Lending and funding

The UK Municipal Bonds Agency matches its lending and funding so that the terms and conditions are fully “back-to-back”.  All borrowing will be undertaken in Sterling and no maturity or interest rate risk will be undertaken by the UK Municipal Bonds Agency.

Strategy

As the UK Municipal Bonds Agency matches its lending and funding so that the terms and conditions are fully “back-to-back”, its focus is on identifying and meeting the borrowing needs of local authorities with its use of funding mechanisms reflecting those needs.  The Framework Agreement is permissive and permits different borrowing structures and products to meet the borrowing needs of local authorities.

More details of the UK Municipal Bonds Agency’s lending and funding will appear here as loans are made to local authorities.