Latvia. Republic of Latvia

NIB is providing a loan to the Republic of Latvia to cover the additional financing needs directly related to financing the containment of the spread of Covid-19.

The Covid-19 mitigation loan will cover a part of Latvia’s increased expenditures, primarily:

• Support measures for employees, rescheduled tax measures and reduction of rent.
• Further possible economic stimulus measures such as capital injections, extra measures for the most affected business sectors, potentially additional support for small and medium-sized enterprises in the form of working capital or guarantee mechanisms.
• Providing protective equipment and anti-infectious agents, medical equipment, disposable personal protective equipment, medicinal products, single-use materials, non-invasive ventilators, and remunerations for medical persons performing all necessary prevention and treatment measures related to the spread of Covid-19.

The loan from NIB will finance the required support measures to the business activities in affected sectors in the forms of loans, capital injections or payment reliefs.

NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank finances private and public projects in and outside the member countries. NIB has the highest possible credit rating, AAA/Aaa, with the leading rating agencies Standard & Poor’s and Moody’s.

The purpose of the loan is to support the economy of a NIB member country and to alleviate the socio-economic consequences caused by the COVID-19 pandemic.

The use of funds will not finance projects listed in the Bank’s exclusion list.