The Federal Government says it plans to issue green bonds worth N500 billion in 2026 to finance climate‑related and environmental projects across Nigeria, the Minister of Environment, Balarabe Lawal, has announced.
The plan was revealed as Nigeria took part in the Abu Dhabi Sustainability Week.
Lawal said the planned green bond is part of the government’s effort to scale up climate financing and reduce dependence on oil revenues and traditional borrowing methods.
He said the move signals a shift toward long‑term, sustainable finance that supports national goals on climate change.
According to the minister, the proceeds from the proposed bond will go toward projects that help mitigate and adapt to climate change, protect the environment, expand renewable energy, and support sustainable agriculture and other green initiatives aligned with Nigeria’s climate objectives.
Lawal said offering green bonds can help attract investors who are focused on environmentally responsible investments. He noted that climate‑linked debt instruments have grown in use globally and can provide long‑term capital for sustainable development in Nigeria.
He spoke after Nigeria’s participation in the Abu Dhabi Sustainability Week, a global platform focused on environmental sustainability and green finance.
The event draws governments, investors and business leaders to discuss climate action and investment opportunities.
Nigeria has previously accessed the green bond market to fund environmentally friendly projects. The government sees such instruments as key tools to help meet international climate commitments and push the country toward a low‑carbon future.
The planned green bond issuance aligns with broader national efforts to mobilise climate finance, which include initiatives like the National Climate Change Fund and partnerships to support renewable energy and resilience projects.
Experts say these efforts are part of a wider push to tap global capital for sustainable development.
Green bonds link financial markets with environmental goals, offering investors a way to support projects that deliver measurable climate and social benefits.
Analysts note that strong investor demand for such instruments can help Nigeria diversify its funding sources and strengthen its climate resilience.
The Federal Government believes that scaling up green bond issuance will enhance environmental resilience, support inclusive economic growth, and foster sustainable diversification beyond the oil sector while meeting national climate targets.
