We present a theoretical analysis and experimental demonstration of a new method for spectral narrowing of laser radiation. The bandwidth narrowing is experienced by a laser beam subjected to a photorefractive two-beam coupling process. Contrary to the conventional method of frequency filtering by a Fabry-Perot etalon, this technique has no intrinsic finesse limitation on its resolution. A factor of 2 in frequency bandwidth narrowing is achieved with an argon-ion laser.