Climate Progress Report 2025
Danske Bank Group 5 February 2026
About the Climate Progress Report 2025
The Climate Progress Report 2025 (hereafter ‘the report’) is a standalone report that serves as an update on the Danske Bank Group’s1 climate targets and provides an overview of actions taken and status in relation to the Group’s climate efforts.
Detailed information such as timeframes are provided in the individual sections of this report. Information on data sources, limitations and data quality are provided in a separate publication, Accounting Principles and Methodological Considerations, on our website.2
Due to limitations in methodology and data, there remains a degree of uncertainty regarding the reliability of the information in this report.
In 2023, we launched our Climate Action Plan, which is a dynamic plan that evolves in line with the maturation of our knowledge and industry development. Subsequently, we have published follow-up reports for 2023 and 2024 on the
progress made. Since the publication of our previous progress report in 2025, we have implemented the following changes:
Restated our baseline for personal mortgages and commercial real estate to reflect updated emission factors, based on publicly available sources and published by e-nettet
Restated our baseline for agriculture following the updated emission factors by ConTerra
Updated our personal mortgages emission reduction target from 55% to 62% following the sale of our Norwegian personal customer portfolio
Included our Northern Bank portfolio in our targets for personal mortgages, commercial real estate and agriculture
Set a new target of a 60% reduction in weighted average carbon intensity for our life insurance and pension equity and bond portfolio as our previous 2025 sector targets have been concluded
Excluded scope 3.7 emissions from employee commuting (working from home) due to insufficient data availability, low data quality and limited control
While this report outlines the progress on our climate ambitions, we acknowledge that climate and nature, including biodiversity, are interrelated. To read more about our biodiversity efforts, please see the Sustainability Statement in Danske Bank’s 2025 Annual Report.
Progress is reported using the latest available information with an outset in our baseline years 2019/2020. For activities dependent on reporting on emissions from our custom-
ers and investee companies, the latest available company reporting data originates from 2024 company reports. For our investment activities, year-end 2025 data for our assets under management has been used. For our lending activities, exposures as at Q3 2025 have been used as a proxy for year-end 2025 figures. Emissions from our own operations are reported for a non-calendar reporting year starting 1 October and ending 30 September.
In January 2023, we committed to setting science-based emission reduction targets. In July 2025, the Science Based Targets initiative (SBTi) launched a new Financial Institution Net-Zero standard, and we are continuing the constructive dialogue with SBTi.
A list of abbreviations and explanations is provided in appendix 3.
This publication has been prepared by Danske Bank A/S
(‘Danske Bank’). Danske Bank is under supervision by the Danish Financial Supervisory Authority (Finanstilsynet).
The publication is intended for informational purposes only. It is not a regulated disclosure and has not been reviewed or approved by any supervisory authority.
The publication does not constitute a recommendation, offer or solicitation of an offer to trade a financial instrument or any other banking, investment, insurance or other product or service in any jurisdiction, including the United States. It should not be relied upon as investment, legal, tax or financial advice. Always consult with professional advisers as to the suitability and appropriateness of an investment. No part of this
publication, including any reference to banking services, investment services, insurance services, and/ or consumer lending services, nor the fact of its distribution, is intended for US persons, including any national or resident of the United States, or any corporation, partnership or other entity organised under the laws of the United States.
Reasonable care has been taken to ensure that the content is fair, true and not misleading. However, the publication includes information that is subject to uncertainties stemming from limitations in underlying methodologies and data. Models and data sources used in preparing this report will continue to evolve, and Danske Bank makes no representation and gives no assurance to the likelihood
of achievement, content’s accuracy or completeness, including third-party information, and accepts no liability for any loss arising from relying on the information provided. The information in this report has not been independently verified.
The forward-looking statements in the publication reflect Danske Bank’s current view of future events and are based on expectations, projections, assumptions and estimations,
which involve uncertainties and risks, including, but not limited to, evolving science, developing methodologies and scenarios, variation in standards, future market conditions, technological developments (which vary significantly from industry to industry), challenges related to data availability, accuracy, verifiability, changes in regulation and realisation of government plans and strategic objectives.
Climate data, models and methodologies are evolving and do not yet match the standards of financial reporting information. The forward-looking statements should not be viewed as reliable indicators of future performance or as complete or accurate accounts of actual performance.
Evolving methodologies and data availability pose challenges for reporting accuracy, and updates to these may alter the conclusions presented, thereby causing descriptions, figures and charts in the report to become outdated. All forward-looking statements made represent only the prevailing sentiment at the time of publication and may require future re-evaluation. As market practices and data quality and availability develop, Danske Bank may be required to update its methodologies or adjust its approach to ESG analysis, possibly amending, updating and recalculating its targets and assessments. Danske Bank undertakes no obligation
to update or revise any forward-looking statements in this publication to reflect events or circumstances after the date of publication.
Caution must be exhibited when interpreting this publication. For additional important information regarding data, models and methodologies, please see the separate publication on accounting principles and methodologies.2
Copyright © Danske Bank A/S. All rights reserved. This publication is protected by copyright and may not be reproduced in whole or in part without permission.
1 In this report, ‘the Danske Bank Group’, ‘the Group’, ‘Danske Bank’ and ‘we’ are used interchangeably, indicating that our climate actions and position cover all Danske Bank Group activities unless otherwise stated in the progress report, with the limitations of data availability as explained in appendices.
2 See the supplementary publication Accounting Principles and Methodological Considerations.
Lending
Investments
Own operations
Appendices
Table of contents
3 Table of contents
4 Foreword
5 Climate targets and progress
8 Lending
10 Shipping
12 Oil and gas
14 Power generation
16 Steel and cement
18 Agriculture
20 Commercial real estate
22 Personal mortgages
24 Investments
27 Development
30 Actions
30 Outlook
31 Own operations
32 Development
33 Actions
34 Outlook
35 Appendix 1 – Actions
40 Appendix 2 – Financed emissions
43 Appendix 3 – Abbreviations
Climate Progress Report 2025 3
Lending
Investments
Foreword
Three years ago, we mapped the emissions that we finance through our lending and investment activities as well as our own carbon footprint, and our findings were published in Danske Bank’s Climate Action Plan. We also defined the trajectories towards 2030 for the most carbon-intensive sectors that our financing and investment activities should follow to be aligned with the Paris Agreement.
This is the third progress report we are publishing to follow up on the development of the carbon footprint in our financing and investment activities. The conclusion that stands out is that we
continue to see progress in line with the trajectories defined by the Paris Agreement.
In particular, most of the trajectories within our lending portfolio remain on track, mirroring the development in our home markets within the Nordic region. Most indicators for our investment activities also show positive developments, and we continue to see reductions in emissions from our own operations towards our 2030 targets.
Looking outside our Nordic home markets and into the global markets of our investment portfolios, we note that, despite progress, the world continues to face climate challenges, with overall carbon emissions and temperatures continuing to rise and long-term policy actions still being insufficient to meet the global ambition of limiting the global temperature increase to 1.5°C above pre-industrial
Own operations
Appendices
Carsten Egeriis
Chief Executive Officer
Danske Bank
levels. While some regions, including Europe, continue to see solid commitment to decarbonisation, we see headwinds in other regions that may challenge the speed of the climate transition. Accordingly, the path to a carbon-neutral economy is not going to be linear, and ongoing investments as well as policy changes are still required to support a climate transition in line with the scientific recommendations to limit global temperature increases.
Being one of the largest financial institutions in the Nordic region, Danske Bank is an enabler of the transition to a low-carbon economy. This is at the heart of our purpose as a bank, and it is fully embedded in our commercial strategy. In 2025, we introduced our Approach to Financing the Climate Transition. Our approach sets out how we provide financing to our corporate and business customers that have credible transition plans and how we provide financing to companies in transition-enabling value chains.
Technological development is driving decarbonisation in many sectors and countries, and this represents opportunities for Nordic businesses. As a large Nordic bank, we recognise the transition towards a low-carbon society as a critical foundation for achieving long-term financial stability. We view the transition as a commercial opportunity for our customers and for our own business, and we are committed to supporting our customers as they progress on their transitions towards a carbon-neutral future economy.
Climate Progress Report 2025 4
Lending
Investments
Own operations
Appendices
Climate targets and progress
Figure 1: Danske Bank’s decarbonisation targets
5.4 million tCO2e (2025)
64.2%
2.2 million tCO2e (2025)
26.2%
0.8 million tCO2e (2025)
9.5%
0.01 million tCO2e (2025)
0.1%
Objective Below or within a 5% deviation from a linear target trajectory 5-10% above a linear trajectory More than 10% above a linear target trajectory
Scope 1 and 2: -80% absolute emissions
Scope 1, 2 and 3: -50% absolute emissions
1.5°C-aligned temperature rating targets5:
2.0°C (scope 1 and 2)
2.2°C (scope 1, 2 and 3)
Real estate5: -69% emission intensity
Concluded: Sector targets Energy: -15%
Utilities: -35%
Transportation: Automotives: -20%
Transportation: Aviation: -20%
Transportation: Shipping: -20%
Cement: -20%
Steel: -20%
Life insurance and pension
1.5°C-aligned temperature rating targets:
°C (scope 1 and 2)
°C (scope 1, 2 and 3)
Weighted average carbon intensity: -50%
Engagement with the 100
largest emitters by 2025
Carbon reduction targets by 20303
Lending4
Shipping: 0% alignment delta
Oil and gas -exploration and production:
-50% absolute
emissions
Oil and gas -downstream refining: -25% emission intensity/ absolute emissions
Power generation:
-50% emission intensity
Steel: -30% emission intensity
Cement:
-25% emission intensity
Commercial real estate:
-55% emission intensity
Personal mortgages:
-62% emission intensity
Agriculture:
>-30%
emission intensity
Measured emissions6 and share of total emissions
Actions to support our targets
Publication of Danske Bank’s Approach to Financing the Climate Transition
Climate transition analysis, advisory services and tools
Products supporting green and transition activities
International knowledge sharing
Sustainability education and targeted training of employees
Enhance energy-efficiency solutions
Switch to electric vehicles
Promote lower-carbon travel through our travel instruction and carbon budget
Enhancement of ESG evaluation and parameters in investment decisions
Active ownership engagement with selected companies
Excluding companies that have significant negative climate impact
Knowledge sharing through international initiatives
3 Targets have a 2030 time horizon unless otherwise specified.
4 Baseline year 2020
5 Baseline year 2019
6 Financed emissions: scope 1 and 2 only
Climate Progress Report 2025 5