Parex banka                                                28.10.2005



PAREX BANKA OPENS A BRANCH IN BERLIN



October 28, Parex banka officially opens a branch in Berlin, Germany, and 

announces expansion of its operations on the German market. Latvian Parex 

banka is the first financial institution of the new EU member countries to 

start operating in the Western European countries. 



“Parex banka is glad to announce the launch of direct operations in Germany 

where we have previously been operating on a cross-border sales basis. Taking 

into account the active economic relationships between Latvia and Germany, 

German capital resources and the rapid growth of the Latvian economy, we see 

good opportunities for the banks development and successful operations in 

Germany. Latvia’s accession to the European Union has also contributed to the 

great interest of Germans towards the services provided by Latvian enterprises. 

All of these factors have had a positive impact on the decision making process 

culminating in the opening of a branch in Berlin,” comments Gatis Kokins, the 

Assistant Vice President of Parex banka.



The primary tasks of Parex banka’s Berlin branch include: servicing customer 

accounts, offering deposits with competitive rates, (e.g. the annual rate on 

deposits in EUR equals 2.7%), emission of payment cards, internet banking, 

investment counsellor services and asset management advisory. Currently, the 

branch employs four staff members, subsequently the number of personnel will 

be increased.



German citizens have already expressed a high interest in the prospects of 

investing into the rapidly growing economy of Latvia (GDP growth in Latvia 

for the first half year of 2005 reached 9.5%, for 2004 – 6.3%) and  investing 

into Latvian and Baltic real estate market, as well as investing in perspective 

securities of Baltic States, Russian Federation and CIS countries. Currently 

Germany is one of the largest trading partners of Latvia – export volume to 

Germany comprises 9.9% (EUR 337 mln), meanwhile the volume of imports – 14.1% 

(EUR 765 mln).



Parex banka forecasts, that after the launching of the branch, the Bank will

 be able to attract German clients, who are interested in developing economic 

relationships with enterprises in the Baltic Region, as well as to offer 

deposits with competitive rates and high profitability.



Parex banka started research on German market in the end of nineties, opening 

a representative office in Frankfurt in 1998. Since then Parex has established

close business relationships with German banks. The volume of their participation 

in the syndicated loans, issued for and by Parex banka, totals 171,6 mln. EUR. 

The bank’s partners from German banking sector include: Landesbank 

Baden-Wurttembergische, Bankgesellschaft Berlin AG, Bayerische Landesbank, 

Commerzbank AG, Dresdner Bank AG, Europa Bank AG, DZ Bank AG (Deutsche Zentral-

Genossenschaftsbank), HSH Nordbank, Landesbank Rheinland-Pfalz, Landesbank Saar, 

Landesbank Sachsen Girozentrale, West Merchant Bank Limited, Arab Bank Group.



Parex banka’s subsidiary, the investment company Parex Asset Management is an 

investment advisor of the Nestor Eastern European Bond Fund, which is 

currently also offered to German inhabitants. The Fund’s profitability for 

the last 12 months comprised 8%.



About Parex banka



Parex banka is one of the leading banks in the Baltic States, offering 

integrated client services including lending, payment card services, leasing, 

asset management and securities brokerage. The Bank is represented in 16 

countries through its network of representative offices, branches and 

subsidiaries, including a subsidiary in Switzerland, AP Anlage und Privatbank 

AG. Parex banka – is an exclusive issuer of American Express credit cards in 

Latvia. 



Parex banka is rated Ba1 by Moody's Investors Service, BB+ by Fitch Ratings 

and BBB- by Capital Intelligence.



Additional information:

International Communications department

Ph.: + 371 777 8571