FMDQ Group Plc has reaffirmed its commitment to preserving the environment as the global community commemorates World Environment Day 2022.
According to the FMDQ Group, its strong commitment to the preservation of the environment is firmly anchored in its sustainable development program, which has the environment as one of its five (5) pillars of sustainable development and revolves around United Nations (UN) Sustainable Development Goal. (SDG) 7 – Affordable and clean energy, Goal 12 – Responsible consumption and production, and Goal 13 – Climate action.
The FMDQ added that in recognition of the need for Nigeria to continuously remain at the forefront of the global dynamics of sustainable finance and recognition of the potential of Nigerian financial markets to provide the financing required for investments resilient to the climate, he took the initiative to defend sustainable finance. initiatives.
“Some of these initiatives include the launch and successful implementation of the Nigerian Green Bond Market Development Program (NGBDP), together with Financial Sector Deepening Africa, to accelerate the development of green bonds as a tool for Nigeria to expand investment in green projects and assets. Now in its 5th year, the NGBDP has successfully reached over 928 financial market participants through over 34 capacity building meetings and supported the issuance of four corporate green bonds and two government green bonds. a total value of N58.51 billion. The NGBDP has also recently launched an impact report on its activities and how it has supported the use of green bonds in financing low carbon infrastructure in Nigeria,” he said. .
FMDQ Group added that it also facilitated the creation and serves as the secretariat of the Financial Center for Sustainability (FC4S), Lagos, the 23rd member of the International Network of Financial Centers headquartered in Geneva, Switzerland, whose the sole objective is to accelerate the expansion of green and sustainable finance in Nigeria as well as the promotion of the adoption of the United Nations 2030 SDGs.
“In an effort to bridge the gap created by the lack of a dedicated platform for listing green and sustainable securities, FMDQ Group, through its wholly-owned subsidiary, FMDQ Securities Exchange Limited, launched the first Green Exchange in Africa – FMDQ Green Exchange. FMDQ Green Exchange is a virtual information repository platform dedicated to driving the growth of green and sustainable securities and providing reliable green data on the Nigerian financial markets – promoting transparency, good governance and compliance – by featuring securities issuances that align with global environmental, social and governance (ESG) principles. The recent admission of FMDQ Group as an observer member of ICMA’s Green Bond Principles is also critical to FMDQ Green Exchange’s ability to provide issuers with assurance of its compliance with globally acceptable standards.” he noted.
In response to its ranking among the 10 countries most vulnerable to climate change
globally, Nigeria, through its Nationally Determined Contributions (NDCs), as reported in the NDC’s interim report, has committed to reducing emissions by 20% below business as usual and additional 45% conditional on receiving financial support, capacity building and technology transfer.
Globally, financial markets are assuming a greater role in the drive to reduce the impact of climate change through advocacy and
increased investment in sustainability-related financial instruments, such as green and blue bonds, as the long-term financial benefits of integrating ESG principles into investments far outweigh any immediate cost.
And the FMDQ said it remains focused on implementing more sustainable initiatives in support of updating Nigeria’s ambitious NDC commitment and commemorating World Environment Day 2022 with the launch of its recycling initiative – FMDQ Triple R Initiative – in support of a circular economy.
“FMDQ Group is also providing support to the Lagos State Government for the broadcast
of its first Blue Bond whose proceeds aim to address some of the issues related to the Lagos waterways and related environmental challenges,” he noted.
FMDQ Group is the first vertically integrated financial market infrastructure (FMI) group in Africa, strategically positioned to provide registration, listing, rating and rating services; integrated trading, clearing and central counterparty, settlement and risk management for financial market transactions; securities depository, as well as data and information services, in the debt capital, foreign exchange, derivatives and equity markets, through its wholly owned subsidiaries – FMDQ Securities Exchange Limited, FMDQ Clear Limited, FMDQ Depository Limited and FMDQ Private Markets Limited.