Green bonds NSE listing crucial to meeting NDCs —EBAFOSA president

Ecosystem Based Adaptation for Food Security Assembly (EBAFOSA) National President, Mr James Oyesola, has applauded the Debt Management Office (DMO)’s listing of the first African sovereign Green Bond on the Nigerian Stock Exchange (NSE), saying it is crucial for the attainment of Nigeria’s nationally determined contributions (NDCs).

He told Nigerian Tribune that adaptation programmes under EBAFOSA will benefit from the green bonds. “Capital is limited and we must look for how to finance the green revolution we are clamouring for. One of them is the solar project to reduce the effect of green house gases. Solar equipment and other renewable energy projects are expensive. Before we can get them, they must be incentivised and subsidised. This is where the financing comes in handy. Everything that has to do with reducing the effect of climate change in transport, agriculture and other related sectors will benefit.”

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Speaking on how soon the desired results will be seen, he said, “The (environment) minister can answer that, but we stakeholders believe that since it has gone to the Stock Exchange, the deed has been done and we expecting the proper implementation and the funds to reflect in the sectors I have just mentioned. This is crucial for the attainment of our nationally determined contributions.”

It will be recalled that about a fortnight ago, the Federal Government of Nigeria, through the Ministry of Finance, Ministry of Environment and the Debt Management Office (DMO) listed a N10.69 billion Series 1, 5-Year 13.48 per cent Fixed Rate Bonds due 2022 on FMDQ and NSE.

At the pre-listing conference at the NSE, the President, Oscar Onyema noted that the three trillion dollars required to provide infrastructure for the next 25 years could be addressed with Green Bond issuance.

Onyema said the nation’s Green Bond was the first to be issued by an African country, noting that Nigeria was the fourth nation in the world to issue Green bonds after Poland, France, and Fiji.

Nigeria endorsed the Paris Agreement on Climate Change on September 21, 2016 and undertook to achieving the Nationally Determined Contributions (NDCs), aimed at reducing carbon emissions by 20 per cent unconditionally and 45 per cent, with international support, by 2030.

Minister of State for Environment, Ibrahim Usman Jibril, commented, “The listing of the FGN green bond enables the Federal Government deliver on program 47 of its economic recovery and growth plan.”