€1.5B credit facility integrates sustainability pricing: Nokia’s new five-year revolving credit facility (RCF) links financing terms to Scope 1, 2, and 3 GHG emission reductions.
Sustainability-linked margin adjustments: Loan pricing will rise or fall annually based on Nokia’s progress against its climate targets.
Supports Nokia’s 2040 Net-Zero goal: Facility strengthens Nokia’s broader climate transition plan, aligned with Science Based Targets initiative (SBTi).
Nokia has signed a €1.5 billion five-year multicurrency revolving credit facility (RCF), with two optional one-year extensions. The facility includes a sustainability-linked pricing mechanism, tying the margin of the loan directly to progress on reducing absolute Scope 1, 2, and 3 greenhouse gas (GHG) emissions.
This new facility replaces Nokia’s previous €1.412 billion RCF agreement dated June 18, 2019, and reinforces its ongoing alignment between financing and sustainability strategies.
“We’re delighted with the strong support and commitment from our key banking partners in this refinancing transaction that connects our financing strategy with our sustainability priorities,” said Marco Wirén, Chief Financial Officer at Nokia.
The facility includes annual target observation periods, with margin adjustments applied in the subsequent year based on whether Nokia meets its emissions reduction benchmarks. The structure directly incentivizes environmental progress, advancing Nokia’s long-term decarbonization objectives.
The credit facility builds on a series of sustainable finance initiatives by Nokia:
A sustainability-linked revolving credit facility initiated in 2019
The company’s first sustainability-linked guarantee facility launched in 2022
Introduction of Nokia’s Sustainable Finance Framework in 2023
RELATED ARTICLE: Nokia commits to net zero greenhouse gas emissions by 2040
“Nokia’s sustainability approach is centered on protecting and creating value for our company and our stakeholders,” said Subho Mukherjee, Vice President of Sustainability at Nokia.
“Continuing to link the pricing of the revolving credit facility to our science-based climate goals is a strong step forward demonstrating our commitment to our sustainability targets.”
Nokia has committed to reaching Net-Zero emissions by 2040, a goal validated by the Science Based Targets initiative (SBTi). The company’s detailed approach to cutting GHG emissions is outlined in its Net-Zero climate transition plan. This includes defined targets and decarbonization actions across its value chain.
In March 2025, Nokia released its 2024 Annual Sustainability Statement—its first report aligned with the EU Corporate Sustainability Reporting Directive (CSRD) and European Sustainability Reporting Standards (ESRS)—highlighting its transparency and compliance in climate-related disclosures.
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