RIGA, May 13 (Xinhua) -- The European Bank for Reconstruction and Development (EBRD) has revised downward the growth forecasts for the Baltic states for both this year and next.
According to the Regional Economic Prospects report released by the EBRD on Tuesday, Latvia's gross domestic product (GDP) forecast for 2025 has been reduced to 1.8 percent, down from the 2 percent projected by the bank in February. The forecast for 2026 has also been trimmed by 0.1 percentage point, to 2.4 percent.
Estonia's economic outlook has also been lowered, with forecasts cut by 0.4 percentage points for this year and 0.6 percentage points for next year. The EBRD now expects Estonia's economy to grow by 1.3 percent in 2025 and 2 percent in 2026.
For Lithuania, the EBRD estimates GDP growth of 2.6 percent for both 2025 and 2026. In its February forecast, the bank had projected higher growth -- 2.8 percent in 2025 and 2.7 percent in 2026.
The EBRD attributes the downward revisions for the Baltic economies to heightened uncertainty in global trade due to new U.S. tariff policies.
