War and inflation to hamper growth in Baltics this year - SEB Nordic Outlook
Published date | 10 May 2022 |
Publication title | LETA |
RIGA, May 10 (LETA) - The Baltic economies showed strong momentum at the start of this year, which will help them cope with upcoming challenges, but because the war in Ukraine and soaring inflation, the second half of the year will be market with significantly slower growth and possibly a brief downturn, SEB Bank says in its May 2022 edition of the Nordic Outlook.
s reported, SEB has revised Latvia's GDP growth forecast for this year to 1.8 percent from 4.6 percent. In 2023, the Latvian economy is expected to grow by 2.5 percent.
ccording to the latest SEB Nordic Outlook, Lithuania's GDP growth for this year is forecast at 0.9 percent and Estonia's at 0.6 percent.
The overall economic sentiment will be an important aspect that will determine the activity of consumption and investment, SEB says in the report. Inflationary pressure can be reduced by successfully finding alternatives to Russian commodities, especially energy sources. Another important aspect will be the epidemiological situation in the fall and the dynamic of the Ukraine war.
If these risks will be tackled in a...
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