The Nigerian Exchange Ltd. (NGX) on Wednesday unveiled its Impact Board for listing sustainability instruments, following approval from the Securities and Exchange Commission (SEC).
The initiative was launched alongside a Closing Gong Ceremony in honour of Mr Balarabe Lawal, Minister of Environment, and in commemoration of the 8th Green Bond Advisory Group Meeting.
The initiative was launched alongside a Closing Gong Ceremony in honour of Mr Balarabe Lawal, Minister of Environment and in commemoration of the 8th Green Bond Advisory Group Meeting.
In an address, Lawal, also Co-Chair of the Green Bond Advisory Group, said that with issues like flooding, pollution and deforestation urgently need funds to be addressed, hence the approach to the capital market.
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He emphasised that the environmental challenges confronting the country, particularly in the northern regions, demand significant financial resources.
“We have many issues that we need funding for, such as floods, erosion, pollution, and more.
“This is why we are here, to make the issuance of the green bond an annual event,” he said.
In his remark, Alhaji Umaru Kwairanga, Group Chairman, Nigerian Exchange Group (NGX Group), stated that the Exchange possesses the capacity, resources, and technology to raise the funds required by the Federal Ministry of Environment.
Kwairanga added that the NGX was also capable of raising fund for the Nigerian economy to achieve the goals outlined in the Paris Agreement and the Sustainable Development Goals.
Mr Ahonsi Unuigbe, Chairman of NGX, underscored the significance of the Impact Board, noting its potential to encourage issuers like the Federal Government to leverage the market for financing strategic, sustainability-focused projects.
Further emphasising the Group’s commitment, Mr Temi Popoola, Group Managing Director/ CEO of NGX Group, said that the Exchange remained dedicated to driving sustainability with the right frameworks.
Popoola said that was why giving visibility to this class of instruments was crucial to achieving its goals.
Mr Jude Chiemeka, CEO of NGX, descibed the launch as more than just a new platform, but a paradigm shift on how to approach finance and development.
BRANDPOWER reports that as Nigeria steps into a new chapter of sustainable finance, the Impact Board stands to attract both domestic and international investment, driving growth and supporting the nation’s sustainable development agenda.
The innovative platform not only represents NGX’s vision for the future, but also sets a new standard for responsible investing in Africa’s largest economy, and potentially serves as a model for other emerging market.
Addressing the pressing environmental challenges facing the country, Mr. Lawal emphasized, “With issues like flooding, pollution, and deforestation, we urgently need funds to tackle them. This is why we are approaching the market.” His sentiment was echoed by Dr. Agama, who affirmed SEC’s support: “We are ready to bolster the sustainable finance market, aiming to deepen it with diverse instruments that contribute to Nigeria’s sustainable development.”
Alhaji (Dr.) Umaru Kwairanga, Group Chairman, Nigerian Exchange Group (NGX Group) highlighted NGX’s capabilities, stating, “We possess the capacity, resources, and technology to raise the funds required by the Federal Ministry of Environment and the Nigerian economy to achieve the goals outlined in the Paris Agreement and the Sustainable Development Goals.”
Mr. Ahonsi Unuigbe, Chairman of NGX, underscored the significance of the Impact Board, noting its potential to encourage issuers like the Federal Government to leverage the market for financing strategic, sustainability-focused projects.
Further emphasizing the Group’s commitment, Mr. Temi Popoola, Group Managing Director and CEO of NGX Group, stated, “We are dedicated to driving sustainability with the right frameworks, which is why giving visibility to this class of instruments is crucial for achieving our goals.”
Mr. Jude Chiemeka, CEO of NGX, framed the launch as more than just a new platform, describing it as “a paradigm shift in how we approach finance and development.” This sentiment was reinforced by Mr. Abimbola Babalola, Head of Trading and Products at NGX, who highlighted the Board’s potential to foster capital-raising opportunities and create new tradeable products for investors.
The timing of the Impact Board’s launch, coinciding with the 8th Green Bond Advisory Group Meeting, underscores the growing momentum behind sustainable finance initiatives in Nigeria. This synergy between governmental environmental strategies and market-driven solutions promises to accelerate the country’s progress towards its sustainability goals.
As Nigeria steps into this new chapter of sustainable finance, the Impact Board stands poised to attract both domestic and international investment, driving growth and supporting the nation’s sustainable development agenda. This innovative platform not only represents NGX’s vision for the future but also sets a new standard for responsible investing in Africa’s largest economy, potentially serving as a model for other emerging markets.
