Impact Report 2025

Our Impact Report presents the environmental impact of KBN's green lending programme as of 31 December 2025. All funds raised by KBN's green bond issuances are used to finance or re-finance green loans in the Norwegian municipal sector.

Photo: Christoffer Lende, AS Betong

12.03.2026

Strong growth in green lending

KBN’s green lending programme helps finance projects that reduce greenhouse gas emissions, improve energy efficiency, enhance the environment, and promote climate change adaptation. In 2025, KBN had outstanding green bonds totalling NOK 50.6 billion. By the end of the year, the outstanding green loan portfolio had increased by NOK 10 billion to 75.7 billion, accounting for 21% of KBN’s total lending. KBN’s green loans financed an estimated annual reduction of 16 569 tonnes CO2e and estimated energy savings of 51 023 MWh, among other benefits.

KBN Introduces social impact reporting in annual impact report

For the first time, KBN incorporated social impact metrics into its annual impact report, marking a significant step toward a more comprehensive view of sustainable finance. Building on its leadership in green lending, KBN now highlights its role in supporting not only environmental goals but also the development of stronger, more inclusive local communities across Norway.

The social impact reporting focuses on investments in municipal infrastructure such as schools, kindergartens, healthcare facilities, and care homes. These sectors play a critical role in social cohesion, productivity, and quality of life. The report shows that tens of thousands of students and children, along with vulnerable groups such as the elderly and people with disabilities, are directly benefiting from these investments.

This expanded approach reflects KBN’s ambition to balance financial, environmental, and social value creation. As methodology and data collection of social impact continue to improve, KBN aims to further enhance transparency and provide investors with deeper insights into the real-world impact of its lending.

Read the Impact Report for 2025 (PDF 9MB)

Increased emphasis on nature in green lending criteria

In recent years, KBN has placed increased emphasis on nature in our green lending criteria, and in 2025 we updated the requirements for green loans for water and wastewater projects to meet higher climate and environmental demands. The criteria aim to reduce negative impacts on nature and nature-related risks resulting from land-use changes.

Project portfolio with examples

By year end 2025, KBN financed a total of 570 green projects, of which 40 were new. The new green projects in 2025 encompass initiatives across five project categories:

In buildings, projects include new low-energy buildings, the use of climate-friendly materials, and the renovation of existing buildings for energy efficiency and reduced emissions. Examples include a new energy efficient school in Mosjøen, which will generate its own energy utilising an innovative active solar energy storage system for thermal energy and the construction of a multipurpose hall in Oslo, to be built with extreme low-carbon concrete, reused stone and reused steel.
For transportation, projects encompass the procurement of emission-free and electric construction machines and vehicles, as well as investments in infrastructure for pedestrian and bicycle paths.
In waste and circular economy, the new project in 2025 focuses on more efficient sorting to reduce emissions.
In water and wastewater management, financing supported the upgrading of treatment plants, the rehabilitation of networks in addition to no-dig and zero emission buildings and construction sites.
For land use and area development projects, new efforts involved the development of a new residential area with a strong focus on environmental sustainability in Stange and the installation of plastic free artificial turf in Klepp.