NGSE Admits DMO’s FGN Series II ₦15bn 7-Year Green Bond For Listing

The Debt Management Office (DMO) on Monday, October 14, 2019, listed the Federal Government of Nigerian (FGN) N15bn Green Bond on the daily official list of the Nigerian Stock Exchange (NSE).
The 7-year Green bond issued at a coupon rate of 14.50% on June 13, 2019, is due to mature on June 13, 2026, and was issued under the Series II Green Bond issued.
The bond, for financing renewable energy, afforestation, and transportation projects, according to a statement by the NSE, follows the debut Sovereign ₦10.69bn Green Bond issued in December 2017 and listed on the NSE in July 2018.
Commenting on the listing, Jude Chiemeka, Head, Trading Business Division, NSE, expressed the exchange’s delight to “admit the Series II FGN Green Bond to our Green and Sustainable Bond Market.
“Our collaboration with the Ministry of Environment (MOE) and the DMO on deepening the Green Bond market, which dates back to 2016, reinforces the Exchange’s commitment to position Nigeria as a financial center for green and sustainable financing.”
Chiemeka stressed that the NSE’s “recent partnership with the Luxembourg Stock Exchange (LuxSE) further demonstrates NSE’s passion to provide enabling environment for issuers and investors in the Nigerian capital market. The Exchange will continue to work with key stakeholders in transitioning to a low-carbon and sustainable economy as well as develop innovative products and services in close collaboration with the market”.
He also congratulated the Minister of Environment and the Management of the DMO on the successful issuance of a second Green Bond; a laudable feat in addressing environmental challenges and fostering sustainable financing in Nigeria.
Nigeria’s participation in the Green bond market is in line with the Federal Government’s commitment to achieving its Nationally Determined Contributions (NDC) under the Paris Agreement on Climate Change signed in September 2016.