Access Bank Plc is planning to issue Nigeria’s first ever corporate green bond.

A green bond is a bond specifically earmarked to be used for climate and environmental projects.

The bank, which could create Africa’s largest retail lender by customers with the takeover of Diamond Bank Plc, plans to use the bond to fund environmental projects, Bloomberg reports citing a source with knowledge of the matter.

The bank plans to raise about 15 billion Naira in the first quarter of 2019 for climate-related funds and programmes, the person said, asking not to be identified because the talks are private.

Also Read: Diamond Bank: Is It A Merger Or An Acquisition?

Access Bank’s spokesman Amaechi Okobi, was said to be unable to corroborate the report when contacted by Bloomberg.

The Nigerian government sold the country’s first green bond worth 10.7 billion Naira in 2017 and plans to raise as much as 150 billion Naira by 2021, according to the Debt Management Office.

Nigeria is Africa’s biggest oil producer and green bonds are part of the country’s plan to cut emissions and meet its obligations to the Paris agreement on the environment.

The Securities Exchange Commission and Lagos-based FMDQ OTC Securities Exchange launched Nigerian Green Bond Market Development Program last year to encourage private companies to sell climate-related debts.

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