In the latest issue of SEB’s report The Green Bond, titled Pathways to Paris, we explore the journey towards a low-carbon economy by looking at topics such the industrial transformation, sustainable cities and the progress of the economic transition as well as a few selected case studies.
The report also contains updated issuance forecasts for 2021 after sustainable finance markets continued their strong rebound in October and November. The total for the year is already close to USD 649bn, which is already a significant increase from previous years, and according to our forecasts, next year will likely be the first year when issuance across the sustainable finance universe exceeds USD 1trn.
“In a year of both stress and ongoing tests, one could easily imagine that finance would go to safe havens, but the world has gone sustainable,” says Christopher Flensborg, Head of Climate & Sustainable Finance at SEB. “The green bond market has just passed USD 1trn since inception and we expect next year’s issuance to be close to USD 500bn in a single year. With added growth from new sustainable loan types, 2021 could see more than USD 1trn raised for sustainability-labelled financing.”
“This year was a challenging year in terms of green investment, but when we look back one day I think it will also be the year when the transition to a fossil-free production system took off,” says Thomas Thygesen, Head of Research, Climate & Sustainable Finance. “The new technology paradigm is taking shape, and companies have started the race to become first-movers. This is the overriding theme in the latest issue of The Green Bond.”
SEB, which together with the World Bank developed the green bond concept in 2007/2008, publishes the research publication The Green Bond six times a year. It strives to bring readers the latest insight into the world of sustainable finance through various themes. Even though the report covers all kinds of products and developments in the sustainable finance market, we have decided to keep its historic name – The Green Bond – as a tribute to our role as a pioneer of the green bond market.
You can find The Green Bond report at sebgroup.com and here
SEB is a leading Nordic financial services group with a strong belief that entrepreneurial minds and innovative companies are key in creating a better world. SEB takes a long term perspective and supports its customers in good times and bad. In Sweden and the Baltic countries, SEB offers financial advice and a wide range of financial services. In Denmark, Finland, Norway, Germany and the United Kingdom, the bank's operations have a strong focus on corporate and investment banking based on a full-service offering to corporate and institutional clients. The international nature of SEB's business is reflected in its presence in some 20 countries worldwide. On September 30, 2020, the Group's total assets amounted to SEK 3,201 billion while its assets under management totalled SEK 2,054 billion. The Group has around 15,000 employees. Read more about SEB at https://www.sebgroup.com