Q3 Interim Management Statement
Summary
During the first nine months of 2023, NIB delivered net profits of EUR 195 million (EUR 84 million in the same period in 2022) and disbursed EUR 2,050 million (EUR 2,883 million).
During January to September, NIB raised EUR 6.7 billion in new funding, including two global benchmark bonds in USD with large orderbooks and a SEK 2 billion NIB Environmental Bond.
In August, the Bank strengthened its Baltic presence with a new office in Riga. The new office brings NIB closer to its Baltic stakeholders, supporting the Bank’s strategic objectives to further enhance the outreach in the region.
“It is of the utmost importance for NIB to identify the priorities of our member countries and how we can support them. We have held several stakeholder meetings and seminars to explore this after the summer. This continuous dialogue is particularly valuable, as we are facing large geopolitical challenges across the world that also affect our region. As an international financial institution, we play a stabilising role in our region while supporting our customers,” says André Küüsvek, NIB President and CEO.
Q2 Interim Financial Report
Summary
During January to June, NIB disbursed EUR 1,670 million to its clients (EUR 2,142 million in the corresponding period in 2022) and signed EUR 1,242 million in new lending (EUR 2,203 million in the same period one year ago).
In the first half of 2023, NIB raised EUR 4.7 billion in new funding. In March, NIB priced a five-year USD 1.5 billion global benchmark bond, which had a final orderbook of more than USD 4 billion – the largest ever for NIB.
The net profit for the period amounted to EUR 127 million compared to EUR 39 million during the first half of 2022. NIB remains in a strong financial position with solid capital and liquidity ratios.
Q1 Interim Management Statement
Summary
During January to March, NIB disbursed EUR 889 million to its clients (EUR 1,107 million in the corresponding period in 2022) and signed EUR 432 million in new loans (EUR 1,222 million in the same period one year ago).
In the first quarter of 2023, NIB raised EUR 3.8 billion in new funding. In March, NIB priced a five-year USD 1.5 billion global benchmark bond, which had a final orderbook of more than USD 4 billion – the largest ever for NIB.
The net profit for the period amounted to EUR 65 million compared to EUR 21 million during the first three months of 2022. NIB remains in a strong financial position with solid capital and liquidity ratios.
NIB Annual Report 2022
Summary
In 2022, NIB’s activities were shaped by the efforts to respond to the energy crisis and the economic uncertainties brought by Russia’s war in Ukraine. The Bank saw a significantly increased demand for its long-term financing.
Total disbursements amounted to EUR 3,705 million while lending signed reached EUR 4,114 million, compared to EUR 2,440 million and EUR 1,852 million respectively in 2021. 99.2% of the mandate-rated disbursements were assessed to have a “good” or “excellent” impact on productivity and/or the environment.
To match the growing needs for financing, NIB raised a record-high EUR 9.6 billion in new funding through 111 transactions. For the first time, NIB Environmental Bonds (NEB) issuance for the year surpassed EUR 1 billion.
The net profit for the year amounted to EUR 139.3 million. The Bank’s loan portfolio as well as capital and liquidity positions remain strong.
NIB’s Board of Directors is proposing to distribute EUR 25 million in dividends to the Bank’s Nordic and Baltic member countries.
Message from the President and CEO
“Our mandate to finance projects that improve productivity and benefit the environment is more important than ever. So is our stabilising role: as the increased uncertainty makes other financiers more reluctant to lend, we continue to support our clients. With our long-term lending, NIB’s customers can tackle the issues of today while keeping their sights on a sustainable future,” says André Küüsvek, NIB President and CEO. Watch his message and read his thoughts on navigating the storm together.
Lending in 2022
The largest share of NIB’s disbursements in 2022 were channelled to transmission and distribution of energy, R&D investments, green buildings and energy generation. The Bank’s financing contributed to quantifiable impacts of 239,000 tonnes of net CO2 emissions reduced or avoided annually and total expected renewable energy generation annually of 693.2 GWh.
EUR 3.7 billion lending disbursed
EUR 4.1 billion lending signed
99.2% mandate fulfilment
26% energy-related disbursements
Loans disbursed in 2022, by economic category
%, based on disbursed loans, excluding labelled bond investments
Funding in 2022
To answer the increased need for financing NIB raised new funding with a nominal value of EUR 9.6 billion through 111 transactions. For the first time since, NEB issuance for the year surpassed EUR 1 billion. NEB transactions in EUR, DKK, NOK and SEK enabled the Bank’s investors to directly channel funds to the most environmentally sound projects close to their homes.
EUR 9.6 billion raised in new funding
Over EUR 1 billion in NEB issuance
111 transactions in 12 currencies
“In 2022, we issued a record high amount of environmental bonds showing our commitment to sustainable bond markets,” says Kim Skov Jensen, Vice-President and CFO at NIB.
Strategy implementation
NIB stayed on course with its recently renewed business strategy, including more sustainability-linked lending and increased activity in previously less well-served market segments. During the year, the Bank also joined the InvestEU Programme. NIB’s Board of Directors approved the decision to increase the Bank’s mandate fulfilment target to 95% from 2023, further increasing the ambition level for even more targeted financing in the future.
EUR 246 million disbursed in SLLs
Implementing partner of the InvestEU
Increased mandate fulfilment target
“The year 2022 was dominated by Russia’s war in Ukraine. This caused not only a humanitarian tragedy but also an energy crisis in Europe. In financial markets, commercial actors became more reluctant to lend. In these circumstances, NIB increased its long-term financing to meet the demand from member country companies. It is more important than ever to push the green transition,” says Ole Hovland, Chair of NIB’s Board of Directors.
Contacts
Jens Hellerup
Senior Director
Head of Funding & Investor Relations
+358 10 618 0340
Luca De Lorenzo
Senior Director
Head of Sustainability & Mandate
+358 10 618 0297
Jukka Ahonen
Senior Director
Head of Communications
+358 10 618 0295