Overview

Latvia is a small nation with a dynamic, though recently troubled, economy and a stable political environment. Latvia is similar in size to North Carolina, with a population of approximately 2.25 million. The country provides an attractive market for American IT equipment and services, capital machinery and equipment, medical and consumer products, and energy products. Located at the center of the three Baltic States, Latvia is a member of the European Union (EU) and provides a strategic location as a commercial, financial, and transportation hub for the Nordic/Baltic region. The commercial environment is generally friendly to foreign companies, and EU directives are implemented and observed. There are no controls on import, export, or the use and conversion of foreign currencies, which facilitates investment and repatriation of profits. The Latvian government has adopted modern laws establishing copyrights, patents and trademarks and the means for enforcing their protection. Telecommunication services are modern, and the real estate market provides both modern housing and business venues. English is widely spoken in government and business. Many U.S. companies doing business in Latvia rate the business environment among the best in Central and Eastern Europe. The legal system, tax structures, and trade and other regulations have been significantly modified to harmonize them with EU standards. Most EU directives have been incorporated into the Latvian legislative system. Latvia has been a member of the WTO since 1999. The country joined the EU and NATO in 2004.