We expect to issue EUR 5 bn of long-term funding during 2023. Thus, the funding budget is in line with the funding volumes raised in 2022.
Part of KommuneKredit’s funding strategy is to further strengthen our presence as a green and sustainable bond issuer. Thereby, we support our members’ sustainable transition ambitions by providing access to financing of projects at the lowest possible cost.
We have issued green bonds since 2017 and expect steady growth in our green loan portfolio to secure yet another green benchmark bond issue in 2023. During 2022, we updated our Green Bond Framework securing a strong ICMA alignment, an excellent governance score and an overall medium green CICERO-shading across our six green lending categories.
It is a strategic priority to integrate sustainability into our business model and we continuously initiate efforts to strengthen our environmental, social and governance (ESG) profile.
In general, our funding strategy is to continue issuing bonds in various markets, securing stable access to funding and a diversified investor base. The funding strategy remains focused on strategic core benchmark markets as we will continue to provide benchmark sized issues in both EUR, USD, and other currencies.
In line with the activities last year, we expect to have funding requirements in both short- medium- and long maturities. During 2022, KommuneKredit issued benchmarks as well as private placements and tap issues, and we were active in DKK, EUR, GBP, NOK, SEK and USD. Funding was issued in maturities ranging from 2 to 22 years.
