Nigerian Exchange Limited has been given permission by the Securities and Exchange Commission to establish its Impact Board, a platform designed to improve the listing and exposure of instruments with a sustainability focus.
This initiative was disclosed during the closing Gong ceremony in Lagos, according to the statement on the company’s website.
The statement stated that the goals of the NGX Impact Board are to address climate change, support sustainable economic practices, and serve as a platform for green financial solutions.
The Minister of the Environment and Co-Chair of the Green Bond Advisory Group Meeting, Balarabe Lawal, was among those in attendance at the ceremony, which was held recently at the NGX headquarters.
Lawal emphasized the significance of the initiative, especially as the government gets ready for a proposed Green Bond issuance that would further environmental sustainability.
The Director-General of the SEC, Emomotimi Agama underlined that the regulatory body supports innovations in Nigeria’s capital market that promote sustainability and responsible investment practices.
“The NGX Impact Board is expected to provide a dedicated platform for issuers of green bonds and other sustainability instruments, facilitating greater investor participation in environmentally friendly projects. This move is anticipated to attract both domestic and international investors who are increasingly prioritizing ESG factors in their investment decisions,” he said.
The Group Managing Director of NGX Group, Temi Popoola noted that the Impact Board will improve accountability and transparency in sustainability investments, building investor trust and confidence.
“The introduction of the Impact Board also comes in conjunction with ongoing discussions about the federal government’s Green Bond issuance, which is aimed at financing projects that contribute to environmental conservation and sustainable development. The NGX’s initiative will provide a robust framework for the successful implementation and management of such bonds,” he noted.
He further said that Nigeria’s financial sector has advanced with the approval and establishment of the NGX Impact Board, establishing the nation as a regional leader in sustainable finance.
