The Nordic Investment Bank (NIB) experienced strong demand for long-term financing in 2016. This is of course reflected in NIB’s annual results, which will be remembered as record-breaking. Demand increased mostly from municipalities in our member countries, much like in 2015. More than half of all our loan agreements were signed with new borrowers in different business sectors.
In 2016, NIB reached all-time highs with EUR 4.4 billion in agreed loans and EUR 3.4 billion in disbursed loans. The Bank also raised EUR 6.7 billion in new funding and continued to issue NIB Environmental Bonds. Despite the low interest rates, NIB made a profit of EUR 212 million (EUR 215 million in 2015).
Our significance lies in that we can provide “patient” money in the form of long-term loans, which is crucial for many projects. This can also create synergies between public and private sectors.
NIB continued to implement its recently updated strategy. We increased lending to SMEs and midcaps and launched an Arctic Financing Facility. NIB also started to purchase green bonds as part of its lending to projects that improve the environment. We want to further develop the green bond market, both as an issuer and a buyer of green bonds. This is a good example of how NIB seeks to stay relevant and add value.
NIB supports our Nordic and Baltic member countries’ policies for improving competitiveness and the environment. That is our mission. In 2016, 96% of our agreed loans rated “good” or “excellent” in fulfilling this mission. All our projects are reviewed from the perspective of sustainability.
NIB exists as a tool for the Nordic and Baltic countries to create a prosperous and sustainable region. Do you have a project that improves competitiveness and/or the environment?
Henrik Normann, President & CEO