Latvia is a country near Baltic Sea in the North-Eastern part of Europe. Latvia is a small country with the population of 2 239 800 people and the territory of L2atvia covers 64,589 km2. Latvia is divided in four big regions and their names are Courland, Zemgale, Vidzeme, Latgalia and region of Riga, that is, the capital city of Latvia. Latvia is characterized by a concentric distribution of the population – there is one powerful centre, Riga, and a wide and evenly distributed network of towns, which population, compared with Riga is very small, that is, 31% of all citizens of Latvia. The main resource that has Latvia is Baltic Sea. The most important resources in Latvia are wood resources, fishing resources, peat industry resources and agricultural soil.
Because of economic crisis, Latvia experienced a really big fall in employment. Unemployment level in Latvia at 2009 was 22.3% and that was the highest in all European Union. But in 2007 and 2008 unemployment level was one of the lowest in European Union. The latest data show that in October 2010 unemployment level had decrease and now is 14.3%, but still is very high level compared with other European countries. If we talk about other regions, than Latgalia is the region in Latvia with the biggest unemployment level and it has always been like that. The latest data show that in Latgalia, in august 2010, unemployment level was 22.3%. The second biggest unemployment level was the one of Vidzeme, where it reached 16.7%. Then, fallows Zemgale and Courland, with the same unemployment level 16.1%, and the Region of Riga, with the lowest unemployment level 11.9%. The high unemployment in Latgalia is caused by poorly developed business activities, small self – employed person quantity, especially older citizens, poor mobility and weak traffic infrastructure.
Also an important indicator to characterize regional policy in Latvia regions is GDP. The total GDP proportion of the region of Riga in last year’s was more than 66%, and in the rest four regions GDP proportion was 33%. That means that for the rest of the regions GDP per capita is very small. The region with the second biggest GDP was in Courland, where it was about 10%, followed by Latgalia, with a little bit more than 8%, and Zemgale, with 8%. The region with the lowest GDP was Vidzeme, where it was a little bit more than 6%.
To better compare regions development level, the best indicator is GDP per capita. In last year’s GDP per capita in region of Riga was 12820 Euros, which is 1.4 times more than in the whole country. In the region of Courland GDP per capita reached 7100 euro, Zemgale and Vidzeme had almost the same amount – 5925 and 5910 euro, respectively. In region of Latgaia it was just 4950 euro, which is 2.6 times lower than in the region of Riga.
A very important indicator of development is investment. Total non-financial investment amount in Latvia in 2008 at actual prices was 6954.2 million of euro. From all investment, 69.2% was invested in the region of Riga. In the last 5 years the regions of Riga and Courland have observed stable investment growth. But if we are talking about non – financial investment amount per capita, then in Latvia in 2008 it was 3068.8 euro. Much bigger amount then average of the country was addressed to the region of Riga, where it reached the amount of 4383.2 euro. The region of Courland received a little bit lower amount of non – financial investment per capita, where it was 2611.6 euro, then follows the regions of Vidzeme and Zemgale, with 1862.3 and 1778.2 euro. The lowest non – financial investment amount per capita was addressed to the region of Latgalia, just 1176.9 euro.
From these indicators, we can see that the best situation is the one of the region of Riga, because Riga is the capital of Latvia and it is located near the Baltic Sea and in the middle of country. Also, it benefits plenty of labor force. The worse situation is the one of Latgalia, were there is a shortage of development opportunities and people tend to move to nearer the capital city.
Kristiana Lice
Because of economic crisis, Latvia experienced a really big fall in employment. Unemployment level in Latvia at 2009 was 22.3% and that was the highest in all European Union. But in 2007 and 2008 unemployment level was one of the lowest in European Union. The latest data show that in October 2010 unemployment level had decrease and now is 14.3%, but still is very high level compared with other European countries. If we talk about other regions, than Latgalia is the region in Latvia with the biggest unemployment level and it has always been like that. The latest data show that in Latgalia, in august 2010, unemployment level was 22.3%. The second biggest unemployment level was the one of Vidzeme, where it reached 16.7%. Then, fallows Zemgale and Courland, with the same unemployment level 16.1%, and the Region of Riga, with the lowest unemployment level 11.9%. The high unemployment in Latgalia is caused by poorly developed business activities, small self – employed person quantity, especially older citizens, poor mobility and weak traffic infrastructure.
Also an important indicator to characterize regional policy in Latvia regions is GDP. The total GDP proportion of the region of Riga in last year’s was more than 66%, and in the rest four regions GDP proportion was 33%. That means that for the rest of the regions GDP per capita is very small. The region with the second biggest GDP was in Courland, where it was about 10%, followed by Latgalia, with a little bit more than 8%, and Zemgale, with 8%. The region with the lowest GDP was Vidzeme, where it was a little bit more than 6%.
To better compare regions development level, the best indicator is GDP per capita. In last year’s GDP per capita in region of Riga was 12820 Euros, which is 1.4 times more than in the whole country. In the region of Courland GDP per capita reached 7100 euro, Zemgale and Vidzeme had almost the same amount – 5925 and 5910 euro, respectively. In region of Latgaia it was just 4950 euro, which is 2.6 times lower than in the region of Riga.
A very important indicator of development is investment. Total non-financial investment amount in Latvia in 2008 at actual prices was 6954.2 million of euro. From all investment, 69.2% was invested in the region of Riga. In the last 5 years the regions of Riga and Courland have observed stable investment growth. But if we are talking about non – financial investment amount per capita, then in Latvia in 2008 it was 3068.8 euro. Much bigger amount then average of the country was addressed to the region of Riga, where it reached the amount of 4383.2 euro. The region of Courland received a little bit lower amount of non – financial investment per capita, where it was 2611.6 euro, then follows the regions of Vidzeme and Zemgale, with 1862.3 and 1778.2 euro. The lowest non – financial investment amount per capita was addressed to the region of Latgalia, just 1176.9 euro.
From these indicators, we can see that the best situation is the one of the region of Riga, because Riga is the capital of Latvia and it is located near the Baltic Sea and in the middle of country. Also, it benefits plenty of labor force. The worse situation is the one of Latgalia, were there is a shortage of development opportunities and people tend to move to nearer the capital city.
Kristiana Lice
[artigo de opinião produzido no âmbito da unidade curricular “Economia Regional” do 3º ano do Curso de Economia (1º ciclo) da EEG/UMinho]
Sem comentários:
Enviar um comentário