Green Bond Impact and Compliance Report
SPO on Green Bond Framework - Dated September 2020
ISS ESG
SCOPE
Part 1:
Performance
against GBPs²
Overall Evaluation of the Green Bond Framework
Part2:
BNP Paribas commissioned ISS ESG to assess the alignment of its Green Bond Framework with the
International Capital Market Association's (ICMA) Green Bond Principles (GBPs) and to assess the
issuer sustainability performance, based on the ISS ESG Corporate Rating.
Issuer
sustainability
performance
SUMMARY
EVALUATION
Positive
The issuer has defined a formal concept for its Green Bond
Framework regarding use of proceeds, processes for
project evaluation and selection, management of
proceeds and reporting. This concept is in line with the
ICMA GBPS.
The issuer shows a good sustainability performance and
has been given a rating of C+, which classifies it as 'Prime'
by the methodology of the ISS ESG Corporate Rating.
It is rated 2nd out of 285 companies within the
Financials/Commercial Banks & Capital Markets sector as
of 09 June 2020. This equates to a high relative
performance, with a Decile Rank³ of 1.
Status: Prime
Rating: C+
Decile Rank: 1
1. USE OF PROCEEDS
2. PROCESS FOR PROJECT
EVALUATION AND
SELECTION
3. MANAGEMENT OF
PROCEEDS
4. REPORTING
Opinion: ISS ESG considers the Use of Proceeds description provided by BNP Paribas's Green Bond
Framework aligned with the Green Bond Principles (GBPS). BNP Paribas has established the list of
eligible use of proceeds categories which are align with the examples of Green Projects categories
stated by the GBPS and that will be assessed against ISS ESG KPI's (see Annex 210) post-issuance.
Additionally, BNP Paribas explicitly excludes harmful project categories, reflecting best market
practices.
Opinion: ISS ESG considers the Process for Project Evaluation and Selection provided by BNP
Paribas's Green Bond Framework as aligned with the GBPs and with market best practices. The
eligibility criteria are precisely defined and transparently displayed in the framework and covers both
environmental and social risks related to the Use of Proceeds categories in an appropriate manner.
BNP Paribas has established a clear internal screening process with sustainability criteria tackling
Social, Environmental, Health and Safety and Supply Chain indicators reflecting best market practice.
Opinion: ISS ESG finds that Management of Proceeds proposed by BNP Paribas's Green Bond
Framework is aligned with the GBPS and best market practices. The stakeholders involved in the
management of proceeds are clearly identified and relevant as well as the responsibilities that they
share in this process. An appropriate tracking of proceeds is in place and the intended types of
temporary investment instruments for unallocated proceeds are described.
Opinion: ISS ESG finds that the allocation and impact reporting proposed by BNP Paribas's Green
Bond Framework aligned with the GBPs. The level, duration, frequency and scope of reporting are
clearly defined and in line with industry best practices.
The portfolio will be reviewed on an annual basis by ISS ESG.
Rank relative to industry group. 1 indicates a high relative ESG performance, while 10 indicates a low relative ESG performance.
10 All BNP Paribas's Eligible Categories are covered by ISS ESG KPIs except for green shipping which will be developed at a later stage.
BNP PARIBAS
The bank for a changing world
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