OREANDA-NEWS. May 05, 2010. In the first quarter of 2010 the Latvian economy continued to stabilize gradually, and the slightly positive tendency is reflected in the operating results of DnB NORD Banka as well, reported the press-centre of DnB NORD Banka.

The bank's operating profits before provisions and taxes reached a level of LVL 5.9 million in the first three months of 2010.

In the first quarter of 2010 the Bank continued to implement a rather conservative approach to the loan portfolio risk valuation.  Due to depressed domestic consumption and the fact that economic crisis usually influences the quality of the loan portfolio even after the economy has started to revive, the bank made net provisions in the amount of LVL 13.7 million, which is the lowest amount of provisions since the beginning of last year.

The losses of DnB NORD Banka after provisions and taxes in the first quarter of the year amounted to LVL 7.2 million.

In the first three months of 2010 the Bank continued to strengthen its capital base. In the beginning of March the Tier I equity of DnB NORD Banka was increased by EUR 10 million.

Andris Ozolins, CEO of DnB NORD Banka, explains: "DnB NORD Banka has been able to use both the economic crisis and the current first signs of revival of the Latvian economy  as a basis for both sustaining its stable and long-term development and – increasing competitiveness in the banking sector of Latvia.

I am particularly pleased that even in the first three months of 2010, which traditionally are characterized by a comparatively low activity in the business our customer base has increased by 445 companies and more than 2800 private individuals."

Latvia's residents and companies trust DnB NORD Banka, and it is reflected in the growth of the deposit portfolio – in the end of March 2010, the bank's deposit portfolio amounted to LVL 497 million, which was 9% more than in the beginning of the year. 

DnB NORD Banka continued to issue loans for both small, middle-sized and large companies and private individuals. The bank's lending portfolio at the end of Q1 of 2010 amounted to LVL 1.5 billion. 

The total assets of the DnB NORD in Latvia amounted to LVL 1.9 billion at the end of March.
 
Social responsibility projects of DnB NORD Banka

In the beginning of 2010 DnB NORD Banka continued to pursue its main projects of social responsibility attracting wide attention in Latvia. The DnB NORD Latvian Barometer is celebrating the second anniversary since its foundation, and increasingly many specialists of different industries, governmental and educational institutions as well as wide society is interested in the results and the tendencies reflected by DnB NORD Latvian Barometer.

The "Latvia Can!" project being initiated by the bank this year has started a new trend seeking and finding Latvian companies working successfully in export markets thus contributing to both the welfare of its employees and the entire Latvian economy.

DnB NORD Banka Internet portal www.nekrize.lv is attracting a lot of attention in the society of Latvia, helps people to receive answers to their questions, share their experiences, and receive views from recognised economic, sociologic, financial and other specialists about issues related to better overcoming the economic crisis.