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Latvia’s producer price index (PPI) swung back into positive territory in April 2026, signaling a potential easing of deflationary pressures in the country’s industrial sector. According to data updated on 25 May 2026, producer prices rose 0.6% month-over-month, following a 2.0% decline in March.
The figures, measured on a month-over-month basis, compare the change in prices in April to March, while the previous reading reflected the move in March relative to February. The turnaround from -2.0% to 0.6% suggests a notable shift in cost dynamics for Latvian producers over a short period, which could have implications for corporate margins and, with a lag, consumer prices.
While further data will be needed to confirm whether this marks the start of a lasting trend, the April rebound offers an early indication that producer cost pressures may be stabilizing after earlier weakness. Market participants and policymakers are likely to watch upcoming releases closely for confirmation of the direction of Latvian wholesale and factory-gate prices.
