Sweden. Volvofinans Bank AB (publ)

Date of agreement:07 Oct 2022
Customer:Volvofinans Bank AB (publ)
Amount in SEK:SEK 500 million
Amount in EUR:EUR 47.64 million
Maturity:7 years
NACE sector / loan type:Loan programme

This loan contributes to climate change mitigation: 30%


The loan has been provided for Volvofinans Bank to provide competitive on-lending, instalment purchase and leasing solutions for trucks and qualifying hybrid cars used by small and medium sized enterprises, as well as for small mid-caps, in Sweden. At least 30 % of this loan will be used for SMEs’ purchases of hybrid vehicles.

Volvofinans Bank is a borrower of NIB with two loans for on-lending to SMEs signed in 2016 and 2017. In 2020, NIB also participated in a green bond issued by the Borrower.

Volvofinans Bank was founded in 1959 and is 50% owned by the Swedish Volvo and Renault dealers via the holding company AB Volverkinvest and 50% by Volvo Personvagnar AB. The business is primarily to support the sale of Volvo’s and dealers’ vehicles on the Swedish market.

Fulfilment of NIB's mandate

The project may improve SME’s and small mid-cap companies’ access to financing when acquiring or leasing primarily new trucks or hybrid cars. Given that SMEs and small mid-caps are responsible for a considerable share in aggregate output and employment, the loan programme might alleviate credit constrains, which have been identified as a comparative disadvantage for SMEs, and thereby contribute to increased productivity and efficiency of the market.

At least 30 % of this loan will be used for SMEs’ purchases of hybrid vehicles.

Sustainability summary

No concerns identified.

Press release

NIB and Volvofinans Bank sign third loan programme for SMEs in Sweden

Press release

NIB och Volvofinans Bank lanserar det tredje låneprogrammet för svenska små och medelstora företag