In recent decades, scientific literature on demographic research is increasing attention on spatial data analysis. It is considered a useful and reliable analysis methodology in evaluating complex regional development processes. However, due to its complexity and reliance on properly captured and quantified spatial relations, it remains a difficult topic for many scholars and practitioners. In Latvia, spatial demographic analysis may prove useful, providing opportunities for uncovering new dimensions of long-term regional demographic and economic development issues. Here, the author analyses spatial distribution aspects of key demographic indicators in Latvia’s municipalities, the associated socio-economic factors and their impact. The implications of the identified spatial processes and dependencies for regional development policy and aid are discussed, including possible lessons learned from or shared with the EU Eastern Partnership countries facing similar challenges.