Guide: Everything You Need to Know About Latvia

Latvia is a Northern European country that attracts those looking for new opportunities in life, work, and business. With a mix of modern cities and stunning nature, a stable economy, and a high quality of life at a relatively low cost, it’s a comfortable place not only for vacations but also for relocation.

In this article, we’ll cover key aspects of life in Latvia, interesting places and cultural attractions, relocation opportunities, and other important details.

General Information

Official Name: Republic of Latvia

Area: 64,590 sq. km

Population: 1,872,000

Capital: Riga

Official Language: Latvian

Currency: Euro

Membership in International Organizations: European Union, NATO, United Nations, OECD. Latvia is also part of the Schengen Area and the Eurozone.

Geography and Climate

Latvia is located in the Baltic region, bordering Estonia, Lithuania, Belarus, and Russia. The country covers 64,590 sq. km, with a Baltic Sea coastline stretching nearly 500 km. Latvia is rich in rivers and lakes, and forests cover more than half of its territory.

The climate is a mix of maritime and moderate continental, with high humidity levels of around 80%. Summers (June to August) are short and relatively dry, with average temperatures in July ranging from 20-24°C, while the sea warms up to 19-20°C. Autumn starts in mid-September with frequent rainfall, though October often brings warm spells and “Indian summer” weather. Winters (December to March) are snowy, with temperatures ranging between -5°C and -20°C. Spring begins in April, and May is considered the best month for tourism, with blooming nature, warm daytime temperatures, and cool evenings (8-10°C).

Administrative Divisions and Major Cities

Latvia is divided into 36 municipalities and 7 state-level cities. The country has 4 historical regions—Vidzeme, Zemgale, Kurzeme, and Latgale—though these are not part of its administrative structure.

Riga, founded in 1201, is Latvia’s capital and largest city, located on the shores of the Gulf of Riga and the Daugava River. With a population of over 600,000 and an area of 304 sq. km, it is the country’s main transport hub, as well as its tourism, cultural, economic, and political center.

Latvia’s 6 largest cities are significantly smaller than Riga, with populations ranging from 80,000 to 26,000. Daugavpils is the second-largest city and an important economic center in the south, founded in 1275 as the Dinaburg fortress.

Liepāja is a key port city on the Baltic Sea, formerly a Russian naval base and now an important ice-free port. Jelgava, once the capital of the Duchy of Courland, now a regional center known for its historical architecture.

Jūrmala is the country’s largest seaside resort, famous for its beaches and the Dzintari Concert Hall, a major festival venue. Ventspils is a Baltic Sea port city, and Rēzekne is a cultural and educational hub in eastern Latvia.

Population and Demographics

As of 2024, Latvia’s population is estimated at 1,872,000. However, this number is steadily declining due to natural population decrease and emigration. Over 60% of residents are ethnic Latvians, while 25% are Russian. In some cities, there are significant Belarusian, Ukrainian, and Polish communities.

Language and Communication

Official Language is Latvian, spoken by more than 97% of residents. Livonian and the Latgalian dialect are considered endangered and are legally protected. Russian is the second most commonly spoken language: one-third of the population speaks it as their native language, and over 60% of residents understand or speak it. However, Latvian holds higher prestige and is the main language in education and public services.

Economy and Standard of Living

Key Industries

Latvia’s economy is primarily driven by services, logistics, IT, and financial services, with construction, woodworking, and food processing also playing a significant role. Tourism has partly recovered after the COVID-19 pandemic but still faces challenges due to global geopolitical uncertainties.

Latvia has an open economy and actively trades with other countries. Its main trading partners are EU countries, which account for 75% of total trade turnover. The key export markets are Lithuania, Estonia, Germany, Sweden, and Russia, with major exports including agricultural products, timber and wood products, and chemical goods.

Latvia’s primary import partners are Lithuania, Germany, Poland, Estonia, and the Netherlands. The country mainly imports machinery and equipment, agricultural products, vehicles, and mineral resources.

Average Salaries Across Different Fields

As of 2025, Latvia’s minimum salary is set at €740 per month. In construction, the minimum wage is €930, increasing to €1,050 by 2026. The average monthly salary in 2024 was €1,540, with an unemployment rate of 6.9%.

Here’s an overview of average monthly salaries across different professions:

*data based on vacancies from public sources

The most in-demand industries with high salary levels include IT and innovation, top management and public service, finance and insurance, energy, and the mining industry. The lowest salaries are found in the service and accommodation sectors.

Tax System: What You Need to Know

Income Tax Rates in Latvia for 2025:

Personal income tax:

• Income under €8,775 per month — 25.5%
• Income over €8,775 per month — 33%

An additional tax rate of 3% applies if annual income exceeds €200,000.

Income tax for seasonal agricultural workers is 15%, but no less than €0.7 per working day.

Capital gains and investment income tax: 25.5%.

Tax on rental income: 10%.

Property tax: ranges from 0.2% to 1.5% of the cadastral value, depending on the municipality. For abandoned properties, the rate is 3%.

Vehicle operation tax: 10%.

Corporate income tax: 20%.

Micro-enterprise tax (for businesses with an annual turnover of up to €40,000, up to 5 employees with a salary of up to €720 per month): 15%.

Standard VAT rate: 21%. Reduced VAT rate of 12% applies to children’s products and baby food, fresh fruits and vegetables, medical supplies, pharmaceuticals, domestic passenger and luggage transport, tourist accommodation services, and thermal energy. The 5% VAT rate applies to books and printed materials.

The 0% VAT rate applies to supply of goods within the EU, exports, import services, transit operations, transactions in customs warehouses, special economic zones, and free economic zones.

Certain services are tax-exempt, including postal services, some medical and cultural services, and specific financial transactions.

Mandatory state social insurance contributions:

• Employer: 23.59%
• Employee: 10.5%

Cost of Living in Latvia: Housing, Food, Transport

According to Numbeo, the average monthly expenses per person (without rent) in Latvia amount to approximately €800, while a family of 3 spends around €2,700.

The average rent for a one-bedroom apartment in the city center is about €400, and in residential areas is €300. For comparison, in neighboring Estonia the cost will be €600 and €450, in Germany – €880 and €675, and in the UK – €1,230 and €1,000 respectively. Utility costs for an 85 sq. m apartment is around €280 per month.

Prices for food and services are relatively low compared to other European countries.

Here’s a comparison of common goods and services across countries:

*Data sourced from Numbeo based on independent user submissions.

In the capital, major cities, and tourist hubs, prices are traditionally higher than in rural areas.

Pros and Cons of Living in Latvia

As in any other country, living in Latvia has its advantages and disadvantages.

Healthcare and Education

Although Latvia is not among the top European countries in healthcare rankings, its medical services are well-developed. The system includes public, municipal, and private clinics, as well as independent practitioners. The government strictly regulates medical institutions and promotes medical tourism. Modern equipment is regularly introduced, and healthcare professionals undergo training abroad. Key specialties include dentistry, ophthalmology, rehabilitation, plastic surgery, addiction and cancer treatment, phlebology, and reproductive medicine.

Dental care is paid for by all except minors with insurance.

Citizens and foreign residents with permanent residence in Latvia have the right to use free services at state clinics. Foreigners with temporary residence permits and tourists are required to have an insurance policy to receive medical services. Emergency care is available to everyone in Latvia—ambulance number 113.

If services are provided at the state’s expense, patients pay small fees, while the majority of the cost is covered by the state budget according to standardized service rates. If an insurance policy is in place, the cost of a specific service depends on whether the policy covers it and to what extent.

Education in Latvia is divided into 4 levels: preschool, primary, secondary, and higher education.

Preschool education is free for children, regardless of their parents’ immigration status. Attending kindergarten is mandatory one year before starting school, beginning at the age of 5. Public kindergartens are free, with only meal costs to be covered. In private institutions, tuition fees average between €300-400 per month.

Primary education starts at the age of 5 and lasts for 9 years. It’s also free for both local and resident children but is only available in Latvian. To study in another language, parents can choose a private school, where tuition costs around €5,000 per year.

There are two types of secondary education in Latvia:

• General secondary education, which prepares students for university.
• Specialized secondary education, which provides professional training.

Public secondary schools are free, while tuition in private schools starts at €1,100 per year.

Higher education in Latvia is significantly more affordable than in most European countries, and degrees from Latvian universities are recognized worldwide. To enroll in a university or college, applicants have to present a certificate of completed secondary education and demonstrate proficiency in the language of instruction. In most cases, entrance exams are required. Courses are available in Latvian, English, and German. Foreign students may partially offset tuition costs through grants if they successfully pass a competitive selection process.

Safety and Environment

Latvia ranks among the top 30 countries on the Global Peace Index and holds the 46th position in the Happiest Countries In The World 2024. The crime rate in Latvia is relatively low—according to Numbeo, Latvia ranks 19th in Europe, ahead of Germany, Italy, and the UK. Violent crimes and property thefts are rare, and both locals and tourists feel safe at any time of day.

Latvia boasts diverse natural landscapes, with forests covering more than 55% of its territory and over 2,000 rivers and lakes. Each resident of Latvia has ten times more land than the average person in the Netherlands and ten times more renewable water resources than the global average.

Overall, the country maintains a favorable environmental situation, with regular monitoring of environmental conditions. Latvia ranks 30th out of 180 countries in the Environmental Performance Index, which evaluates climate change, environmental health, and ecosystem sustainability.

Social Guarantees and Benefits

Social benefits and allowances are available to citizens, permanent residents, refugees, and their children. They are entitled to free education and medical care, unemployment benefits, financial assistance for low-income individuals, sick leave coverage, child support payments, tax deductions, and other privileges.

Foreigners with temporary residence permits obtained through employment may, in some cases, qualify for unemployment benefits if they meet specific criteria. Those with a student visa may be eligible for partial or full tuition compensation through grants. In all other cases, state assistance is not provided.

Entertainment, Culture, and Leisure

Latvia offers a rich variety of cultural and recreational activities, from castles and fortresses to cathedrals, palace parks, modern cities, and authentic villages. Visitors can also enjoy hot springs and various natural attractions.

Cities like Riga, Daugavpils, Cēsis, and Rēzekne are home to numerous historical sites, architectural landmarks, museums, and galleries—more than enough to fill an entire vacation.

Latvia’s stunning nature has a peaceful Baltic charm. Visitors can explore scenic nature reserves and national parks, sunbathe and swim on the beaches of Jūrmala and Liepāja, ski and snowboard at mountain resorts, or attend countless festivals and concerts.

For those looking for souvenirs and unique gifts, popular options include amber jewelry, glass, wooden, and clay crafts, local cosmetics, sweets, and the famous Riga Black Balsam. However, note that exporting unprocessed amber from the country is prohibited.

Residence Permit in Latvia

The rules for obtaining a Latvian residence permit are regulated by the Immigration Law. Resident status allows individuals to legally live in the country for the duration of the permit.

What Else Does a Latvian Residence Permit Provide:

• The right to legally work, get paid, and build a career in Latvia
• The ability to study at universities in Latvian, English, or other languages
• Access to the state healthcare system and medical services
• Visa-free travel within the Schengen zone
• The right to do business
• Access to international banking services
• The opportunity to apply for permanent residence and, eventually, Latvian citizenship—if certain conditions are met

Types and Conditions for Obtaining a Residence Permit in Latvia

A Latvian residence permit can be obtained under the following conditions:

• For family members of Latvian citizens and residents—valid for a period not exceeding the relative’s residence permit or permanent residence permit duration
• For self-employed individuals
• For startup owners with government-approved businesses
• For running a business
• For employment—valid for the duration of the work contract, but no more than 5 years
• For studies—valid for the duration of the academic program
• For medical treatment—valid for the period specified in the medical service contract
• For real estate owners—valid if the applicant owns property worth at least €250,000 outright and has paid the applicable tax
• For investors—valid for up to 5 years, requiring a mandatory state contribution of €10,000

Investment options:

• €50,000 in the share capital of a company with up to 50 employees and an annual turnover of up to €10,000,000
• €100,000 in the share capital of a company with more than 50 employees and an annual turnover exceeding €10,000,000
• Purchase of government securities worth at least €250,000
• For refugees and foreigners under protection
• For diplomatic activity
• For research

Documents for Obtaining a Residence Permit:

• International passport
• National passport (if applicable)
• Residence permit application
• Photo
• Certificate of no criminal record
• Proof of financial stability, including income sources
• Proof of permanent address in Latvia (long-term rental agreement or property ownership documents)
• Health insurance policy
• Documents confirming eligibility for the residence permit
• Receipt of state fee payment

Latvian Citizenship

The rules for obtaining Latvian citizenship and the country’s immigration policy are regulated by the 1994 Citizenship Law.

Who Can Apply for Latvian Citizenship?

You can obtain Latvian citizenship by birthright, through marriage, or via naturalization. In the latter two cases, applicants have to prove legal residence in the country for the past 10 years (5 years with a temporary residence permit + 5 years with a permanent residence permit), pass exams on Latvian language proficiency, the national anthem, the Constitution, as well as the country’s culture and customs. Additionally, they must have no legal issues and provide proof of a stable financial income.

Different rules apply for obtaining citizenship by birthright.

Children born after August 21, 1991, in Latvia or abroad, are automatically granted Latvian citizenship at birth if at least one parent requests it, provided that both parents are stateless or non-citizens and permanently reside in Latvia.

Children under 15 years old, who were not granted citizenship at birth, can obtain it before turning 18 if they:

• Permanently reside in Latvia
• Do not hold Latvian or any other citizenship
• Have both parents who are non-citizens or stateless
• Have parents who have lived in Latvia for at least 5 years
• Children over 15 years old who didn’t previously obtain citizenship can apply independently before turning 18, provided that:
• Both parents are stateless or non-citizens
• The child has permanently lived in Latvia for at least the past 5 years
• The child demonstrates knowledge of the Latvian language

Does Latvia Allow Dual Citizenship?

• Latvia allows dual citizenship in the following cases:
• Citizens of the EU or members of the European Free Trade Association (EFTA)
• Citizens of NATO member states
• Citizens of Australia, Brazil, and New Zealand
• Citizens of countries with which Latvia has an agreement on dual citizenship recognition
• Individuals who acquire a second nationality through marriage or adoption
• By special permission from the Latvian Cabinet of Ministers

Latvia doesn’t require individuals who obtained citizenship by birth to renounce it when acquiring a second passport.

Traveling in Latvia

Top Cities and Regions to Visit

Riga: One of Europe’s most beautiful cities. Riga’s Old Town and historic center are UNESCO World Heritage sites. Visitors can explore charming streets, admire stunning architecture, and enjoy cafes, restaurants, museums, and art galleries.

Sigulda: Located in the picturesque Gauja River Valley, Sigulda is famous for its medieval castles and breathtaking nature. It is a great destination for outdoor enthusiasts, offering hiking and cycling routes.

Jūrmala: A popular seaside resort on the Baltic coast, known for its sandy beaches and pine forests. In summer, the city becomes a cultural hub, hosting music festivals and exhibitions at the Dzintari Concert Hall.

Liepāja: This coastal city offers a unique maritime atmosphere with sea breezes, numerous museums, galleries, and cultural events.

Rēzekne: A must-visit for history and gastronomy lovers, it’s home to ancient castles, cathedrals, and traditional Latvian cuisine. The city is part of the Latgalian Culinary Heritage Program, making it a great destination for food enthusiasts.

Natural Attractions: Parks, Lakes, and Beaches

Latvia is rich in natural beauty, offering plenty of places for relaxation.

Gauja National Park is famous for its picturesque landscapes, deep canyons, and diverse flora and fauna. Visitors can explore its trails while enjoying the stunning scenery and fresh air.

Kemeri National Park is equally breathtaking, featuring Lake Kanieris and Lake Valguma, sulfur springs, and the scenic Slocene River Valley. Be sure to visit the Venta Waterfall—the widest in Europe.

For a peaceful getaway, head to Baldone Lake or the Gulf of Riga, both boasting crystal-clear waters and sandy beaches. These spots are perfect for a weekend retreat, swimming, fishing, or boat trips.

For a classic beach holiday, Jurmala is the best destination. Its soft sand dunes and the calm Baltic Sea create the perfect setting for sunbathing, water sports, or simply strolling along the promenade. Beaches in Dzintari, Majori, and Bulduri frequently receive Blue Flag awards, and most of them are family-friendly.

Cultural and Historical Landmarks

Latvia offers a wealth of attractions for all interests. Be sure to visit the Riga Cathedral, known for its grand organ and musical evenings, admire the stunning architecture of the House of the Blackheads, and take in panoramic views of Riga from the observation deck of St.

Peter’s Church. If you’re fascinated by castles, explore the Daugavpils Fortress, the Turaida Castle in Sigulda, the ruins of Rozitten Castle in Rezekne, or the Livonian Order Castle in Ventspils. A visit to the Rundāle Palace is a must—it’s a magnificent Baroque monument with a formal French garden.

National Cuisine: What to Try?

Latvians take great pride in their cuisine, with a special love for fish and potatoes. Try Baltic salmon, prepared in countless ways, or indulge in a traditional herring and potato casserole. Baked potatoes with cheese are another local favorite. Among the meat dishes, Latvian cuisine offers delicious options like bacon pies, “cheese” made from pork head, and lamb cooked in a caraway sauce.

Among traditional vegetable dishes is grey peas fried with onions and smoked rinds. Don’t miss “sklandrausis” pies—rye dough pastries filled with potatoes and carrots, served with honey and butter. Rye bread is a staple in Latvian cuisine, even used in desserts like rye bread ice cream with lingonberry jam.

For a unique culinary experience, try beer soup with dried fruits, the semolina pudding “buberte,” or black bread kissel with cranberry juice and honey.

For a taste of modern Latvian cuisine, visit 3 Pavāru Restorāns in Riga, run by three renowned Latvian chefs who focus on organic and locally sourced ingredients.

In Rezekne, stop by Möls Tavern on Latgale Street, where you can try traditional Latgalian dishes, learn local dances, and try “šmakovka”—a strong hard liquor. In Daugavpils, head to Gubernators, one of the city’s most atmospheric restaurants, offering traditional cuisine in a charming setting.

Transportation in Latvia: How to Get Around Conveniently?

Latvia’s railway network connects major cities, offering a range of options—from old electric trains to modern ones equipped with Wi-Fi and power outlets. The country also has an excellent bus system, with tickets for comfortable seats and express routes available for purchase online or at intercity ticket offices.

Public transport is well-developed in cities, with buses being the primary mode of transportation. In Riga, Liepāja, and Daugavpils, trams are also available. Riga offers additional options such as trolleybuses and minibus routes, and at night, special bus services operate. Taxis can be easily catched on the street or booked by phone, while bike rentals are available for those who prefer an active way to get around.

If you prefer not to use public transport, renting a car is a convenient alternative. Major highways are in good condition, but regional roads often include gravel ones. International and local car rental companies operate in major cities and airports, offering a wide selection of vehicles.

Conclusion

Latvia is a country of contrasts, where ancient history blends seamlessly with modernity, and serene northern landscapes coexist with the vibrant energy of city life. It is a place where traditions are cherished but innovation is welcomed. While Latvians may initially seem closed because of their calmness and measuredness, they are always ready to help.

Latvia attracts visitors not only with its stunning landscapes and architectural landmarks but also with its economic potential. The country offers excellent conditions for business and career growth, particularly in the IT and innovation sectors. Living in Latvia means having access to a high quality of life, clean air, and a rich cultural heritage. Whether you are planning a vacation, relocating, or starting a business, Latvia is a comfortable European country with a wide range of opportunities.

The information provided is for general reference only. Astons doesn’t provide relocation services for Latvia. However, our specialists can inform you about available residence and citizenship by investment programs in other countries. Contact our experts for a free consultation.

FAQ

What is the climate like in Latvia, and when is the best time to visit?

Latvia has a maritime climate transitioning to a temperate continental climate, with mild summers and cold winters. The best time to visit is from May to September. In winter, Latvia offers ski resorts for those who enjoy winter sports.

Which cities in Latvia are the most popular for living and tourism?

Riga, the capital, a modern city rich in history and excellent infrastructure. Liepāja, Ventspils, and Jūrmala are Ideal for those who love coastal cities. Daugavpils, Sigulda, and Rēzekne are great for those seeking a balance between urban life and scenic nature away from the capital’s hustle and bustle.

What is the average salary in Latvia?

The minimum wage in Latvia is €740, the average median wage is €1,540 per month.

How high are taxes in Latvia?

Latvia’s taxes are at a mid-European level but lower than in Scandinavian countries such as Denmark, Sweden, and Norway. The tax system is designed to be simple and promote economic growth. Key taxes include: personal income tax, corporate tax, VAT, and property tax.

Can a foreigner start a business in Latvia?

Yes. In 2024, Latvia ranked 19th out of 190 countries in the Doing Business index for ease of running a business. Foreign nationals can start a business in Latvia by selecting a legal structure (e.g., IE, LLC, OJSC, or branch of a foreign company), gathering the required documents, and registering with the Commercial Register.

What Latvian cuisine should you try?

Latvian cuisine includes not only traditional dishes but also influences from local ethnic groups such as Latgalians and Livonians. Some must-try dishes include: caraway cheese, various soups and stews, fish and potato casseroles, semolina pudding “buberte”, and Riga rye bread with different toppings.

Traditional Latvian alcoholic beverages include: Miestinš – a light beer; Allaž – a strong caraway liqueur; Šmakovka – a vodka-like spirit; Riga Black Balsam – a herbal liqueur aged in oak barrels, made from 24 ingredients.

How developed is healthcare and insurance in Latvia?

Free healthcare is available only to citizens and foreigners with permanent residency—they need to pay small fees at clinics. For others, health insurance is the best option, with coverage plans available to suit individual needs.