Page 284 - 2019 6th AFIS & ASMMA

Now in June this year, the European Commission's Technical Expert
Group has published a report in which it has drafted proposals for the
technical screening criteria. And obviously for the covered bond market,
the most important set of technical screening criteria relates to the
construction and real estate activities. Session I

Now the taxonomy will at first only focus upon environmental
objectives and eligibility criteria, and at a later stage will also develop
social objectives. And the idea is that an activity should contribute
substantially to one or more of the six identified environmental objectives,
without doing significant harm to any of the other environmental
objectives. At the same time, they have to comply with certain minimum
social safeguards, and also with the technical screening criteria.

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