In the six months of 2024, compared to the corresponding period in 2023, both in terms of volume (+51%) and the number of supported projects (+33%), the volume of new transactions has increased, as well as there is an increase in the portfolio of support instruments compared to the year-end 2023.

Trends characterizing the reporting period:

• The increase in lending activity, which was observed in the first quarter of this year, is also reflected in the six months period.
• The growth of new transactions in the six months period was facilitated by the high demand of farmers for working capital loans recorded at the end of last year and at the beginning of 2024, which ALTUM provides at an attractive rate as of 3.5% per annum.
• The volume of new transactions was also influenced by the sharp increase in volumes issued under the EU Recovery Fund programmes and the large investment loan with capital rebate programme for Midcaps, as well as the approval of new volumes in the loan programme for affordable housing construction under the Recovery Fund.
• There is still a high demand for loans to companies with ticket size up to EUR 100 thousand with decreased security requirements, which ALTUM implemented as of beginning of the year to promote lending in the regions. 488 applications in amount of EUR 16 million were approved in six months, which is double the amount compared to this year's three months period.
• After a twelve months break, during which ALTUM's guarantee portfolio remained unchanged, this year a small, 3%, increase in the portfolio was recorded in a six months period, mainly due to guarantees for the energy efficiency projects of multi-apartment buildings under the Recovery Fund. In the Individuals’ guarantees segment, the decline in volumes has stopped and the volume of new guarantees in the reporting period is similar to the six months period of 2023.

For more information - see the attachment.

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 the areas defined as important and to be supported by the state, thus developing the national economy, and enhancing mobilization of the private capital and financial resources. On 2 February 2024 Moody’s Investors Service (Moody’s) affirmed ALTUM’s Baa1 long-term issuer rating, with outlook stable, following update of rating methodology. The rating and the short-term issuer rating at P-2, same as affirmed on 16 December 2022. The assigned Moody’s rating of ALTUM is one of the highest credit ratings assigned to corporate entities in Latvia. On 24 October 2017 the bonds issued by ALTUM were listed on a regulated market – Baltic Bond List of Nasdaq Riga.

         Laura Lapkovska
         AS Attīstības finanšu institūcija Altum Investors Relationships Division
         Tel.:+371 26165699
         E-mail: Laura.Lapkovska@altum.lv