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Latvia’s current account deficit widened to EUR 334 million in June 2026 from EUR 266 million in the corresponding month of the previous year, marking the largest deficit since April 2008. The goods account shortfall increased to EUR 509 million from EUR 470 million, while the primary income gap widened sharply to EUR 105 million versus EUR 31 million. Meanwhile, the services account surplus grew to EUR 182 million from EUR 160 million, while the secondary income balance improved to a surplus of EUR 97 million versus EUR 75 million a year earlier.

Latvia Current Account Gap Largest Since 2008

India’s trade deficit widened to $31.98 billion in July 2026, up from $27.5 billion in the same month of the previous year and surpassing market forecasts of $30.2 billion. It was the largest trade shortfall since January, as imports jumped by 18% annually to an all-time high of $76.2 billion, reflecting higher oil, fuel, and coal prices amid rising tensions in the Middle East. Exports advanced by 19.2% to $44.2 billion.

India Trade Gap Larger Than Anticipated

Producer prices in Croatia increased by 4.9% year-on-year in July 2026, easing from 5.7% in the previous month, marking the lowest reading in four months. The slowdown was mainly driven by a softer increase in mining and quarrying prices (13.9% vs. 18.5% in June), largely reflecting a slower rise in crude petroleum and natural gas extraction (19.5% vs. 30.8%). Manufacturing producer price inflation also moderated (4.3% vs. 5.3%), due to a sharp easing in prices of coke and refined petroleum products (38.7% vs. 54.6%). In contrast, inflation accelerated slightly for electricity, gas, steam and air conditioning supply (5.4% vs. 4.7%), while price growth also edged up for water supply, sewerage, waste management and remediation activities (2.0% vs. 1.8%). On a monthly basis, producer prices declined by 0.2%, easing from a 0.3% decline in the previous month.

Croatia Producer Inflation Eases to 4-Month Low

Industrial production in the Euro Area was unchanged in June 2026, after a 0.3% rise in May and compared with market expectations of a 0.1% decrease. Output rebounded for durable consumer goods (0.3% vs -1.3% in May) and continued to increase for non-durable consumer (3% vs 3.3%) and energy (1.5% vs 2.6%). On the other hand, production fell for intermediate goods (-0.8% vs -0.2%) and capital goods (-1.4% vs 0.5%). Among the bloc’s largest economies, industrial production rose 0.2% in Germany, was unchanged in France and declined 0.7% in Spain. Year-over-year, industrial production increased 0.1%, after a 0.1% decrease in June.

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