Economy weighs heavy on insurance potential

The economic growth picture which averaged over 10% a year from 2005 to 2007 and is now expected to be minus 10% in 2009

The impact of the world recession on Latvia’s economy earned it the label of the “new Argentina” from the American economist Paul Krugman. The severity of inflation – which jumped from 6.5% in 2006 to 15.8% in 2008 - may be one of the reasons to justify this remark.