Australian Housing Dynamics and Affordability slide image

Australian Housing Dynamics and Affordability

ANZ SDG BOND PROGRAMME OVERVIEW ANZ SDG Bond Framework Aligned to the UN SDGs and updated to align to the 2018 ICMA Principles and Guidelines Obtained a second party opinion from Sustainalytics¹ to confirm alignment of the ANZ SDG Bond Framework with the 2018 ICMA Principles and Guidelines (this opinion is available on the ANZ Debt Investor website) Obtained pre-issuance assurance from Ernst & Young (EY)2 to confirm that the allocation of proceeds to eligible assets has been done in accordance with the ANZ SDG Bond Framework. ANZ will continue to obtain assurance on an annual basis (these assurance statements are available on the ANZ Debt Investor website) Governance ANZ's SDG Programme adheres to the four pillars: 1. Use of Proceeds - 。 Project Finance loans, Corporate loans and ANZ expenditures aligned to the Eligible Categories o Corporate loans must have a definable purpose that derive at least 90% of their revenue from activities in the Eligible Categories 2. Process for Evaluation & Selection - o 9 of the 17 SDGs were selected based on ANZ's business activities and operations 3. Management & Tracking of Proceeds 。 Green Bond Working Group ensures proceeds remain allocated 。 Monthly monitoring of the eligible asset register/pool 。 Unallocated proceeds: to be invested in cash or Government/Semi-Government securities only 4. Reporting & Disclosures 。 Semi-annual Use of Proceeds reports 。 Annual Impact reports 。 Assurance statements, second party opinions and the SDG Bond Framework on the Debt Investor website Progress Issued first SDG Bond in February 2018 Reported/reporting Use of Proceeds reports semi-annually (on the ANZ Debt Investor website) Published Inaugural Impact report in July 2019 (on the ANZ Debt Investor website) Evolved the Eligible Asset pool from EUR925m at issuance to EUR2,096m as at 30 September 2019 (this is an increase of EUR1,171m) 1. Currently, the provider of the Sustainalytics opinion is not subject to specific regulatory or other regime or oversight and that opinion is provided for information purposes only and on a no liability basis. 2. The Ernst & Young Assurance is subject to the specific scope, limitations, assumptions and qualifications set out in it, including that Ernst & Young does not accept or assume any responsibility to any third parties ANZ 23
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