New Telegraph-Admin Nigeria plans to sell $186 million of green bonds in two offerings before the end of the year, Bloomberg reported Environment Minister, Balarabe Abbas Lawal, as saying yesterday.
According to the news agency, Lawal said a N50 billion ($31 million) bond will be sold in two weeks and an additional N250 billion one in October, adding that the government expects them both to be oversubscribed.
There’s also a plan to issue a green dollar bond next year, Lawal said, without elaborating.
The debt will fund projects such as water security, green mass transportation and clean energy, he said.
Oil accounts for at least 80 per cent of Nigeria’s export earnings and a recent slump in prices has put its budget forecasts in jeopardy.
With the country’s 2025 budget benchmarked at an oil price of $75 per barrel and the sectors break-even price close to $50 per barrel, “it will likely continue to heighten concerns for the country’s growth, fiscal and external accounts,” Ayodeji Dawodu, head of Africa research at BancTrust & Co. Investment Bank, said in a note Wednesday
