Latvia's inflation data released by the Central Statistical Bureau reveals that the average level of consumer prices in February 2026 rose by 2.3% compared to the same month in 2025. The increase in consumer prices was significantly influenced by rising costs in housing, water, electricity, gas, and other fuels, contributing 0.9 percentage points, mainly due to the increase in heating and electricity prices. Additionally, the prices of food and non-alcoholic beverages rose, adding another 0.7 percentage points to inflation for the year.

Over the course of the year, food and non-alcoholic beverages prices increased by 2.4%, while average prices for housing, water, electricity, gas, and other fuels surged by 5.3%. When comparing February 2026 to January 2026, the average level of consumer prices in Latvia increased by 0.2%. Notably, there was a decrease in food and non-alcoholic beverage prices by 0.6% from January to February, largely attributed to promotional discounts.

In February, specific food products saw significant price drops due to promotions, including a 3.7% decrease in meat products, a 9.4% reduction in butter, and a 5.2% decrease in fish products. This mixed inflation report showcases the varying impacts on consumer purchasing power and the dynamics of the Latvian economy, particularly in sectors heavily influenced by energy prices and food supply factors.