Finland vs Latvia development indicators, 2024

Indicator	Finland, Value	Latvia, Value	Finland, Rank	Latvia, Rank	Finland as % of Latvia
Current account balance (% of GDP)	0.31	-2.12	50	73
Exports of goods and services (% of GDP)	41.6	64.6	59	29	64.3 %
Foreign direct investment, net inflows (% of GDP)	0.661	2.96	81	42	22.3 %
GDP per capita (current US$)	53,189	23,368	21	53	228 %
GDP per capita, PPP (current international US$)	64,091	43,867	27	52	146 %
Imports of goods and services (% of GDP)	40.9	67.2	70	27	60.9 %
Inflation, consumer prices (annual %)	1.57	1.27	125	132	124 %
Net migration	26,894	-2,225	32	123
Population, total	5,637,214	1,862,441	116	150	303 %

Demography and Health

Finland and Latvia present notable differences in demographics and health indicators. Finland has a slightly higher crude birth rate at 7.8 per 1,000 people compared to Latvia's 7.7. However, Finland exhibits a considerably lower death rate of 11 per 1,000 people compared to Latvia's 14.9, reflecting better health outcomes. Life expectancy at birth is higher in Finland at 81.7 years, while Latvia's stands at 75.7 years. Furthermore, Finland's under-5 mortality rate is more favorable at 2.3 per 1,000 live births compared to Latvia's 3. The prevalence of undernourishment is equal in both countries at 2.5%. In terms of health expenditure, Finland allocates 9.7% of GDP to current health expenditures, significantly higher than Latvia's 7.6%. The number of physicians per 1,000 people also favors Finland, with 4.4 compared to Latvia's 3.4. Although suicide mortality rates are slightly lower in Finland at 14.6 per 100,000 population, both countries face challenges in this area.

Economy

The economic landscape of Finland and Latvia illustrates stark contrasts. Finland's GDP per capita stands at $53,189, significantly higher than Latvia's $23,368. Similarly, when considering purchasing power parity (PPP), Finland's GDP per capita is $64,091 versus Latvia's $43,867. In terms of economic activities, Finland's exports of goods and services account for 41.6% of GDP, while Latvia boasts a higher percentage at 64.6%. Conversely, Finland's imports are at 40.9% of GDP, indicating a more balanced foreign trade structure in comparison to Latvia's 67.2%. Notably, Finland experiences low inflation at 1.6%, while Latvia recorded a marginally lower rate of 1.3%. Lastly, the net migration rate in Finland is positive at 26,894, suggesting a favorable economic environment, while Latvia faces negative net migration at -2,225.

Trade and Investment

In the realm of trade and foreign direct investment (FDI), both countries showcase different strengths. Finland's foreign direct investment net inflows account for 0.7% of GDP, which is significantly lower than Latvia's 3%. This indicates Latvia's appeal as a destination for foreign investments compared to Finland. Finland's high-technology exports reached $5.3 billion, while Latvia's are substantially lower at $2.1 billion. The current account balance reflects a positive 0.3% of GDP in Finland, contrasting with Latvia's -2.1%, highlighting potential differences in economic stability and trade balance. Furthermore, the logistics performance index favors Finland with a score of 4.2, compared to Latvia's 3.3, indicating a superior quality in trade and transport-related infrastructure in Finland.

Governance and Institutions

Governance and institutional quality significantly differ between the two nations. Finland ranks high in control of corruption with a score of 2.2, compared to Latvia's 0.7. Similarly, government effectiveness is higher in Finland at 1.7 versus Latvia's 0.7. The rule of law is also stronger in Finland, rated at 2, while Latvia has a lower score of 1. This indicates a better legal framework and enforcement in Finland. Political stability and absence of violence/terrorism is higher in Finland at 0.7 compared to Latvia's 0.6. Regulatory quality is another area where Finland excels with a score of 1.8 compared to Latvia's 1.2. These indicators collectively suggest a more stable and effective governance system in Finland.

Infrastructure and Technology

Infrastructure and technology adoption also shows a disparity between Finland and Latvia. The percentage of individuals using the internet is slightly higher in Finland at 93.5% compared to Latvia at 92.2%. Finland excels in logistics performance with a quality index score of 4.2, outperforming Latvia's 3.3, indicating superior trade and transport-related infrastructure. Furthermore, Finland invests significantly more in research and development, allocating 3% of its GDP compared to Latvia's mere 0.8%. This investment in R&D showcases Finland's commitment to technological advancement and innovation, which can bolster its economic competitiveness in the long run.

Environment and Sustainability

Both Finland and Latvia demonstrate a commitment to sustainability, although Finland leads in several environmental indicators. Renewable energy consumption is higher in Finland at 50.2% of total final energy consumption, compared to Latvia's 44%. The level of water stress is significantly lower in Finland, with a withdrawal rate of 7.1% of available freshwater resources, compared to Latvia’s much higher 1.1%. In terms of greenhouse gas emissions, Finland emits 7.8 tons of CO2 equivalent per capita, while Latvia's emissions stand at 5.8 tons per capita. Notably, both countries have a similar poverty headcount ratio; Finland's is at 12.2%, while Latvia's is considerably higher at 22.5%, reflecting socio-economic discrepancies. Overall, Finland indicates a stronger emphasis on sustainable practices and environmental protection compared to Latvia.