RIGA - Latvia's Hansabank and Estonia's Hansapank have refinanced a 23 million euro loan to Reval Hotel Latvia that was issued earlier by a group of Scandinavian banks.
Hansabanka will issue a loan of 18 million euros by the end of January, while Hansapank will lend 5 million euros.
The two Baltic banks are taking over the loan from the Union Bank of Norway, Nordlandsbanken ASA, the Copenhagen affiliate of HSH Nordbank AG and Nordic Investment Bank.
Druvis Murmanis, a Hansabanka board member, said that the loan proved that Hansabanka was a leader in crediting Latvian companies and that it could compete with European financial institutions.
The loan, issued for 15 years, will be issued in order to foster development of the downtown Riga hotel.