Latvia - History & Background

Since the restoration of independence in 1991, Latvia has had many difficult problems to solve, including those of consolidating a sovereign state, supporting democracy, and transitioning to a market economy. These problems triggered a decline in the economy, a growing unemployment rate, a sharp decrease in the population's purchasing power, and a number of social problems like crime. Geographically, Latvia is the central country of the Baltic States (Estonia, Latvia, and Lithuania) bordering Russia and Belarus. Its area is 64,589 square kilometers (24,937 square miles).

The Republic of Latvia was founded on November 18, 1918. It has been continuously recognized as a state by other countries since 1920, despite its occupation by the Soviet Union (1940-1941, 1945-1991) and Nazi Germany (1941-1945). On August 21, 1991, Latvia declared the restoration of its independence.

Politically, Latvia is a democratic, parliamentary republic. Legislative power resides in a single chamber parliament—the Saeima, consisting of 100 deputies who elect a president. Latvia is a member of the United Nations, Council of Europe, World Trade Organization, Organization for Security and Co-operation in Europe, Council of the Baltic Sea States, and Euro-Atlantic Partnership Council. Latvia also desires full membership in the European Union and NATO.

Economically, the most prospective production sectors are information technologies, electronics, mechanical engineering, chemical and pharmaceutical industries, wood processing, food processing, and textiles. The Latvian national currency is the lats (LVL). One lats consists of 100 santims.

Culturally, Latvia is ethnically mixed, with a population of 2,372,000 people (57.6 percent Latvian, 29.6 percent Russian, 4.1 percent Belarusian, 2.7 percent Ukrainian, 2.5 percent Polish, 1.4 percent Lithuanian, 0.4 percent Jewish, and 1.7 percent other nationalities). The largest religious denominations are Evangelic Lutheran, Roman Catholic, and Russian Orthodox. Latvian is the official state language.

Riga Polytechnic, founded in 1862, became the first higher education institution in Latvia. The University of Latvia was established on the basis of Riga Polytechnic in 1919 when Latvia became independent from Russia. Contemporary Latvia is still to a large extent resisting Russian influence; this resistance, along with a Western orientation, assists in shaping Latvian educational reforms.