ABANCA Sustainable Development Goals Framework Second-Party Opinion (2021)

Project Details

Project

Client

ABANCA

Project Type

Green Bond/Loan

Industry Group

Banks

Use of Proceeds

Renewable energy

Location

Spain

Evaluation Date

Jul 2021

Evaluation Summary

Sustainalytics is of the opinion that the ABANCA Sustainable Development Goals Framework is credible and impactful and aligns to the four core components of the Green Bond Principles 2021. This assessment is based on the following:

USE OF PROCEEDS

The eligible category for the use of proceeds, Renewable Energy, is aligned with those recognized by the Green Bond Principles. Sustainalytics considers that investments in the eligible category will lead to positive environmental impacts and advance the UN Sustainable Development Goals (“SDGs”), specifically SDG 7.

PROJECT EVALUATION / SELECTION

ABANCA Corporación Bancaria, S.A.’s Social Responsibility and Sustainability Committee, which consists of representatives from its Funding/Treasury team, and the Sustainability Department, along with its Sustainability Workgroup, will be responsible for the evaluation and selection of Eligible Assets. The Eligible Assets are pre-screened by its relevant business units, per the criteria defined in the Framework. Sustainalytics considers the project selection process in line with market practice.

MANAGEMENT OF PROCEEDS

ABANCA Corporación Bancaria, S.A.’s Funding/Treasury team will be responsible for the allocation of proceeds. ABANCA Corporación Bancaria, S.A. intends to achieve full allocation of proceeds within 36 months from the date of issuance. The unallocated proceeds will be invested in cash or cash equivalent instruments, in accordance with ABANCA Corporación Bancaria’s treasury management policy. This is in line with market practice.

REPORTING

ABANCA Corporación Bancaria, S.A. intends to report on the allocation and the impact of proceeds on its website, approximately one year after the inaugural issuance and annually thereafter until full allocation. The allocation reporting is expected to include the total size of each issuance, category-level details on the allocation of net proceeds, and the balance of unallocated proceeds. In addition, ABANCA Corporación Bancaria, S.A. intends to report on relevant quantitative impact where feasible and has provided indicative metrics in the Framework. Sustainalytics views ABANCA Corporación Bancaria, S.A.’s allocation and impact reporting as aligned with market practice.