FG Commences Roadshows to Issue N15bn Series II Green Bond

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Ndubuisi Francis in Abuja

Following the Federal Government of Nigeria’s successful issuance of a N10.69 billion maiden Green Bond in December 2017, making Nigeria the first African country to issue such a bond, the Federal Government of Nigeria (FGN) is on the verge of undertaking a second issuance–a Series II Green Bond of up to N15 billion.

To ensure the success of the Series II Green Bond, the Federal Ministry of Finance, Federal Ministry of Environment and the Debt Management Office (DMO) began to engage respective investors at roadshows.

The two-day roadshows in Lagos and Abuja are desgned for May 27, and 28, 2019.
The DMO said the Series II Green Bond issuance is a further demonstration of the federal government’s commitment to the reduction of greenhouse gas emissions by 20 per cent (unconditionally) by 2030, as outlined under the Paris Agreement signed on September 21, 2016. Through the Offer, the FGN seeks to raise N15 billion to finance projects with green credentials.

These eligible green projects can be classified under three themes within the green bond framework, including renewable energy, afforestation, and transportation.

Already, Moody’s Investors Service has assigned a GB1 (Excellent) Green Bond Assessment to the Offer.

The DMO is working with Chapel Hill Denham Advisory Limited, Capital Assets Limited, Rand Merchant Bank Nigeria Limited, and Stanbic IBTC Capital Limited as financial advisers/issuing houses to the Offer.