Having been independent since 1918, Latvia was annexed by the USSR in 1940. It regained its independence on 21 August 1991 and the 1922 Constitution was reinstated on 6 July 1993. On 1 May 2004, the country joined the EU. The Parliament (100 members elected by direct suffrage for four years) elects the President of the Republic with a four-year mandate.

Population by age and gender (% - 2018)
	75+ 60-74 45-59 30-44 15-29 0-14
MALE	AGE	FEMALE

After independence, Latvian citizenship was only granted to those who had been Latvian in 1940 and their descendants, effectively excluding those who had arrived during the Soviet regime (who were mostly Russian). Since 1995 it has been possible to acquire citizenship by naturalization (for which there are various requirements, including being able to speak the Latvian language): since then, more than 150 000 persons have been naturalized, mostly of Russian origin.

Growth peaked at 4.8% in 2018. The reduction of EU funds in 2019-20 should cause a slowdown. Unemployment is stable at around 7%. The country must recover credibility following the scandals for corruption and money laundering: a banking reform was approved in 2019 that will strengthen checks. On 1 January 2014, the country adopted the euro. Cooperation with Estonia and Finland has improved to reduce energy dependence on Russia.
In addition to agriculture and livestock farming, fishing has also become important.
Key industrial sectors include the chemical and petrochemical (at Ventspils) and construction segments, the production of railway rolling stock and cars (at Jelgava), and some of the hi-tech sectors (pharmaceuticals, electro-technical and telecommunications equipment).