The Nigerian Government has spoken of its plans to seriously scale-up its green finance initiatives over the coming year by issuing green bonds worth $150 billion to help fund a range of sustainable and climate-sensitive projects.
The country has been developing its sustainable finance capabilities for over a year since the first issuance of the green bonds launched in December, 2017
According to Ahmad Salihijo, an adviser at the Ministry of Environment, this original foray into climate financing is helping build three projects which tackle issues of reforestation and energy security.
One of the new projects, the Energizing Education Programme, aims to provide reliable, off-grid power supplies to 37 universities and 7 university hospitals across the country. These will utilise renewable energy in the process, particularly solar and hydropower.
Nigeria earned an excellent rating by Moody’s, the ratings agency, due to its original issuance as the government had created the structures needed to track how the proceeds were being used.
It was also the first African country to offer a sovereign green bond, which was also certified by the Climate Bonds Initiative. The organisation expects the global green bond market to hit $300 billion this year, which at the moment has been dominated by European countries.