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The Latest

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26 February 2021

Recent Supreme Court Ruling in Test Case Regarding Registration Fee in the Restructuring of Companies

24 February 2021

Newly amended Danish Competition Act strengthens the Danish Competition and Consumer Authority’s Options to investigate alleged Infringements of the Act and introduces a new Regime for issuing civil Fines

17 February 2021

The Danish Competition Authorities’ Assessment of Minority Shareholdings and Cross-ownership between Competitors

12 February 2021

Danish Guidelines Increase Transparency on Fines for GDPR Violations

8 February 2021

Report on more rigorous Liability Assessments of Management in financial Companies Published 28 January 2021

8 February 2021

Happy Chinese New Year

3 February 2021

New Rules on Insider Lists and the Obligation to disclose Inside Information for Issuers on SME Growth Markets

2 February 2021

News from the Danish FSA on the Market Abuse Regulation

1 February 2021

Nasdaq updates its Nordic Main Market Rulebook for Issuers of Shares to include Provisions on Special Purpose Acquisition Companies(“SPAC”)

21 January 2021

New Requirement for large and listed Companies to report on their Data Ethics Policies

20 January 2021

The Role of ESG Financing in the Banking Market - No 2 in a Series of Briefs on Sustainable Financing

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Towards sustainable Bank Financing

The banking sector has dealt with many transitions over the years. EU regulation on sustainable finance is pushing the sector into rethinking its core business – lending money to businesses.

In general, the term ESG finance covers all sustainable, including ‘green’ and ‘social’, finance. Among the most recognized types of ESG loans today you will find green loans and sustainability-linked loans.

Particularly booming in 2019 were the sustainability-linked loans as one of the key products, and new data tells us that this development continued into 2020. Such loans differ from green loans. Sustainability-linked loans can be applied for any sustainable purposes (green or not) - however, an in-built pricing mechanism means that the loan is cheaper if the borrower achieves certain sustainability performance targets.

This briefing note will take a closer look on what green- and sustainability-linked loans are and how banking institutions are applying these loans in their sustainable loan portfolios.

Henning Aasmul-Olsen

Partner

+45 30 37 96 50

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Joakim Holdt

Associate

+45 30 37 96 21

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