The Federal Government plans to release a third green bond in the coming months to support environmental financing, according to Minister of Environment Balarabe Lawal.

This announcement was made during the 17th meeting of the National Council on Environment in Abuja. The council serves as Nigeria’s top decision-making body on environmental matters and aims to discuss and provide guidance on environmental issues.

Wakadaily report that, the government issued its first green bond for N10.69bn in 2017 to fund renewable energy projects, making Nigeria the first country in Africa to do so. In 2019, a second green bond issuance of up to N15bn was announced.

Lawal emphasized the importance of mobilizing more financial resources for environmental sustainability to fund projects that protect and preserve the environment.

He stated, “As we are aware, environmental financing is a capital necessity. Mobilising more financial inflows for management is a need even for innovative financing mechanisms such as the green bond, which I think we are almost there. We’ve been on it for a very long time. I believe that in the next few months, we are going to issue the third green bond.

“It is also important for you to start thinking of trying to issue green bonds, carbon pricing, and public-private partnerships. This will help generate the resources needed for effective environmental protection and conservation efforts.

“I, therefore ask members of this council to intensify exploration and implementation of financing accounting at this level.”

The minister emphasized the urgent need for quick action to combat the negative impacts of climate change on ecosystems, livelihoods, and biodiversity.

“We must redouble our efforts to mitigate greenhouse gas emissions, embrace renewable energy solutions, and foster sustainable practices across all sectors.

“As guardians of biodiversity, we must safeguard our precious ecosystems from degradation and exploitation. Protecting our forests, wetlands, and marine habitats is not merely an environmental imperative but a moral obligation to preserve the rich tapestry of life on earth,” he stated.

During his welcome address, Dr Iziaq Salako, the Minister of State for Environment, emphasized the importance of prioritizing the health and longevity of the environment. He stressed the significance of exploring new funding methods to ensure our ambitions are realized and our actions are successful.

“It is a widely accepted maxim that without money, ambitions are prone to become wishful thinking and intended actions paralysed. Our gathering here at this NCE to examine innovative ways of funding our ambitions and actioning our thoughts is therefore a critical imperative.

“As important as the environment sector is, we still have to compete with other sectors for the limited funds available in both the public and private sectors. We therefore need to think more outside the box, and be more transparent, evidence-driven, and result-oriented to attract the needed funds to our sector,” he stated.

The minister highlighted the importance of collaboration between stakeholders in the public and private sectors to secure funding and develop creative strategies to address environmental challenges in the nation.

“The Federal Ministry of Environment is well prepared to take leadership in this regard and has been implementing innovative financing mechanisms like the issuance of the Nigeria Sovereign Green Bond to drive private sector funding into the system.

“I invite state governments to come on board and examine the opportunities for climate financing through the issuance of their green bonds,” he stated.

Koffy Dominique, the FAO representative for Nigeria and ECOWAS, emphasized the importance of developing a plan for a sustainable future for Nigeria, as the country faces growing environmental challenges such as climate change, deforestation, and pollution.

Tofiq Braimah, representing Dominique, stated that creating the necessary conditions can attract investment opportunities for reducing emissions.

“Progress has been made but more actions need to be taken in institutionalising transformational planning, from multisectoral integrated programming and investments, including leveraging the support of the private sector, and ensuring policy coherence in addressing the drivers of our environmental challenges

“FAO is committed to supporting the government at all levels to enhance sustainable natural resources management, and this includes support to implement, monitor and report climate commitments outlined in the National Determined Contribution document, continuous support to accessing climate finance and partnership and technical support to mainstreaming agrifood systems to the National Biodiversity Strategy and Action Plans, among others,” he restated.