: Ambassador Ojars Eriks KALNINS chancery: 4325 17th Street NW, Washington, DC 20011 telephone: [1] (202) 726-8213, 8214 FAX: [1] (202) 726-6785
Diplomatic representation from the US: chief of mission : Ambassador Larry C. NAPPER embassy: Raina Boulevard 7, LV-1510, Riga mailing address: PSC 78, Box R, APO AE 09723 telephone: [371] (2) 210-005 FAX : [371] (2) 226-530
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Economy
Economy - overview: In the five years following the implosion of the USSR in December 1991, the Latvian economy has made substantial progress toward establishing a modern market economy and widening economic ties with the West. Two major long-term concerns are the growing trade deficit and the impact of organized crime. The economy in 1996 has largely recovered from the mid-1995 collapse of several commercial banks - including Latvia's large bank, Bank Baltija - and a severe government budget crisis. Prime Minister SKELE has stated that he expects the country's GDP to grow 5% in 1997 through the implementation of the government's new economic reform program. In December 1996, the government passed a balanced 1997 budget - its first - that SKELE predicts will reduce inflation to 10% to 12% in 1997. Unemployment, which has held steady at about 6% over the past two years, reached roughly 7.5% in 1996. One of SKELE's key objectives for 1997 is to speed up the privatization program, which has lagged behind other areas of reform.
GDP: purchasing power parity - $9.4 billion (1996 est.)
GDP - real growth rate: 2.5% (1996 est.)
GDP - per capita: purchasing power parity - $3,800 (1996 estimate as extrapolated from World Bank estimate for 1994)
GDP - composition by sector: agriculture: 9% industry : 34% services: 57% (1994)
Inflation rate - consumer price index: 13.2% (1996 est.)