The Development Bank of Nigeria (DBN) has signed a grant agreement with the Green Climate Fund (GCF), to receive support from GCF’s Readiness and Preparatory Support Programme (Readiness Programme). This support will strengthen DBN’s climate programming capacity and facilitate access to GCF resources and broader climate finance opportunities, in line with national priorities.
Speaking during a virtual grant agreement signing event, Achala Abeysinghe, GCF’s Director of Investment Services, said GCF’s Readiness Programme delivers not only institutional and systems strengthening but also knowledge sharing within countries and across regions.
“Readiness support is not an end in itself; it is a milestone that enables our accredited partners to access broader climate finance to support innovation and deliver climate action in developing countries. We will work closely with the Development Bank of Nigeria to make this Readiness support meaningful and to see the bank strengthening its profile as a valuable programming partner in delivering climate solutions for Nigeria,” she added.
Dr Tony Okpanachi, Managing Director of DBN, said: “Climate change is already affecting Nigeria’s small businesses through disrupted supply chains, energy constraints and changing weather patterns, but it also creates new markets and opportunities for low-carbon growth. This Readiness support will help DBN build the systems, skills and partnerships needed to seize those opportunities: better pipeline development, stronger results measurement, gender-responsive approaches and improved risk management.”
The Development Bank of Nigeria was accredited as a GCF partner in 2024 and is one of 158 implementing partners that meet GCF fiduciary standards, environmental and social safeguards, and gender requirements. These entities range from public, private, and non-governmental bodies to international, regional, national, and sub-national bodies. This latest milestone will build DBN’s capacity to access and use climate finance and to develop a transformative pipeline of bankable projects, including private sector solutions, in line with Nigeria’s climate adaptation and mitigation goals.
Landry Ahouansou, GCF’s Regional Manager for West Africa, said: “One of our clear priorities is to work with DBN and with Nigeria in general, supporting the country to move from being relatively underserved in climate finance to being fully engaged and strategically positioned within the GCF portfolio. We congratulate DBN for reaching this important stage, committing to address institutional and technical barriers, strengthen internal systems and improve pipeline development capabilities.”
Over the next two and a half years, GCF Readiness support will enable DBN to:
- Conduct an institutional diagnostic and revise key governance policies, including Environmental and Social Risk Management Framework, Gender Policy, Anti-Money Laundering and related policies;
- Develop and adopt a Climate Strategy and Resource Mobilisation Framework;
- Integrate climate risk into appraisal processes;
- Establish a dedicated Climate Finance Unit;
- Receive targeted training on GCF programming cycles, concept note and funding proposal development, and safeguards;
- Develop and submit two concept notes to GCF; and
- Design and pilot a greenhouse gas accounting tool, supported by enhanced digital systems for project tracking and reporting.
Source: GreenClimate.fund