The tourism industry is primarily based on leisure demand. Riga is the largest city in the Baltic, has a well-known nightlife and its medieval city centre was declared a World Heritage site by UNESCO. In addition, the Rundale Palace, the "Versailles" of Latvia, is part of cultural tours to the region and welcomes many international visitors. Latvia has numerous beaches bordering the Baltic Sea and the largest city dedicated to resort tourism, Jūrmala, which is a popular destination for Russian guests. The development of ecotourism and wellness tourism makes the country even more appealing. Latvian authorities are very committed to promoting international tourism with the concept of slow life, which emphasizes relaxation.

Business tourism is also growing and accounts for about a quarter of arrivals in Latvia. Russia remains the main source market, accounting for more than 11.6% of total overnights, ahead of Germany, Estonia and Lithuania. The recent decline of Russian visitors was counterbalanced by the increase in arrivals from other countries.