Latvia is situated in the Baltic region of Eastern Europe. It is bordered by Estonia, Lithuania, the Russian Federation, Belarus and the Baltic Sea, across which lies Sweden. Latvia is a unitary parliamentary republic, and is divided into 118 metropolises- 109 counties and 9 cities. The capital is Riga. Latvia is one of the least populous countries in the European Union, with a population of 2.23 million.
Latvia’s economy was hit the hardest of the European Union members during the most recent global financial crisis. Its GDP declined 26.54%. Latvia is the third-poorest member state.