Sustainability-linked loans
Sustainability-linked loans allow us to create larger incentives for companies to transition and are connected to the company’s sustainability performance. Usually, 2-3 ambitious sustainability goals are agreed upon and followed up on an annual basis. If the company succeeds in achieving the goals they receive a discount on the interest of the loan. If the company fails to meet them, they pay a premium on the interest. To ensure the quality of the goals, we follow the Loan Market Association’s Sustainability-linked loan principles and require a 3rd party verification of the KPIs.