NIB to finance upgrades to Riga water systems

• NIB has agreed on a credit facility of up to EUR 50 million with SIA Rīgas ūdens to support a 2025–2028 investment programme for wastewater treatment and clean-water infrastructure.
• The aim is to improve service reliability and quality and to cut non-revenue water.

The total programme cost is EUR 235 million and is also co-financed by a EUR 70 million loan from the European Investment Bank, as well as funding raised through green bond issuances.

The project includes the replacement of more than 9 km of drinking water pipelines and 14 km of wastewater pipelines per year, along with the renovation and capacity expansion of the wastewater treatment facility.

Planned works will replace ageing pipes, add backup connections, improve pressure control and metering, and upgrade system management. Rīgas ūdens will also digitalise operations by installing additional meters and remote-control devices and by creating a full digital twin of the network to enhance both day-to-day maintenance and long-term planning.

Modern polymer pipelines will reduce corrosion, leaks and failures, while treatment-plant upgrades will stabilise nutrient removal, restore key equipment, and increase energy, chemical and sludge-handling efficiency.

Agnese Ozolkāja, Member of the Management Board of Rīgas ūdens said: “The agreement with NIB is an important step in securing long‑term financing for our 2025–2028 investment programme. It strengthens our capacity to modernise critical water infrastructure, reduce water losses, and enhance service reliability for the people of Riga.”

“Investing in modern water infrastructure is essential for both environmental sustainability and urban resilience. Such investments will reduce water losses and improve treatment facilities, ensuring that Riga’s residents continue to receive safe and reliable water services for decades to come,” said Kaspars Pīlādzis, Senior Banker and Country Lead for Latvia at NIB.

The programme aims to lower water losses by at least 12% by 2030, bringing them closer to Nordic standards. Because the cost of water loss is included in tariffs, a sustained reduction may slightly lower rates or help offset other cost pressures.

Rīgas ūdens is the largest water utility company in Latvia, providing water abstraction, treatment, and supply, as well as wastewater collection and treatment services in Riga and the surrounding area. The company’s priorities are delivering high-quality services, developing infrastructure, and ensuring sustainable use of resources. Rīgas ūdens is the first municipal company in Latvia to secure financing through the capital market and the first company in Northern Europe to issue bonds in accordance with the European Green Bond (EuGB) Standard. 

NIB is the international financial institution of Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway, and Sweden. The Bank finances projects that improve productivity and benefit the environment of the Nordic-Baltic region. The Bank is headquartered in Helsinki with a regional hub in Riga. NIB has the highest possible credit rating, AAA/Aaa, with S&P Global Ratings and Moody’s.

For further information, please contact

Kersti Talving, Senior Banker, Public Sector & Utilities, +358 10 618 0245, kersti.talving@nib.int

Kaspars Pīlādzis, Senior Banker, Country Lead for Latvia, +358 10 618 0391, kaspars.piladzis@nib.int

Elīna Neimane, Senior Communications Officer, +358 10 618 0871, elina.neimane@nib.int