The Bank of Industry (BOI) is implementing an on-lending financing scheme to be implemented through local development financial institutions and would support customers interested in adopting clean energy solutions.
This is a major push to significantly raise the bank’s share of investments in Africa’s renewable energy quest by 2030.
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Olasupo Olusi, managing director/CEO, BOI, announced this at the Association of African Development Financial Institutions (AADFI) – African Development Financial Institutions of Asia Pacific (ADFIAP) Joint International CEO Forum recently held in Abuja, with the theme ‘DFIs’ strategic role towards a climate–smart future.’
According to him, the move was to close the financial gap in the clean energy space as there is an expectation of a global surge in investments in renewable energy, energy-efficient projects, sustainable infrastructure, and other environmentally friendly initiatives.
There is also a need to ensure that the development financial institutions are resilient enough to attract affordable long-term finance through which they can implement green projects.
Already, the BOI has worked with its partners to raise over $5 billion from several international financial institutions in the last five years and intends to leverage its extensive partnership to further raise the resources required for building a climate-smart Nigeria, in line with President Tinubu’s vision.
“At BoI, we are very active in resourcing climate-friendly funds, including the recent credit line of 100 million Euros secured from the French Development Agency (FDA) for the expansion of green finance in Nigeria.
“The bank is also currently implementing an on-lending financing scheme through local financial institutions to support customers interested in adopting clean energy solutions. We will continue to seek funding partners to complement our climate change agenda,” he said
He added that as Nigeria’s leading development finance institution, one of the primary drivers of BoI’s developmental strategy was to accelerate the country’s development through supporting environmentally friendly and sustainable projects across the key sectors of the economy.
“We at BoI are committed to promoting this strategy to deliver on our mandate which is well-aligned with President Bola Tinubu’s renewed hope agenda.
“Given the strategic role DFIs play in mobilising resources for national development, we are integral actors in the global response to the climate challenge.”