Nordea Exits Equator Principles Framework After ESG Integration
Nordea Bank Abp has decided to withdraw from the voluntary Equator Principles framework for financial institutions. The bank cites the full integration of environmental and social risk management into its internal processes as the reason for the exit.
Helsinki – Nordea Bank Abp has announced its decision to exit the Equator Principles, a voluntary global framework for financial institutions to identify, assess, and manage environmental and social risks in project financing.
The withdrawal follows Nordea's integration of environmental, social, and governance (ESG) considerations into its core risk management processes. The bank stated that its internal frameworks are now robust enough to manage these risks effectively.
Nordea joined the Equator Principles in 2007, recognizing the importance of external voluntary commitments in the financial sector's sustainability practices. Over the past 18 years, the bank asserts that its ESG risk management capabilities have significantly matured.
The bank affirmed its commitment to sustainable finance and achieving net-zero emissions by 2050 remains unchanged. Since 2022, Nordea has facilitated over EUR 200 billion in financing for customer sustainability-related activities and will continue to apply stringent ESG criteria to all project finance decisions.