Green loans are loans meant for sustainable, environmentally friendly purposes, such as reducing CO2 emissions, or purposes contributing to the green transition in society such as developing new environmentally friendly technology.
Green loans are loans that fulfil the criteria in Nordea’s Green Bond Framework. The criteria are based on internationally recognised green bond standards. By creating a green loan, Nordea essentially gives the loan a quality label. In doing so, Nordea sets strict criteria for how to use the proceeds from the loan and how to report its environmental impact.
Read more about the green bond standards: The Green Bond Principles issued by the International Capital Market Association, ICMA
When a bank lends money to businesses or consumers, it needs to find the money somewhere – to fund the loans. This can be done by issuing bonds. Green bonds are bonds where the money from the bonds is earmarked for sustainable purposes such as funding green loans to consumers or businesses. This is also known as green financing.
Green bonds are popular investment objects for large institutional investors such as pension funds wanting to support the transition to a sustainable future. To ensure that the loans funded by our green bonds truly are sustainable, Nordea has developed a green bond framework.
Read more about green bonds and Nordea’s Green Bond Framework.
Are you looking for a loan for a green project? We at Nordea can advise you.
I am a personal customer in:
Denmark, Norway, Finland or Sweden
I am a business in:
Denmark, Norway, Finland or Sweden
For large corporates and institutions, we also offer support from our Sustainable Finance Advisory team.