Business · Companies · 11 hrs ago

ING transfers €5 billion in project loan risks to PGGM

ING transfers €5 billion in project loan risks to PGGM

ING has transferred €5 billion in credit risk on projects in Europe and Asia to Dutch pension investor PGGM.

Credit risk is the possibility that borrowers will not repay their loans.

The risks relate to project financing, which can include loans for wind farms.

European banks are increasingly transferring some loan risks to outside investors, including pension funds.

The transfer is among the largest known in the Netherlands for project financing.

European rules for these transfers have been eased, helping the market grow.

EU politicians are discussing whether to ease the rules further, which could allow more such deals.

Sources

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