Nokia signs €1.5B green loan tied to climate goals
|Nokia has signed a new €1.5 billion five-year revolving credit facility (RCF) linked to its climate targets, replacing the €1.4 billion agreement from 2019. This deal includes a mechanism where the interest rate Nokia pays will go up or down depending on its progress in reducing greenhouse gas emissions (Scopes 1, 2, and 3).
While this doesn’t mean Nokia urgently needs money, it gives the company financial flexibility—essentially acting as a safety net. Signing the agreement now ensures continued access to funds while aligning its financing with its sustainability strategy.
Nokia aims for Net Zero emissions by 2040 and continues to embed environmental goals into its operations. The move also complies with new EU sustainability reporting standards and demonstrates Nokia’s commitment to responsible business practices.
This type of finance deal is becoming more common among large companies that want to show progress in sustainability while keeping their finances stable and adaptable.