Signet Bank plans to issue EUR 80 million in loans to businesses and individuals in Latvia this year, informs the bank’s CEO Roberts Idelsons.
“At this time, we are seeking ways to support Latvian producers in overcoming adversity and maintaining their competitive performance. We have access to sufficient resources and capital to assist entrepreneurs who need them,” noted Idelsons.
“We know that any crisis, including the current one, presents its own set of challenges, but at the same time brings new opportunities. We regularly analyse how this crisis is affecting our clients’ businesses, evaluate future risks and seek out suitable financial solutions for each client to weather the crisis,” Idelsons added.
Signet Bank’s plan for the year 2020 is to continue expanding operations in its target markets – Latvia and other European Union member-states – with a focus on the domestic market, which currently accounts for over two-thirds of the bank’s deposits and revenues.
“Thanks to the funds available to high net worth clients, we are able not only to finance projects with assets available to the bank, but also to syndicate major club deals directly involving our clients – this involves both loans and bond issues,” Idelsons commented.
2019 was a financially successful year for the bank. Net fees increased 34% year-on-year (from EUR 3.4m to EUR 4.6m), while net interest income rose by 14% (from EUR 3.4m in 2018 to EUR 3.9m in 2019). Net comprehensive income reached EUR 1.1 million (compared to net comprehensive expense of 57 thousand EUR in 2018). The bank maintains a conservative risk profile: its capital adequacy ratio at the end of 2019 stood at 23.27%, with a liquidity ratio of 67.59%. In 2020, Signet Bank will continue putting available capital to good use, particularly by growing the bank’s credit portfolio on the local market.
About Signet Bank
The Bank was established in 1992 under the name of Latvian Business Bank. Since 2013, Signet Bank’s strategy has been focused on serving wealthy individuals and their businesses, particularly managing clients’ capital and structuring investment projects. Signet Bank’s majority shareholders are a group of Latvian and international investors that includes SIA Hansalink, SIA Fin.lv and Signet Acquisition III.