RIGA, March 3 (LETA) - The Nordic Investment Bank (NIB) has signed a loan agreement of EUR 50 million with Development Finance Institution Altum to support small and medium-sized enterprises (SMEs) across Latvia, Altum said in its statement to Nasdaq Riga stock exchange.

The funding will be used for a wide range of SME investments, including equipment purchases (such as agricultural machinery, production machinery, and equipment for service providers), property investments (including agricultural or production facilities), as well as working capital loans.

The program primarily targets loans below EUR 1 million, with a dedicated portion for smaller loans (below EUR 250,000) aimed at SMEs in rural areas. Typical investments include equipment and heavy vehicles for forestry, agriculture, and manufacturing, as well as construction or renovation of facilities for smaller service providers.

"This financing from NIB will allow Altum to further strengthen our most in-demand direct lending segment - small and medium-sized enterprises, including farmers and rural businesses. These additional resources will enable us to support investment projects that enhance productivity, modernize equipment and infrastructure, and promote sustainable business development," said Reinis Berzins, Chairman of the Management Board at Altum.

In May 2025, NIB also invested EUR 10 million in a EUR 70 million bond issued by Altum, further supporting the development of capital markets in Latvia.

As reported, Altum posted EUR 31.47 million in preliminary profit for 2025.

Development Finance Institution Altum is a Latvian state-owned company providing enterprises and households access to financial resources by means of support financial instruments - loans, guarantees, investments in venture capital funds - in areas defined as important and to be supported by the state.

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.