Factsheet: Latvia
Latvia is a small Baltic state of 1.9 million inhabitants, an EU member since 2004 and a Eurozone member since 2014. Located between Estonia to the north and Lithuania to the south, it shares with its Baltic neighbors a tradition of economic openness and competitive taxation. Riga, its capital, is one of the most beautiful medieval cities in Europe and home to more than half the country's population. For those seeking to expatriate to an EU Eurozone country with simple taxation for self-employed workers and a cost of living significantly lower than France, Latvia deserves serious attention, often overshadowed by its Estonian neighbor.
Why choose Latvia?
Latvia offers a unique profile among the Baltic states: Eurozone membership, EU belonging, a very simple micro-enterprise regime with an all-in rate of 25%, and a corporate system where tax is only due upon distribution of profits. Riga is a city of remarkable beauty, with a rich cultural life and still moderate cost of living. Here are the six main advantages of Latvia for a French expat.
Full freedom of movement for EU citizens, euro currency, European legal protection. No currency risk, no visa required.
The Latvian micro-enterprise regime allows self-employed individuals to pay a single rate of 25% on gross revenue, covering both income tax and social contributions. Simple, predictable, no complex accounting.
Like neighboring Estonia, Latvia adopted since 2018 a corporate tax system where tax is only due when dividends are distributed. Reinvested profits remain untaxed.
UNESCO-listed capital for its exceptional Art Nouveau architecture, Riga is a vibrant, multicultural city of rare beauty for a capital of its size.
Housing, food, restaurants, transport — everything is significantly cheaper than France, with infrastructure and service quality approaching Western European standards.
Direct flights Paris-Riga available (Air Baltic, European hub connections). About 2.5 to 3 hours flying from Paris. Reasonable fares for trips back to France.
Visa & Residence
Latvia is an EU and Schengen area member. French citizens benefit from free movement and can settle in Latvia without a visa or prior procedure. After three months, registration with local authorities is necessary to formalize residency.
EU free movement — No visa required
As a French national, you can enter and settle in Latvia freely, without a visa. After 3 months of stay, you must register with the Office of Citizenship and Migration Affairs (Pilsonibas un migracijas lietu parvalde, PMLP). Registration provides access to a personal residence number, essential for opening a bank account, subscribing to services and filing taxes. The procedure is simple, quota-free and accessible to anyone with housing and sufficient resources.
Permanent residency after 5 years
After 5 years of continuous legal residence, European nationals can apply for a permanent residence card in Latvia. This card provides enhanced legal security and facilitates access to public services. No language or income test is required for EU citizens.
Registration and resident number
Registration with the PMLP allows you to obtain a personal number (personas kods), equivalent to a social security number. It is required for opening a bank account at a traditional Latvian bank, filing taxes and accessing public health services. The procedure can be done in person or online with a European electronic ID.
Cost of living
Latvia is one of the cheapest Eurozone countries, making it a particularly attractive destination for expats whose income is in euros. Riga has the highest prices in the country, but still remains 25 to 35% cheaper than Paris. Other cities like Jurmala (seaside resort) or Liepaja offer even more moderate rates. Food, dining out and daily services remain very accessible.
Estimated monthly budget: 1,000 - 1,700 EUR/month
📊 Taxation
Latvia profoundly simplified its tax system in the 2010s. The most notable point for entrepreneurs is the adoption, since 2018, of a corporate tax regime modeled on Estonia: tax is only due when profits are distributed. For self-employed individuals, the micro-enterprise regime offers an all-in flat tax of 25%, with no complex accounting. The France-Latvia tax treaty prevents double taxation.
🚀 For entrepreneurs
Latvia is an interesting country for entrepreneurs thanks to its simplified micro-enterprise regime and its Estonian-model corporate tax (0% on reinvested profits). Riga has a developing startup ecosystem, particularly in the fintech, tech and business services sectors. Company formation is fast and inexpensive.
❤️ Healthcare
Latvia has a public health system funded by social contributions. Public coverage is accessible to contributing residents, but the public sector sometimes suffers from underfunding and waiting times. Most expats opt for supplementary private health insurance, much cheaper than in France, which provides access to quality private clinics in Riga.
Where to live
Latvia is a small country where Riga concentrates the bulk of economic and cultural life. Other cities offer calmer atmospheres, close to nature and the Baltic Sea, ideal for remote workers and families seeking a more tranquil pace of life.
Drawbacks to know
Like its Baltic neighbors, Latvia endures long and harsh winters with little daylight. Temperatures can drop to -15 or -20 degrees Celsius. An important factor to consider.
Latvian is a rare Baltic language, unrelated to commonly known European languages. English is common in Riga, but the language barrier remains an obstacle for deep integration.
Latvia has lost nearly a quarter of its population since 1991, primarily through emigration to other EU countries. This phenomenon affects economic dynamics and certain service sectors.
Riga has a growing tech scene, but remains well behind Tallinn or Vilnius in terms of startup density, investment funds and tech job opportunities.
Latvians have a reserved culture. The Russian-speaking community represents nearly 25% of the population, creating a complex social dynamic. Expats often integrate slowly.
Riga has an international airport with direct links to Paris, but the flight offer is less dense than from Tallinn or Vilnius. Transit options may extend travel times.
Frequently asked questions
Is Latvia really in the Eurozone?
How does the Latvian micro-enterprise regime work?
How does Latvian corporate tax work in practice?
Is it easy to open a bank account in Latvia?
What is the difference between Latvia and Estonia for an expat?
Is Latvia suitable for families?
How do you become a Latvian tax resident?
Explore other destinations
Compare with other countries that might suit you.