Second-Party Opinion Download

USE OF PROCEEDS

The eligible category for the use of proceeds Green Buildings 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, specifically SDG 9.

PROJECT EVALUATION AND SELECTION

SBAB has established an Asset-Liability Committee, which is responsible for approving the project evaluation and selection. SBAB’s representatives from the Treasury and Data Science departments and sustainability experts evaluate and select projects in accordance with the eligibility criteria under the Framework, and present a potential list of eligible projects to the committee for approval. SBAB will leverage environmental and social criteria in its credit approval process to monitor and mitigate sustainability-related risks associated with the projects financed through the Framework. This is in line with market practice.

MANAGEMENT OF PROCEEDS

The Asset-Liability Committee will be responsible for the management and allocation of proceeds and will track the proceeds using a green registry through a portfolio approach. The Group intends to allocate the net proceeds at issuance and in any case within 24 months of issuance. Pending full allocation, proceeds will be placed in the liquidity portfolio in accordance with the SBAB’s liquidity portfolio policy. This is in line with market practice.

REPORTING

SBAB commits to report on the allocation of proceeds and the corresponding impact in a Green Bond Report, which will be published on its website on an annual basis until the maturity date of green bonds issued. Allocation reporting will include a summary of green bond developments, the nominal amounts of outstanding green bonds, the balance of green loans in the Green Registry, the relative share of new financing versus refinancing, the total aggregated proportion of green bond net proceeds used at category level and the share of the portfolio’s alignment with the EU Taxonomy Climate Delegated Act. Sustainalytics views SBAB’s allocation and impact reporting as aligned with market practice.