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Nigeria’s green bonds to create 15m jobs by 2020

Published

10 years ago

March 7, 2017

By Chioma Obinagwam

Nigeria’s first Green Bond to be unveiled would address the alarming rate of unemployment in the country to the extent of providing about 15 million jobs by the year 2020.

The Honourable Minister of Environment, Amina Mohammed disclosed this at Green Bonds Capital Market and Investors Conference held in Lagos, recently.

Recall that unemployment rate rose to 13.9 per cent.

“We also anticipate jobs of at least 10 per cent of the ERGP’s target of 15 million jobs by 2020,” she said.

The Green bond process, according to her, is an attempt by the Environment sector to contribute to this Administration’s efforts to diversify the economy, create jobs, improve security, provide a framework for Sustainable Development and deliver on the Paris Agreement.

Apart from providing jobs, she added that the power sector’s target would include 13,000 MWs of off grid solar projects as well as implement schemes that would reduce the incidence of cars by introducing and encouraging the use of buses to enable it achieve its emission reduction target of up to 450 million tonnes.

Mohammed also said that N20 billion was the first tranche of the bond process.

“The amount to be raised is N20 billion. It is not the amount that we are so focused. We are looking at this as an entry point to it and a line of other projects,” she said.

Acting President, Yemi Osibanjo, further disclosed that the bond issuance will support the Federal Government’s shift to non-oil base assets for project financing for economic growth and development.

He said that the proceeds of the bonds would be used for environmental projects such as renewable energy micro-utilities in three communities estimated at N10 billion. Besides, he said it would as well provide an average of 33KW of power through solar technology.

Osinbajo noted that power had poised a major challenge in the nation’s universities, adding that 37 federal universities and seven teaching hospitals would benefit from the Energising Education Programme (EEP).