NIB Nordic Investment Bank

Loan characteristics

Loan characteristics

Long-term complementary financing

NIB is a flexible partner responding to customers' needs and providing tailor-made loans and guarantees. Most of NIB's commitments concern loans.

Links
Risk Management Policies (403 KB)
Sustainability policy and guidelines (443 KB)
General guidelines for procurement (157 KB)
Compliance & anti-corruption

Mandate rating

  • All projects are subject to a rating of their compliance with NIB's mission.   

International lending

  • NIB has operations in its Nordic and Baltic member countries and in selected focus countries. Outside the membership area, projects financed by NIB should be of mutual interest to the country of the borrower and the member countries. 

Private and public borrowers

  • NIB provides loans and guarantees to private and public companies, governments, municipalities and financial institutions.

Scope of projects 

  • NIB loans are granted for a special purpose, i.e. a project.
  • NIB loans are usually used for the financing of larger projects. Normally, the total project value amounts to more than EUR 50 million. NIB channels financing to projects of small and medium-sized enterprises through intermediaries.
  • A project to be financed might, for example, concern investments in infrastructure, such as energy and transport, improvement of the environment, research and development, improvement of manufacturing processes or the internationalisation of businesses. See recent loans
  • The proceeds of NIB loans can be used to cover any part of projects costs.

Projects improving competitiveness and the environment

  • NIB loans are provided to projects that improve competitiveness and the environment.
    Read more

Competitive market terms

  • NIB provides loans on commercially sound banking terms, i.e. loans and guarantees with no subsidy element. NIB does not provide grants or financial aid.

Complementary financing

  • A NIB loan or guarantee for a project should generally not exceed 50 per cent of the total cost of the project. 
  • NIB strives to complement other financing sources and add value through its long-term financing and status as an international financial institution.

Long maturities

  • NIB extends long-term loans. As a general rule, all loans are limited to the economic life of the asset or the relevant underlying contracts supporting the financing.

Experience in project and structured finance

Currency flexibility

  • The borrower can choose between most convertible currencies.

Interest rates and fees

  • The interest rate is set on a fixed or floating basis, as preferred by the borrower. Fees comprise, i.a., commitment and arrangement fees.

Adequate security

  • NIB requires adequate security for loans granted. There are no specific requirements regarding the types of security that NIB may accept. NIB may grant unsecured loans to counterparties that are sufficiently creditworthy. In such lending NIB requires various undertakings by the counterparty as part of the loan documentation. 

Potential grace periods

  • Grace periods are considered on the merits of the project.

Thorough analysis and monitoring 

  • Before granting a loan, NIB makes a thorough assessment of the project's technical feasibility and economic viability. The analysis also includes environmental aspects. Loans are followed up on and project implementation is monitored.

Back to the top

  • AR2016

News

NIB signs loan agreement with Husqvarna for R&D investments

A seven-year maturity loan agreement to finance Husqvarna AB's R&D investments 2017–2019.

5 Jan 2018

NIB finances Ericsson’s 5G research programme

A loan to the Swedish telecom company Ericsson will finance a research programme for the development of 5G mobile technology.

22 Dec 2017

NIB finances new pier at Arlanda Airport in Sweden

A long-term loan agreement with the Swedish airport operator Swedavia AB will finance the construction of a new pier at Stockholm Arlanda Airport.

21 Dec 2017


MORE NEWS