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Blue Bond: UN Spotlights $1.5trn Investment In Niger Delta

As the Federal Government focuses on non-oil sector to raise Nigeria's economy, the United Nations Global Compact Sustainable Ocean Business Action Platform has spotlighted investment opportunities worth over $1.5 trillion in the Niger Delta region through 'Blue Bond.' 

Blue bond is a debt instrument issued by governments, development banks or others to raise capital from impact investors to finance marine and ocean-based projects with positive environmental, economic and climate benefits. 

These were part of the submissions at the just concluded three-day forum, organised by Alfe City Institution in collaboration with Ministry of Niger Delta Affairs, in Uyo, Akwa Ibom State capital on Thursday. 

It was hosted by the Akwa Ibom State Government and supported by Nigerian Maritime Administration and Safety Agency, Nigerian Ports Authority and National Inland Waterways Authority, with the theme, "Preparing for a Future Less Reliant on Crude Oil’.

Mr. Erik Giercksky of the UN group stated that while green bonds would provide more funds for climate and environmental issues, that blue bond would open up investment opportunities for marine and ocean-based projects. 

“Using a blue label can show stewardship, in terms of emission reduction in the ocean, but also in ways that may not be fully expressed in a green instrument,” he said.

Giercksky, who addressed the forum virtually from New York, noted that blue bond can be issued by sovereign countries, multilateral development banks, banks, large and medium-size companies. 

He revealed that the United Nations Global Compact Ocean CFO Task Force in collaboration with ADB Blue Bond Incubator are ready to support the private sector to issue blue bonds.

In his presentation titled, ‘The Niger Delta Endemic Environment: Challenges and the way Forward’, a researcher and Senior Lecturer with the Maritime Academy of Nigeria, Oron, Mr Hilary Efanga identified oil spill, gas flaring and other forms of pollution as some of the major environmental crisis in the Niger Delta. 

He harped on the need for urgent review of the existing laws in the Oil and Gas sector that would resolve the challenges bordering on oil spill and gas flaring. 

The Chief Executive of Alfe City Institution, Mr Soji Adeleye listed the benefits of Niger Delta Blue Economy Investment Forum as advancing discourse on the imperative of a Blue economy, providing the platform for States to exhibit their Blue economy projects for both local and international investors, and among others. 

Adeleye, a member of the Expanded Partnership Committee on Sustainable Blue economy chaired by Vice President Yemi Osinbajo (SAN) sought for the construction of new sea ports along the coast, that would be linked to other parts of the country.

This, he believed would decongest Lagos State and reduce pressure on the Apapa port, adding that the government should build at least 27 functional ports. 

He made case for the construction of sea ports along the Nigeria Atlantic Coast. 

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