Since 2008, when the first Green Bond was issued by the World Bank, the market has grown rapidly, and today it also encompasses Social and Sustainability Bonds. As an active participant and leading bank in the Nordic capital markets, Swedbank is dedicated to supporting the continued development and growth of the Green, Social and Sustainability market by providing advice, expertise and support for both issuers and investors.
Similar to conventional bonds, Green, Social and Sustainability Bonds are debt instruments issued to raise capital in the credit market. However, in contrast to conventional bonds, the capital raised is earmarked to fund projects, processes and technologies that have a positive environmental and/or social impact.
In order for bonds to be classified as “Green" and/or “Social”, the intended investments must meet certain criteria. These criteria are set out in the Green Bond Principles (GBP), Social Bond Principles (SBP) and Sustainability Bond Guidelines (SBG), established by the International Capital Market Association (ICMA). These Principles have become the leading global guidelines for issuance of Green, Social and Sustainability Bonds.*