RIGA, July 9 (RIA Novosti) - Consumer prices in Latvia grew to a record high 8.8% in June following increases in tobacco and alcohol prices, the Baltic state's central statistical office said Monday.
Consumer price growth stood at 7.2% in the spring and accelerated to 8.8% after tobacco prices increased 3.6%, and alcohol climbed 4.2%, the statistical office said.
Latvia currently has the highest level of inflation registered among the EU member states and has long been seen as the European country hardest hit by inflationary problems.
The Latvian government introduced a special anti-inflation plan in February aimed at reducing the volume of mortgage lending, tightening fiscal policy, and exercising control over retail trade. The plan has yielded the first results as housing price growth in the Baltic state has slowed and even gone down in some segments of the housing market.
