At Nordea, we are committed to sustainable business and development by combining financial performance with environmental and social responsibility as well as sound governance practices.
We work to engage with customers on environmental, social and governance matters and to have an understanding of the challenges and opportunities faced by customers in their businesses and industries. It is also important for us to integrate ESG assessments into our risk management and due diligence processes and ensure we never support financial crime.
With respect to financing in our Sustainability Policy (pdf, 4 MB) we commit to:
- engaging with customers on environmental, social and governance matters and having an understanding of the challenges and opportunities faced by customers in their businesses and industries.
- including and integrating environmental, social and governance risk assessments into risk management and due diligence processes.
- developing and supplying financial products that support sustainable development.
- engaging with stakeholders to ensure continuous development and performance in financing activities.
- preventing financial crime and including measures to manage these risks in financing activities.
- engaging in analysing the potential risk elements in connection with financing that could cause reputational damage to Nordea. Equally we expect that customers and stakeholders themselves engage in managing their reputational risk.
- high standards and best practices as regards tax compliance and reporting, and not financing or facilitating tax schemes that are considered tax evasion, or which, although considered legal, are perceived as aggressive tax planning or are otherwise not in line with Nordea’s internal ethical standards.
An overview of sustainability in the credit process
The Swedish Financial Supervisory Authority (Finansinspektionen) presented a report in November 2015 on banking and sustainability. In the report they concluded that banks should be more transparent towards consumers with regards to how sustainability is considered in the credit process and that this should primarily be through an initiative within the banking industry. The sustainability overview document below is a banking sector initiative facilitated by the Swedish Bankers' Association in order to give an insight into how banks take sustainability into account and how it is integrated in the process of lending to corporates. The board of the Swedish Bankers’ Association has approved the document as an industry recommendation.