The Nigerian Stock Exchange (NSE) at the weekend listed N10.69billion, 5-year, Federal Government Sovereign Green Bond at coupon rate of 13.48 percent by Debt Management Office (DMO).
The NSE also held a pre-listing conference for market participants with a theme:, ‘Exploring the Green Financing Opportunity; Green Bonds and Enabling Frameworks’ to highlight the opportunities available within the Green Bond market in Nigeria.
The event had in attendance about 200 market operators, government officials, c-level executives, as well as top officials from the academic and sustainability sector.
In her statement during the listing ceremony, the Director General of DMO, Mrs. Patience Oniha, said, “The Green Bond Listing is an opportunity to enable Nigeria tap into the growing global market for green bonds, which as of end of 2016 comprised of $576billion of unlabeled climate-aligned bonds and $118billion of labeled green bonds according to Climate Bonds Initiative in London.
The DMO is proud to list the N10.69 billion FGN Green Bond 2022 on the NSE and expects that trading this instrument will not only bring about Climate Change Awareness but will also diversify the Nigerian Capital Market and attract more investors”.
Also speaking, at the listing ceremony, the Chief Executive Officer of The Nigerian Stock Exchange (NSE), Mr. Oscar N. Onyema said, “Admitting the first ever sovereign green bond in an emerging market is yet another milestone for the Exchange and is a further affirmation of our unique platform to support both the Federal Government and businesses to access capital for sustainable initiatives.
The listing of the FGN Green Bond represents a new stage in the development of Nigerian capital markets and opens the way for further corporate issuance and international investments. As a member of the UN Sustainable Stock Exchange Initiative, we are committed to developing this enormous opportunity for Nigeria.”
The Sovereign Green Bond is part of a strategic process by the Federal Government to add to the nation’s funding options to catalyst the rebound of the economy and offer the vast majority of Nigerians, a new alternative. The listing of this Sovereign Green Bond, which is the country’s first ever certified green bond and the first in an emerging market, is a testament to NSE’s continued vision of pushing green finance and more broadly, the sustainable development agenda in Nigeria.
Some of the dignitaries at the event was moderated by Ms. Patience Oniha, Director-General, Debt Management Office (DMO), Hon. Ibrahim Usman Jibril, the Honourable Minister of State for Environment, and Ms. Amina J. Mohammed, United Nations Deputy Secretary General, represented by Mr. Edward Kallon, UN Resident/Humanitarian Coordinator and UNDP Resident Representative.