The Nordic Investment Bank (NIB) has signed a 7-year loan agreement with the Mortgage Society of Finland (Hypo) to facilitate on-lending for projects with positive environmental impacts in Finland.
The EUR 20 million loan will be utilized to co-finance environmental initiatives undertaken by households and housing companies.
The primary objective is to support the implementation of energy efficiency and renewable energy projects in building renovations, including the installation of heating, ventilation, insulation systems, and electric car charging points. Eligible projects encompass small-scale energy efficiency improvements and renewable energy installations in high-growth areas such as Helsinki, Tampere, and Turku.
Hypo, known for its astute analysis of market trends within the housing sector, has been a reliable partner for NIB. Since 2010, NIB and Hypo have collaborated on three loans totaling approximately EUR 30 million, specifically for energy efficiency enhancements for households and housing companies.
"André Küüsvek, President and CEO of NIB, highlights the significance of the loan agreement with Hypo in advancing environmental initiatives in the housing sector. The funding will empower households and housing companies to implement energy efficiency measures, reduce their carbon footprint, and contribute to a sustainable future," says André Küüsvek, President and CEO of NIB.
Ari Pauna, CEO of the Mortgage Society of Finland, emphasizes the increasing environmental requirements faced by the housing sector. He states, "The loan agreement with NIB enables us to offer a range of financing solutions to Finnish households and housing companies."
Established in 1860, the Mortgage Society of Finland (Hypo) is the oldest private credit institution in Finland, specializing in mortgages and consumer loans. Headquartered in Helsinki, Hypo currently serves around 25,000 customers, with total assets amounting to EUR 3.6 billion.
NIB is an international financial institution jointly owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway, and Sweden. The bank provides financing for private and public projects within and beyond its member countries. NIB holds the highest possible credit rating, AAA/Aaa, from leading rating agencies Standard & Poor's and Moody's.
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