Capital Market
NGX, DEG Move to Unlock Up to $3bn in Climate-Linked Capital for Nigerian Firms
The Nigerian Exchange Group, in collaboration with Germany’s development finance institution DEG and Africa Foresight Group, has stepped up efforts to mobilise between $2.5 billion and $3 billion in climate-linked capital for Nigerian corporates.
The initiative was the focus of a chief executives’ roundtable held at the NGX headquarters in Lagos, bringing together corporate leaders, development finance institutions, and capital market stakeholders under the NGX Net-Zero Programme.
The programme is designed to support Nigerian companies in aligning with global net-zero standards, strengthening climate disclosures, and improving access to sustainability-linked funding.
Speaking at the event, NGX Group Chairman, Umaru Kwairanga, said Africa’s response to climate change must be anchored in its capital markets to achieve scale and credibility. He noted that transparency and credible transition plans are increasingly critical to global competitiveness.
NGX Group Managing Director and Chief Executive Officer, Temi Popoola, said climate risk has become a core financial consideration, directly influencing company valuation and cost of capital.
He explained that Nigerian firms with credible climate transition strategies could unlock billions of dollars in blended finance, green funding, and sustainability-linked investments over the medium term.
DEG’s management said the partnership reflects its commitment to mobilising private capital for climate action while delivering development impact and sustainable returns.
Participants at the roundtable highlighted execution challenges, noting that access to capital, technical expertise, and credible frameworks are essential to translating climate commitments into tangible investor value.
The event concluded with a Closing Gong Ceremony and builds on an existing co-funding partnership between NGX Group and DEG under Germany’s develoPPP programme, which provides technical support and subsidised transition planning for listed companies.
