Kommuninvest holds the highest possible credit rating
Kommuninvest has the highest possible credit rating for both long and short-term borrowing (Aaa/AAA and P-1 from Moody’s and Standard & Poor’s, with a stable outlook). According to the rating institutes, the credit ratings reflect:
- The owners’ joint and several guarantee undertaking
- Strong asset quality in the lending portfolio
- Good access to liquidity
- Cautious attitude to risk
- Strong market position
Our members guarantee Kommuninvest’s commitments
Kommuninvest works in the interests of the public and its owners’ – Swedish municipalities and county councils/regions – operations by providing stable and cost-efficient financing, financial advice, skills development and opportunities for collaboration.
All of the municipalities and county councils/regions that are members of the Kommuninvest Cooperative Society have issued an explicit guarantee for the commitments entered into by Kommuninvest i Sverige AB. This guarantee undertaking applies until outstanding commitments mature, regardless of whether a member leaves the Society or is excluded prior to the maturity of those commitments.
Like all Swedish municipalities and county councils/regions, Kommuninvest has historically always met all of its payment obligations. The guarantee design gives investors and other stakeholders additional security in the face of the hypothetical situation that this would not occur. The 280 municipalities and county councils/regions that are members of Kommuninvest Cooperative Society have guaranteed that, in a situation in which Kommuninvest i Sverige AB fails to meet its obligations, they will pay with their own funds. The guarantee is explicit, irrevocable and unlimited.
All members guarantee Kommuninvest’s commitments.
Creditworthiness of the local government sector
Exceptionally good creditworthiness in the Swedish local government sector.