Following the decision in October of adding EUR as a strategic currency, Kommuninvest has now mandated Barclays, BNP Paribas, Danske Bank, J.P. Morgan and Swedbank to enable a series of investor calls. The objective is to discuss Kommuninvest’s new strategic EUR funding and Green bond programme.
Kommuninvest, the Swedish local government debt office, has published its fourth assurance report on its green bonds framework. The report aims to verify the use of proceeds and their allocation to eligible assets. With a total of SEK 28.9 billion in issued bonds, Kommuninvest is Sweden's largest issuer of green bonds.
External costs for impact reporting, to produce as an issuer and review/consolidate as an investor, typically amount to EUR 10k-25k annually, according to a recent survey on impact reporting. The majority of respondents spend at least 15 days on impact reporting per year. Most investors would either sell the bond or mark it as non-green if they do not get the impact reporting they require.
Kommuninvest's presentation from the annual sustainable finance conference in Paris, arranged by Crédit Agricole CIB on 11 December 2018.
Kommuninvest has participated in a meeting in Brussels with the EU member countries' expert group on sustainable finance. The meeting was part of the work on the EU Commission's Action Plan on Financing Sustainable Growth. Kommuninvest was one of five financial institutions that had been invited to share their experiences in sustainable financing.
Kommuninvest, the Swedish local government funding agency, has published its third assurance report regarding its green bonds framework. The report, performed by Kommuninvest’s external auditor KPMG, provides assurance on the management of proceeds obtained from the issuance of green bonds.
Kommuninvest issued its inaugural green bond in March 2016, for USD 600 million, and has since issued thr
Kommuninvest will shortly, and market conditions permitting, issue a new bond under its Swedish Benchmark Programme. The bond, labelled K2505, will mature on 12 May 2025. Kommuninvest targets benchmark status for K2505, equivalent to SEK 3 billion outstanding on the first day of trading. Final terms are to be established shortly.
S&P Global Ratings (S&P) has, on 22 May 2018, announced a new methodology for rating non-U.S. public-sector funding agencies. As a result of the new methodology, S&P has placed ratings of ten public-sector funding agencies, including Kommuninvest i Sverige AB, under criteria observation ("UCO"). S&P expects to review the ratings identified as UCO within six months.
Kommuninvest conducts green investor presentations on April 18-19. The presentation covers Kommuninvest’s recently published Green Bonds Impact Report and updated Green Bonds framework, ahead of a potential SEK denominated Green Bond transaction, subject to market conditions. The presentation is available for download here.
Kommuninvest is a municipal cooperation for efficient and sustainable financing of housing, infrastructure, schools, hospitals etc. Together we get better loan terms than each one individually. Since the start in 1986, the Kommuninvest collaboration has helped reduce the local government sector’s borrowing costs by many billion SEK. Currently, 294 municipalities and regions are members of this voluntary cooperation. With a balance sheet total of more than SEK 600 billion (USD ~55 billion), Kommuninvest is the largest lender to the local government sector and one of the ten largest credit institutions in Sweden. The head office is located in Örebro.
