Second-Party Opinion Download

Sustainalytics is of the opinion that the Bank Millennium Group Green Bond Framework is credible and impactful and aligned with the four core components of the Green Bond Principles 2021. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories for the use of proceeds, Renewable Energy and Green Buildings, are aligned with those recognized by the Green Bond Principles. Sustainalytics considers that investments in the eligible categories will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDGs 7 and 9.

PROJECT EVALUATION AND SELECTION

Bank Millennium’s Green Bonds Subcommittee will evaluate, select and monitor eligible projects. The Green Bonds Subcommittee comprises five management board members and representatives of the Treasury Department, the Risk Department, the Sustainability Department and business units responsible for specific green assets. Bank Millennium has internal processes to address environmental and social risks associated with the eligible assets. Sustainalytics considers the project selection process to be in line with market practice.

MANAGEMENT OF PROCEEDS

Bank Millennium’s Green Bonds Subcommittee will be responsible for the management and allocation of proceeds on a portfolio basis using an internal register. Bank Millennium intends to allocate net proceeds within 36 months of issuance. Pending full allocation, Bank Millennium may temporarily hold unallocated proceeds in cash, cash equivalents or short-term liquid instruments. This is in line with market practice.

REPORTING

Bank Millennium will report on the allocation of proceeds on its website on an annual basis until full allocation. Allocation reporting may include the total amount of outstanding net proceeds allocated to eligible assets, total amount of eligible assets included in the green assets portfolio by category, balance of unallocated net proceeds, and amount or percentage of new financing and refinancing. In addition, Bank Millennium intends to report on relevant impact metrics. Sustainalytics views Bank Millennium’s allocation and impact reporting as aligned with market practice.

Alignment with the EU Taxonomy

Sustainalytics has assessed the Framework for alignment with the EU Taxonomy’s criteria for Substantial Contribution (SC) to its environmental objectives, Do No Significant Harm (DNSH) and Minimum Safeguards. For more details, see Section 1 and Appendix 1.