Environment Minister Says Plan Will Expand Climate Financing, Cut Dependence on Oil Revenue
The Federal Government has announced plans to raise ₦500 billion through the issuance of green bonds in 2026, as part of efforts to significantly scale up funding for climate-related and environmentally sustainable projects.
The Minister of Environment, Balarabe Lawal, disclosed this in a post on his verified X handle following Nigeria’s participation at the Abu Dhabi Sustainability Week.
According to the minister, the proposed green bond programme highlights the government’s determination to broaden climate financing options while reducing dependence on oil revenues and traditional borrowing to support national development.
Lawal said proceeds from the planned ₦500 billion green bond would be deployed to projects focused on climate change mitigation and adaptation, environmental conservation, renewable energy, sustainable agriculture, and other initiatives aligned with Nigeria’s climate and sustainability objectives.
He noted that the issuance reflects Nigeria’s growing reliance on climate-linked financial instruments to mobilise long-term capital for sustainable development, while also attracting investors with a strong environmental, social and governance (ESG) focus.
Nigeria has previously accessed the green bond market to finance environmentally friendly projects, positioning the instrument as a key component of its broader strategy to meet international climate commitments and accelerate the transition to a low-carbon economy.
The Federal Government believes that expanding green bond financing will not only enhance environmental resilience but also promote inclusive growth, economic diversification, and long-term sustainability.
