NIB loan to help revitalise Latvian SME sector

NIB and the Latvian state-owned Latvijas Hipoteku un zemes banka (Mortgage and Land Bank of Latvia, Hipoteku banka) have signed a new agreement for a 10-year-maturity loan programme totalling EUR 100 million.

The loan programme will provide the Latvian government with a tool to realise its intention to raise the competitiveness of the country’s small and medium-sized enterprises (SMEs).

“This financing is aimed at revitalising the Latvian SME sector, which is the backbone of the Latvian economy. Small businesses have been hardest hit by the recession in Latvia, but they also have strong potential for improving the country’s export competitiveness,” says Johnny Åkerholm, NIB President and CEO.

End-recipients will be able to apply for subloans in amounts up to LVL 5 million (EUR 7 million).

Hipoteku banka is a development and retail bank, used by the government as a tool for implementing development projects aimed at promoting SMEs. Hipoteku banka was granted loans from NIB for similar projects in 2000, 2002, 2003 and 2006.

NIB is a multilateral 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.

For further information, please contact

Mr Lars Selenius, Senior Director, Lending, at +358 10 618 0502

Mr Dimitrijs Alehins, Communications Specialist, at +358 10 618 0296,