Zurich – October 06, 2026 -- The number of companies linked to greenwashing reached 1,594 in the year to June 2026, a 28% year-on-year increase, according to RepRisk's fifth annual Greenwashing Report. Over the five-year period, greenwashing risk incidents rose 112%, with the latest increase marking a second consecutive annual rise following a 12% decline in 2024.
Financial Services sees greenwashing links surge 40% as scrutiny intensifies
Financial Services ranked as the most exposed sector in 2026, with 305 companies linked to greenwashing, up 40% year on year. Banks recorded 86 linkages, a 23% increase. Together, Financial Services and Banks accounted for one-fifth of all sector linkages among greenwashing-linked companies, with exposure arising both from institutions' own activities and from the companies and projects they finance, invest in, or underwrite.
Transition-linked sectors displace Oil and Gas as top greenwashing source
Alternative Energy, Industrial Metals, Mining, Software and Computer Services, and Utilities together accounted for 29% of greenwashing-related environmental issue linkages in 2026, up from 18% in 2022. Oil and Gas's share fell from 17% to 12% over the same period. RepRisk noted that Software and Computer Services now includes AI companies and data centers facing increasing scrutiny over claims of renewable energy use and carbon-free operations.
Biodiversity overtakes climate change as leading greenwashing issue for first time in five years
Greenwashing linkages concerning ecosystems and biodiversity nearly doubled between 2024 and 2026, rising from 162 to 300. Linkages tied to climate change and emissions remained broadly flat, edging up from 272 to 275, allowing biodiversity to surpass climate as the top environmental issue linked to greenwashing risk.
Philipp Aeby, CEO and Co-founder of RepRisk, said financial institutions need data that is relevant, accurate, and auditable to identify emerging risks and ensure capital supports credible transition efforts rather than greenwashing.