24.10.2025 | Blog Featured Finance Insights Technology

5 Reasons why sustainable bonds need smart technology

Sustainable bonds are moving into the mainstream. Investors expect measurable social and environmental outcomes, regulators are tightening expectations, and banks are under pressure to prove that their financing makes a real difference. In this fast-changing environment, spreadsheets and manual tracking are no longer enough.

That’s where Evitec Solutions Bonds comes in. Our solution supports banks in managing the full lifecycle of their bond programs, from asset classification and monitoring to regulatory reporting and impact disclosures. It’s built on market standards like the ICMA Green and Social Bond Principles, aligned with the EU taxonomy, and designed to help banks issue bonds with confidence while strengthening investor trust.

From my work with Evitec Solutions Bonds, I’ve seen the challenges banks face every day. In today’s fast-paced world, smart technology is driving transformation. Here are five compelling reasons why it’s essential, and how it unlocks real, strategic value.

1. Classifying sustainable assets with confidence

Sustainable finance is booming — but so is oversight. Every bond must be backed by assets that meet strict eligibility criteria under frameworks like the ICMA Green and Social Bond Principles and the EU taxonomy. Precision is essential for banks: accurately classifying loans builds trust with regulators and investors.

With our solution, the classification process is automated and traceable. Each loan is assessed against clear rules and technical screening criteria. For customers, this means less time spent on manual checks, fewer errors, and the confidence to know their sustainable bond pool is validated.

We take the burden out of compliance so banks can focus on what truly matters: serving clients and scaling their sustainable impact.

2. Monitoring the sustainable asset pool

Market demand for sustainable bonds is high, but issuance depends on whether a bank has enough eligible assets at any given moment. Traditionally, checking this has been time-consuming and reactive. In today’s market, banks need to act fast to capture issuance opportunities. Banks that streamline asset classification and automate readiness checks are better positioned to seize market opportunities.

With Evitec Solutions Bonds, monitoring is continuous. Banks can with minimal lead time see if they have sufficient assets and identify the capacity to issue more bonds.

Visibility helps banks stay proactive, issue bonds with confidence, and seize market opportunities.

3. Generating trustworthy reports

Investors are asking sharper questions, regulators demand more detailed disclosures, and sustainability teams within banks need consistent, reliable data. Reporting has become both a regulatory necessity and a trust-building tool.

Our solution automatically generates fact sheets, monthly sustainable bond reports, and impact reports. For issuers using the European Green Bond label from December 2024, we also support the required templates and disclosure rules. This automation ensures reports are accurate, timely, and aligned with market standards.

And how do our customers benefit from this? Banks strengthen investor trust and satisfy regulators without draining internal resources. At the same time, impact reporting gives them a way to showcase the real-world difference their financing makes.

4. Building investor confidence

Investors want transparency on how proceeds are used and have a measurable impact on climate and society.

By providing data-driven monitoring and reporting, our solution helps banks demonstrate accountability. This strengthens relationships with existing investors and makes it easier to attract new ones. A strong sustainable strategy builds investor confidence and helps banks gain both reputational and financial benefits.

5. Staying ahead of regulation

The regulatory landscape is shifting rapidly. The EU taxonomy defines what counts as sustainable. The European Green Bond Regulation introduces a voluntary but binding standard. The CRR III / CRD VI package implements Basel III, with most provisions taking effect in 2025 and some market-risk rules in 2026–2027.

For banks, the challenge is not only to comply, but to do so efficiently and consistently across multiple units and jurisdictions. Manual processes won’t keep pace.

Evitec Solutions Bonds provides the flexibility and automation needed to adapt quickly as requirements evolve. This ensures banks can focus on their strategy and client relationships rather than constantly firefighting regulatory changes. Customers can feel confident about staying compliant, while gaining the freedom to focus on expanding their sustainable finance offerings.

From commitments to results

What excites me most is seeing how technology helps banks turn sustainability commitments into tangible results. With Evitec Solutions Bonds, our customers aren’t just ticking boxes, they show true leadership, build stronger investor relationships, and contribute to real impact.

With the Evitec Solutions Bonds solution in place, customers can stay on top of compliance and focus on growing their sustainable finance offering. And I truly enjoy partnering with them to make that happen.

Written by

Bettina Lönnholm-Rask

Senior Project Manager at Evitec Solutions