Dipo Olowookere
By Dipo Olowookere
On Tuesday, June 5, 2018, the FMDQ OTC Securities Exchange launched the Nigeria Green Bond Market Development (NGBMD) programme in Lagos.
The event was put together by the FMDQ, Financial Sector Deepening Africa (FSD Africa) and Climate Bonds Initiative.
In March this year, the trio signed a cooperation agreement to develop green bonds in Nigeria and as part of efforts to understand the market, the programme was launched.
At the launching, Managing Director of FMDQ, Mr Bola Onadele Koko, explained that the green bond was one of the ways to make the planet safer for humans.
He said funds raised from the issuance of green bonds are channelled towards projects that are eco-friendly.
Mr Koko noted that the FMDQ will continue to make efforts to grow the green bond market, which is relatively new to Nigeria.
“As an OTC Exchange with a passion for developing the Nigerian debt capital markets (DCM), FMDQ is excited and optimistic that our pursuit to develop a Green Bond market in partnership with reputable institutions such as FSD Africa and Climate Bonds Initiative will help address infrastructure gaps and environmental challenges in a sustainable manner to deliver prosperity for Nigerians,” he said.
Business Post gathered that the programme, launched yesterday, was aimed at the development of a domestic green bond market in Nigeria and fostering the issuance of corporate/non-sovereign green bonds.
It is further aimed to grow sustainable and green investment within the Nigerian debt capital markets.
Present at the event were stakeholders from the various parts of the market, who discussed the impact of climate risk on investment portfolios, the role of regulators in developing the local market and growing green bond issuance.
According to the Director of Market Development at Climate Bonds Initiative, Ms Justine Leigh-Bell, “The Nigeria Green Bond Market Development Program is a big step towards unlocking the full potential for domestic issuance while developing a pipeline of green opportunities and engaging with local and international investors. We are very excited about the future in the region.”
