Bank Nederlandse Gemeenten
Den Haag, Netherlands| Invested through |
|
|---|---|
| Asset Classes | Impact bonds & Corporate bonds |
| Impact strategy | Impact Equities and Bonds |
| ISIN code | XS2081605912 |
| Industry group | Banks |
| Aligned with SDGs |
Bank Nederlandse Gemeenten (BNG) is 100%-owned by the Dutch government (50% owned by the State of the Netherlands and 50% by more than 95% of all the municipal authorities, 11 of the 12 provincial authorities and the public water infrastructure company). The bank was founded in 1914 and is based in The Hague, Netherlands.
The bank provides specialised financial services for local authorities and public sector institutions in the Netherlands. It serves customers operating in the areas of housing, municipalities, healthcare, education, and public utilities by providing various financial services, such as loans and advances, payment services, electronic banking, consultancy, and asset management. BNG also participates in public-private partnerships. Its subsidiary BNG Vermogensbeheer offers local governments the option to implement a responsible investment policy. It also provides microfinance in collaboration with Oikocredit through the Fido Optimaalselect Fonds.
Investment rationale
BNG’s mission is to contribute to making the Netherlands more sustainable. It fulfils this mission by providing financing to municipalities, public housing corporations, health care institutions, energy and infrastructure projects and education.
BNG is an important player in the energy transition in the Netherlands. It directly finances renewable energy and sustainable infrastructure projects and provides funding to public institutions to set up energy projects (e.g. improving energy efficiency, or installing solar panels, etc.), aimed at fulfilling the climate agreement in the Netherlands.
BNG is an active player in the green bond segment. Since 2014, it has issued 8 Sustainability Bonds (amounting to EUR 5.2 bln). For these bonds, it has developed a scientific approach based on SDGs together with the University of Tilburg to assign sustainability scores to projects that it finances. The proceeds of these bonds are used to finance either social housing corporations or municipalities with the highest sustainability scores. It reports annually on the impact of these bonds.
In total 100.0% of the proceeds of impact bond XS2081605912 is aligned with one or more Triodos transitions. 52.9% of proceeds is allocated to the Societal transition and 47.1% of proceeds is allocated to the Resource transition.
Of impact bond XS1309529680, 100.0% of the proceeds is aligned with one or more Triodos transitions. 52.2% of proceeds is allocated to the Energy transition and 47.8% of proceeds is allocated to the Resource transition.