Subjects: Public Sector Finance
Independent research and analysis centre confirms: The Danish model for local government borrowing is strong
In a new report, the Danish independent research and analysis centre VIVE assesses that the Danish model for local government borrowing through KommuneKredit – the credit institution for local and regional authorities in Denmark – performs well in relation to the set considerations and criteria.
Danish local governments, i.e. municipalities and regions, undertake many important tasks in the Dan
KommuneKredit's AAA rating affirmed by Standard & Poor's
The credit rating agency, Standard & Poor’s, has announced its annual credit rating of KommuneKredit in which they affirm the company’s AAA rating. The outlook is stable.
In its credit rating, Standard & Poor’s places special emphasis on:
Very high credit quality in the municipal and regional sector, which is expected to continue despite the economic uncertainty in the lig
KommuneKredit announces Annual Report 2020
▪ Lending and leasing increased by DKK 7 billion to DKK 192 billion.
▪ At DKK 440 million, net interest income was slightly higher than full-year expectations.
▪ Pre-tax profit for the year amounted to DKK 278 million, while comprehensive income for the year was DKK 218 million, against DKK 441 million in 2019. The difference was due to lower value adjustments.
▪ Common Equity
Moody’s confirms KommuneKredit’s Aaa rating
Moody’s Investor Service has published their Update to Credit Opinion confirming KommuneKredit’s Aaa rating and stable outlook.
Moody’s highlights the following:
the support offered by the joint and several guarantee provided by its RLG members, the agency's close association with the central government, its public policy mandate and dominant franchise in Denmark, prudent financial managem
Standard & Poor's confirms KommuneKredit's AAA rating
The credit rating agency, Standard & Poor's, has announced its annual credit rating of KommuneKredit in which they confirm KommuneKredit's AAA rating. The outlook is stable.
In particular, Standard & Poor's emphasizes:
Very high credit quality in the municipal and regional sector, which is expected to continue despite the economic uncertainty in the light of COVID-19. Strong and imp
KommuneKredit’s Green Bond Committee approves DKK 3.1 billion in green loans
KommuneKredit’s Green Bond Committee has approved new green loans in the amount of DKK 3.1 billion. Including these recent approvals, which emphasizes the development of the green transition in the Danish municipalities and regions, the committee has approved green loans for a total of DKK 22.4 billion.
Last week, KommuneKredit’s Green Bond Committee approved green loans in the amount of D
KommuneKredit issues a new 5-year USD benchmark and completes switch and tender offer
On 3 June 2020 KommuneKredit completed the issue of a new 5-year USD 1bn benchmark and a switch and tender offer for existing investors in two outstanding USD benchmarks.
The switch and tender announcement for the two outstanding USD benchmarks was published on 2 June 2020 alongside the mandate for a new 5-year USD benchmark. Books for the new benchmark was officially opened on 3 June 2020. Bas
KommuneKredit announces responsibility report – green transition and sustainability play a central role
Responsibility is an integrated part of KommuneKredit's business model. The association supports local development and growth by funding local investments in construction and infrastructure, including the green transition of the society. This is done on a nonprofit basis and on equal terms regardless of location.
The Danish municipalities and regions are in the process of planning and implement