2012 was very successful for Latvia

2012 was very successful for Latvia

This year’s EU’s and Eurozone’s economic outlooks were downgraded several times, while Latvia’s growth outlooks only went up. While Latvia’s economic growth projection was only 2% in the beginning of the year, the current economic projection of the Finance Ministry provides for 5% increase of GDP in 2012.

2012 has been especially successful and important for Latvia’s economy. Growth rates have exceeded all expectations. Starting from September, Latvia started completing Maastricht criteria for Euro adoption. The government’s next year’s priority goals include the adoption of Euro, further reduction of the workforce tax and shadow economy.

Latvia had the most rapidly growing economy in the EU in the first three quarters of 2012. Latvia’s economic achievements are made even more significant by the fact that they were made in the time, when Europe was being especially ravaged by the Eurozone debt crisis. Both Europe and Eurozone are expected to have GDP reduction in 2012.

So if you see that Latvia as good place for your business you must get more information on Company formation.

Important news for foreign investors are that starting from 2013, CIT will not be applied to non-residents’ paid and received dividends. This regulation will not apply to dividends that are paid to low-tax or non-tax state residents. There will also be a central CIT regime on income and losses from sales of shares, except sales of tax or non-tax state shares.