4 Jun 2024

NIB reviews Sustainability Policy to allow security and resilience investments

On June 4, the Board of Directors of the Nordic Investment Bank (NIB) approved the reviewed Sustainability Policy for public consultation. The reviewed version includes topics ranging from defence to biodiversity.

The revision of NIB’s exclusion list regarding defence financing, prompted by the changed geopolitical situation, follows a guidance by the Bank’s Board of Governors—comprising the finance, industry and economic affairs ministers of the Nordic and Baltic member countries—in March in Tallinn.

This change permits the Bank to offer financing for security and defence. As a result, NIB can now consider providing financing, e.g. to dual-use equipment and projects— those with both military and civilian applications—and facilities, services, technology and other defence equipment, still excluding weapons and ammunition. The previous restriction on dual-use items, which limited a company’s revenues or operations from military use to no more than 20%, has been lifted.

André Küüsvek, NIB President & CEO said: “This policy change sends an important signal and carries significant value, allowing us to adapt to new geopolitical realities while maintaining the core mission of the Bank. Our mission to finance climate and nature, as well as productivity and innovation, remains central to NIB.”

Other changes to the policy enhance clarity and align with NIB’s Climate Strategy and targets, launched at COP28 in 2023. The revised policy highlights the Bank’s commitment to protecting nature and biodiversity while integrating ESG factors in investment decisions.

Public consultation

As the next step, NIB is inviting its stakeholders to a public consultation on the revised Sustainability Policy, starting now. Stakeholders are encouraged to submit comments to info@nib.int by 8 EEST on 4 July 2024. NIB will review the contributions and may decide to draft an amended policy for separate approval by the Board of Directors.

Luca De Lorenzo, Head of Sustainability & Mandate at NIB said: “This review aims to ensure that our updated policy reflects the latest developments in sustainable finance in the new geopolitical context. The policy includes updates to NIB’s frameworks and policies and aligns with the evolving sustainability perspectives of our Nordic and Baltic member countries. We look forward to receiving feedback from our stakeholders on the updated policy.”

The Nordic Investment Bank (NIB) is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank provides long-term financing for public and private projects that improve productivity and benefit the environment of the Nordic and Baltic countries. NIB was founded by five Nordic countries in 1975, with the three Baltic countries joining in 2005. The Bank’s headquarters is in Helsinki. NIB holds the highest possible credit rating, AAA/Aaa, from leading rating agencies Standard & Poor’s and Moody’s.

For further information, please contact
André Küüsvek, President & CEO, +358 10 618 001, info@nib.int
Luca De Lorenzo, Head of Sustainability & Mandate, +358 10 618 0297, luca.delorenzo@nib.int
Jukka Ahonen, Head of Communications, +358 10 618 0295, jukka.ahonen@nib.int