Latvian GDP will contract by 18.9% in 2009, according to most analysts and this is one of the biggest drops in EU. The drop in construction business if we compare with previous year reached level of 78%. Also in this year decrease in construction bossiness in 1Q to 2Q is 9.1%. This situation effects real estate developers and other companies which are postponed their payments in 39.3% occasions. Ministry of Finance in 2010 prognoses GDP decline of 4%, retail turnover drop for 3,5%, and decrease in average gross salary of 8%. At the same time unemployment already jumped to 18.3% by 3Q 2009 and have a bad tendency to increase.
