BNG Bank

SECTOR Agency
RATINGS AAA/Aaa/AAA
RATING OUTLOOK All stable
FUNDING VOLUME 2020/2021 €15.1BN/€13.5BN
RISK WEIGHT, LCR LEVEL, SOLVENCY II 20%, Level 1
REPO ELIGIBILITY ECB, US Fed, SNB, RBA, RBNZ
About BNG Bank

BNG Bank is a Dutch promotional bank of and for local authorities and public-sector institutions. All the bank’s shareholders are public authorities. Since 1921, the agency has been 50% owned by the Dutch central government while the remainder is owned by municipalities, provinces and a water board in the Netherlands. BNG is a committed partner for a more sustainable society. BNG enables the Dutch public sector to achieve socially relevant objectives.

Sustainable funding strategy

BNG’s core values are sustainability, reliability and professionalism. Sustainability is interpreted as simultaneously serving economic, environmental and social interests. This notion is inextricably linked to BNG’s mission. In light of its public role, reliability means BNG is a safe bank due to the shareholding of Dutch public authorities and largely solvency-free lending. Professionalism means BNG is continuously developing its services, employees and information provision.

BNG’s sustainability is characterised as the “triple-P” (people, profit and planet) approach, which integrates these three elements in all initiatives on the territory of a municipality or nation by generating “inclusive green growth” (OECD, 2017). Although the emphasis is still on activities that affect BNG’s climate and environment, cities are gradually moving to investment projects and policy initiatives where reducing environmental pressure is coupled with improving the natural environment and long-term economic profitability and social performance. In a sustainable city, all three Ps are in balance and benefit from initiatives at the same time.

SUSTAINABILITY OBJECTIVES OF GSS BOND PROGRAMME
The Sustainable Municipalities Bond Framework promotes BNG Bank’s investment in the best-in-class of sustainable municipalities in the Netherlands. The Sustainability Bond for Dutch Social Housing Associations promotes the bank’s investment in the best-in-class of sustainable social housing associations.

GSS BOND PROGRAMME NAME Sustainability Bond Programme

REFERENCE TAXONOMIES FOR THE USE OF PROCEEDS

Green Bond Principles, Social Bond Principles project categories, issuer’s own definitions, EU taxonomy
FRAMEWORKS WITH WHICH THE GSS BOND PROGRAMMES ARE ALIGNED

The Sustainable Funding Framework follows the 2021 GBP/SBP and the 2020 LMA/APLMA/LSTA Green Loan Principles. BNG intends to further align its framework with the EU Green Bond Standard, and a potential EU Social Bond Standard. The framework seeks to contribute to the UN SDGs.
EXTERNAL REVIEW PROVIDERS ISS ESG

PUBLIC ISSUER ESG RATINGS/SCORES

INSTITUTION RATING/SCORE
ISS ESG C+