Bank That Pioneered Green Bonds Sets Ultimatum for Clients

The Swedish bank that brought the first green bond to the world over a decade ago is now forcing corporate clients to prove they’re clean enough to stay on its books.

SEB AB Chief Executive Officer Johan Torgeby, who spent years as a corporate banker pitching green bonds to issuers back when “no one” wanted them, says the bank will work with clients to improve their sustainability credentials. But if they don’t step up, he says SEB will sever ties.