Question 1

What are their roles?

Accepted Answer

The municipalities and regions are local governments. Two-thirds of the total public expenditures in Denmark are spent by them.

The main responsibility of the municipalities is to provide social services and education close to the citizens. Other important roles concern environment, public infrastructure and leisure activities.

The regions are responsible for tasks which are best handled in a decentralised setting, but require a large catchment population. Their main responsibility is to provide health care.

Question 2

Affiliation to KommuneKredit

Accepted Answer

All municipalities and regions have one or more loans at KommuneKredit, hence they are members of KommuneKredit and share a joint liability for alle KommuneKredits obligations.

The members of KommuneKredit are limited to the municipalities and regions.

Question 3

Facts

Accepted Answer

How many:
- 98 municipalities
- 5 regions

Average population:
- 60,000 citizens per municipality
- 1.2 m. citizen per region

Question 4

Funding

Accepted Answer

Average sum of total loans outstanding:
- DKK 750 m. per municipality
- DKK 4.5 bill. per region

Average number of green loans:
- 1 loan per municipality 
- Less than 1 loan per region

Average sum of total leasing value outstanding:
- DKK 50 m. per municipality
- DKK 900 m. per region

Question 5

What are their roles?

Accepted Answer

Companies undertaking municipal or regional tasks typically provide utility services such as power, heat, drinking and waste water. Other companies provide public transportation, education, social services and climate adaptation.

Question 6

Affiliation to KommuneKredit

Accepted Answer

Companies undertaking municipal or regional tasks are typically joint municipal authorities or corporate entities under their control. Other companies hold a guarantee from one or more municipalities.

Question 7

Facts and funding

Accepted Answer

KommuneKredit provides funding to around 900 companies involved in municipal or regional activities.

On average, each company has a total outstanding debt of approximately DKK 100 million and holds one green loan.

Question 8

What are their roles?

Accepted Answer

Local clubs and associations facilitate a variety of activities related to sports, culture, leisure, and the broader local community.

Question 9

Affiliation to KommuneKredit

Accepted Answer

Local clubs and associations with a guarantee from the local municipality or region gain access to loans from KommuneKredit with the municipality or region assuming the financial risk.

Question 10

Facts and funding

Accepted Answer

KommuneKredit provides funding to around 350 local clubs and associations. On average, each entity has a total outstanding debt of approximately DKK 4 mill. Very few hold a green loan.

They do not have access to leasing services from KommuneKredit.

	Short-term	Long-term	Outlook
Moody's	P-1	Aaa	Stable
Standard & Poor's	A-1+	AAA	Stable

	Rating	Category	Updated
ISS ESG	C	Prime	2022
MSCI	AA	-	2024
Sustainalytics	15,8	Low risk	2024

Providing equal opportunities for local growth

Press releases and articles

New financing model for KommuneKredit

A low-risk investment

No losses for 125 years

0%

HQLA Level 1

Credit ratings

Who we finance

We provide loans and finance leases for the local growth and green transition in municipalities and regions across Denmark. This also applies to inter-municipal partnerships and companies undertaking municipal or regional tasks provided they have a municipal or regional guarantee.

ESG ratings

Facts about our green financing

Projects we have financed

Safeguarding the supply of drinking water for the future

Expanding the district heating system

Cross-sector collaboration turns residual wood products into district heating

Contact us

Treasury

Sustainable finance

Telephone hours