We will close Financial Gap, build stronger Climate commitments, says FG

The Federal Government says it will close the Financial Gap, build stronger Climate commitments and tap into the potential of Renewable Energy, Partnerships and Collaboration.

The Managing Director. Bank of Industry (BOI), Olasupo Olusi, made this known on Thursday in Abuja.

Olusi spoke during the African Development Finance Institutions (AADFI) and the Association of Development Financing Institutions in Asia and the Pacific (ADFIAP) Joint International CEO Forum.

The Theme of the Event was “DFIs’ strategic role towards a Climate smart future”.

“We are here today to consolidate our South-South Engagements, engage in knowledge-sharing, strengthen our Institutions and enhance our capacity to support Inclusive Growth and Development in our respective Jurisdictions

“This year’s Theme, premised on the need for a Climate smart future is important given humanity’s increasing vulnerability to Climate Change.

“We live in a World where Climatic Events are claiming lives; disrupting Food Systems; limiting Infrastructure and generally slowing down Economic Growth and Development across Member Nations.

“Given the strategic role DFIs play in mobilising Resources for National Development, we are Integrant in the Global response to the Climate challenge,” he said.

Olusi said that one of the primary drivers of BoI’s Developmental Strategy was to accelerate Nigeria’s Development by supporting Environment-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.

“It is Globally recognised that there is an opportunity for Climate Change mitigation and adaption to become the main driver of Economic Growth, and there is no better time for DFIs to become the Vehicles for this change.

“The four ways through which DFIs can play a key role: Closing the Financing Gap, stronger Climate commitments, tapping into the potential of Renewable Energy, Partnerships and Collaboration, are the important ways that we must work together to achieve our Climate ambitions,” he said.

The Chairman AADFI and CEO of Citizen Entrepreneurial Development Agency (CEDA) Botswana, Thabo Thamane, commended all the Partners for their efforts and support.

He said that the Biennial Event was aimed at building Global Partnerships to promote and finance Development. and to strengthen South-South Cooperation.

“It is no longer news that the World is facing the negative impact of Climate Change.

“Human Health and Safety, Food and Water Security, and Sustainable Socio-Economic Development are threatened Globally.

“Reports predict that if strategic actions are not taken to combat Climate Change, the World Economy will lose more than 18 per cent of its current GDP by 2048, and the Least Developed Countries, particularly those in Africa, Asia-Pacific, and Latin America, will suffer the worst consequences.

“Africa, for instance, is estimated to lose five per cent to 15 per cent of its projected GDP by 2050, with a projected Climate adaptation cost of $10bn to $30bn Annually by 2030.

“At the same time, the Asia and ASEAN Countries are projected to lose 26.5 per cent and 37.4 per cent of their GDP by 2048 if immediate action is not taken to mitigate the effects of Climate Change,” Thamane said.

According to him, the World is now in a Climate Emergency as highlighted in UNDP Publications.

“As we focus on addressing the challenges of Climate Change, we are also aware of the need for just transition,” the Chairman said.

Thamane said that the Association of DFIs, the AADFI would continue to leverage Partnership and Collaboration in advancing the Paris Agreement.

Thamane said that such cooperation would manifest in Membership of the WFDFI by African Countries.

He said that it would also manifest Relationship with Colleagues in Asia and the Pacific, the African Financial Alliance on Climate Change(AFAC) and involvement in the Finance in Common Summit.

It is a Global Coalition of over 500 Public Development Banks (PDBs).