Nederlandse Waterschapsbank (NWB)

The Hague, Netherlandsnwbbank.com/en
Invested through
  • Triodos Impact Mixed Fund - Defensive
  • Triodos Impact Mixed Fund - Neutral
  • Triodos Impact Mixed Fund - Offensive
  • Triodos Euro Bond Impact Fund
  • Triodos Sterling Bond Impact Fund
Asset ClassesImpact bonds & Sub sovereign bonds
Impact strategyImpact Equities and Bonds
ISIN codeXS2002516446
Industry groupBanks
Aligned with SDGs

De Nederlandse Waterschapsbank N.V. (NWB) is a financial services provider for the public sector in the Netherlands. It arranges short and long-term loans for water authorities, provinces, social housing, healthcare, educational institutions, municipalities, public-private partnerships (PPP) and activities in the field of water supply and the environment. All loans are guaranteed by the Dutch government. NWB Bank funds its activities on the international money and capital markets on the back of a very strong financial position and ratings. Since the bank was founded in 1954, its shares have been held by public authorities (81% of the bank's equity is owned by the 23 Dutch water boards, 17% by the Dutch government and 2% by the Dutch provinces).

Investment rationale

The proceeds of the bond are used to (re)finance loans given to social housing providers in the Netherlands, that are approved and guaranteed by the Dutch Social House-building Guarantee Fund (WSW), i.e. aligned with the Dutch Housing Act of 2015. All loans are provided under the condition that 80% of the Social Housing Lettings must be given to households with a maximum income of EUR 36,798 (2018) per annum, Rents are capped at EUR 710.68 per month, and a maximum of 10% of the yearly social lettings may be allocated freely up to EUR 42,436 or to specific priority groups.

The Netherlands faces big challenges related to housing. The country's overall housing shortage amounts to 300,000 homes, with annually 95,000-115,000 new dwellings needed, combined with population growth, the housing shortage is likely to remain an ongoing problem in the coming years. Low-income households are particularly affected by the housing shortage and increasing housing prices, with demand exceeding supply by 92,000 as of 2019 and social housing waiting lists spanning in some regions up to 15 years.