Green Securitisation

Leaseurope is promoting the use of green securitisation backed by lease assets and has been very active in the negotiations on the new European green bond standard.

The EU green bond applies the use-of-proceeds principle at the originator level instead of the issuer level, i.e. securitisation special purpose entity (SSPE), considering at the current transition phase for the markets and until the economy has generated adequate volume of Taxonomy-aligned assets. Yet, the standard requires disclosures of information on the share of securitised exposures that finance economic activities which are Taxonomy-eligible activities. Such definition and associated framework would support credit institutions’ activities in accordance with the EU green bond standard. This will promote the use of securitisations backed by green leases.