By Adedapo Adesanya
Gombe State is finalising efforts to raise a N30 billion green bond for environment-related investments to address climate change and sustainability issues in the state from the Nigerian capital market.
The Governor of the state, Mr Inuwa Yahaya, disclosed this during an official visit with his economic team and an entourage of investors to the Nigerian Exchange (NGX) Limited on Wednesday.
Green bonds are fixed-income, liquid financial instruments used to raise funds dedicated to climate mitigation, adaptation and other environment-friendly projects.
The Governor said that his administration, over the last four years, had demonstrated commitment towards tackling the state’s environmental challenges and restoring the state which is a strategic entry point in the north of the country.
Mr Yahaya, who was honoured with the closing bell at the bourse, said the green bond move will make Gombe State the first sub-national government in the country to raise funding for environment-related investments.
“We are going to be the first sub-national government after the federal government to issue this. It is a testament to what we are doing in Gombe,” he claimed.
Speaking on the plans and a possible timeline, the state’s Commissioner of Finance, Mr Muhammad Magaji told Business Post that the approvals were already ongoing, adding there was a target for the end of the first quarter of 2024.
“We are in the process of approvals. Hopefully, before the end of the first quarter, we should have a date.”
The finance commissioner also said the state was considering the issuance of green bonds in particular because of the innovation goal of the Yahaya-led administration in the state.
“It is an innovation. No sub-national government has quoted a green bond and His Excellency is a futuristic person and we are looking at the sustainability of the environment.
“Coming into office he ensured that all streetlights in Gombe were solar-powered and the hospitals and some offices were on renewable energy. So what we are saying is that we need to do more in terms of sustainable environment and investments.”
He said Gombe, being the centre of the five other states in the Northeastern part of the country, was an added advantage.
