As part of our broader sustainability strategy Deutsche Bank AG has established a Green Financing Framework. Our goal is to ensure that our clients have access to financing that helps them to pursue the necessary transition to an environmentally sustainable future and our commitment and beliefs have been further reinforced with this Framework.
The purpose of this Framework, which may be updated from time to time, is to have a single robust methodology in place for the future issuance of ‘use-of-proceeds’-based Green Financing Instruments, which include, but are not limited to (Covered) Bonds, Loans, Commercial Papers (‘CPs’), Repurchase Agreements (‘Repos’) and Deposits.
An amount corresponding to the net proceeds from any Green Financing Instrument issued under the Framework shall be used to finance Deutsche Bank’s Green Asset Pool. The pool is composed of both loans to and investments in corporations, assets or projects, which supports the transition to a clean, energy efficient and environmentally sustainable global economy and are in line with the requirements of this Framework and our internal Sustainable Finance Framework.
Generally, the Framework is aligned with the ICMA Green Bond Principles (GBP), which are a set of voluntary guidelines that recommend transparency and disclosure and promote integrity in the development of the green financing market. In formulating the Framework care was also taken to reflect both the United Nations Sustainable Development Goals (SDGs) and the latest reports on the European Union Green Bond Standard (EU GBS) and the European taxonomy for sustainable activities (EU Taxonomy), prepared by the Technical Expert Group on Sustainable Finance established by the European Commission.
The independent consulting firm Institutional Shareholder Services ESG (ISS ESG) has reviewed the bank’s Green Financing Framework and issued an expert opinion, confirming not only the bank’s exemplary conduct but its consistency with the UN Sustainable Development Goals. As part of its evaluation, the consulting firm assessed the bank’s ESG performance, giving it “Prime” status (C rating). This ranks Deutsche Bank in 17th place among 300 companies that have been assessed in the sector financials/commercial banks & capital.