Nigeria's Reps Support Climate Finance Bank for Renewables

The House of Representatives in Nigeria has backed a proposal to establish a dedicated climate finance bank, aimed at bridging the significant funding gap in renewable energy investments. Afam Ogen, the chairman of the committee on renewable energy, emphasized the necessity of this initiative to unlock Nigeria's vast climate-smart investment opportunities, which are estimated to require $104 billion by 2030.

The proposal highlights the challenges faced by renewable energy projects in securing long-term, affordable financing, as traditional commercial banks often perceive these investments as high-risk. The proposed bank is designed to fill this gap by serving as a specialized financial institution focused on mobilizing private capital and deploying innovative risk-sharing instruments.

Samuel Ndubuisi Brown, co-founder of Quantum Partners, noted that efforts are already underway to raise $100 million in foundational capital to kickstart operations, with the bank expected to begin functioning in 2026. This initiative aims to support renewable energy deployment, strengthen green enterprises, create jobs, and enhance Nigeria's capacity to manage climate-related risks.