South Africa. Nedbank Limited
| Date of agreement: | 07 Mar 2011 |
|---|---|
| Country: | South Africa |
| Customer: | Nedbank Limited |
| Amount in EUR: | EUR 30 million |
| Maturity: | 10 years |
| NACE sector / loan type: | Financial intermediation, except insurance and pension |
Project
The 10-year-maturity loan totalling EUR 30 million has been provided for financing infrastructure, energy and environmental projects with Nordic content in southern Africa.
Nedbank will propose sub-projects to be financed under the loan programme. Possible projects include financing the delivery of low emission city busses from Scania to the City of Johannesburg, as well as water and waste water treatment projects. Improved access to clean water and wastewater treatment is of vital importance to South Africa’s development.
Nedbank Limited is a wholly owned subsidiary of Nedbank Group Limited, one of the four largest banking groups in South Africa. The Bank’s focus extends beyond purely economic and financial considerations, and it is the first corporation in South Africa to commit itself to becoming carbon-neutral
Fulfilment of NIB's mandate
There is a crucial need for improved infrastructure in Southern Africa, especially with regards to water purification and wastewater treatment. In rural areas, improved water supplies and waste water treatment would enhance living standard as well as productivity. Furthermore, Nedbank is active in other infrastructure projects, such as in the transport area, in which Nordic and Baltic industry has a high level of competence and would be able to enhance its competitiveness by supplying southern Africa with advanced transport equipments.
Sustainability summary
Nedbank has an environmental policy focused on assuring that all legislative and liability issues are complied with, acknowledging that the bank cannot prescribe environmental policies for its clients. Nedbank clients active in sectors deemed to have a high risk for negative impact (mining, chemicals, logging, forestry, transportation and estate development) are further required to have an environmental management system in place and the capacity to mitigate possible problems. Furthermore, the bank avoids projects involving resettlement and verifies that land issues related to indigenous people are handled properly. Projects that adversely affect natural habitats or wetlands of international importance are evaluated carefully.