Browsing: investing in green bonds

• Africa’s green bonds market is growing rapidly as the continent increases issuances to power transition to  green energy.
• The Green and Resilience Debt Platform (GRDP) has been established to address climate financing gaps in Africa.
• Countries will now have access to $2B in green debt capital markets via the Platform, thereby bolstering resilience against climate change shocks. 

The green bonds market in Africa is showing strong signs of growth as countries move to tackle climate change. The sector is registering a renewed momentum attracting investments in response to the continent’s vulnerability to climate change crisis. For instance, the Nordic Development Fund (NDF) has granted EUR 500,000 to the Green and Resilience Debt Platform (GRDP).

The Fund was established by the UNDP in partnership with UNCDF, European Investment Bank (EIB), Green Climate Fund (GCF) and the European Union’s Global Green Bond Initiative (GGBI). The platform is working with various stakeholders to …

The train is among the most efficient and least polluting modes of transportation, according to the International Energy Agency (IEA). Trains account for only 0.3 per cent of total global emissions, whereas aviation accounts for 2 per cent.

Even though transportation accounts for a significant portion of green bond issuances worldwide (twenty per cent of all green bonds issued worldwide), this sector is still grossly underrepresented in total distributions in Africa (less than one per cent).

This project is an example of how addressing infrastructure difficulties and providing a friendly solution to the environment may be accomplished through utilising a capital market instrument known as a Green Bond.

This initiative is one of the avenues FSD Africa is considering to bring about the change and demonstrate to other prospective issuers and investors the practicability of the green bond labelling procedure.…

• Importance of Green Finance in Africa
• The role of Green Bonds to drive infrastructure development in Africa
• Why Green Bonds are good for countries such as Kenya and Nigeria

Africa’s renewables sector is now beginning to take off, as green bonds are creating an opportunity for Africa to generate more of the finance it needs for renewable energy projects itself. Despite this, Africa is still dependent on non-African investors to purchase a significant portion of the bonds that are currently available.

In recent weeks, we have heard about the emergence of Green Bonds in Africa. Kenya has issued its first Green Bond in 2019 and Nigeria has also recently gotten on board. We will take a look at these new green finance instruments and their potential impact on African countries. In the meantime, we’ll also discuss the importance of green finance in Africa and the role that Green Bonds …