Lagos State Green Bond Market Development Programme To Build Climate-Resilient State

Lagos State Governor, Mr Babajide Sanwo-Olu, says the state is raising money for the Lagos State Green Bond Market Development Programme.

Sanwo-Olu said the bond was geared at building a greater, circular, climate-resilient and prosperous state.

The governor made the remark on Tuesday, September 14, 2021, when he signed a Memorandum of Understanding (MoU) with FMDQ Group and Financial Sector Deepening Africa (FSD Africa), as implementing partners, at Lagos House, Marina.

According to the governor, “Green Bond Framework Development Programme”, is a crucial first step toward creating a viable financing option for future green and sustainability projects.

Sanwo-Olu noted that Green Bonds could assist in unlocking sustainable investment opportunities in Lagos State, opening the door to advance adoption of innovative new technologies, financing of projects that provided green jobs, and promote economic and climate resiliency.

He lamented that climate change affected everyone, but it was expected to hit developing countries the hardest, especially low-lying states such as Lagos.

He, however, noted that despite its devastating effects, climate change was being increasingly viewed as a gateway to new business opportunities, opening many profitable ways for investors to help protect the planet.

He added that one of such ways was through Green Bonds.

“Lagos State is particularly mindful of the effects of climate change and as such, has shown and continues to show its commitment to achieving the Sustainable Development Goals (SDGs), a universal call to action to end poverty, protect the planet and ensure that all people enjoy peace and prosperity by 2030.

“To achieve these lofty goals however, funding is required, far in excess of what the state can currently generate and very urgently.

“The financial sector will therefore, need to play a vital role in accelerating the local market’s ability to provide the required support, by expanding to green lending as an alternative source of funding for financing eligible green projects and assets in Lagos state.

“I commend and thank our partners, the Financial Centre for Sustainability, FMDQ Group and FSD Africa, funded by the UK Government, who are supporting this development programme.

“This Green Bond Framework Development Programme is a crucial first step toward creating a viable financing option for future green and sustainability projects.

“There is no doubt that Green Bonds can assist in unlocking sustainable investment opportunities in Lagos state, opening the door to advance adoption of innovative new technologies, financing of projects that provide green jobs, and promote economic and climate resiliency.