BANKING: ACCESS BANK PLC SIGNS LANDMARK LOAN AGREEMENT WITH JAPAN INTERNATIONAL COOPERATION AGENCY TO ADVANCE CLIMATE CHANGE MEASURES IN NIGERIA

L-R: Ireti Ogbu, Managing Director, Citibank Nigeria; Roosevelt Ogbonna, Managing Director/Chief Executive Officer, Access Bank Plc, and Jin Wakabayashi, Senior Deputy Director General, Private Sector Partnership and Finance Department, Japan International Cooperation Agency (JICA), during the signing of a $75million credit facility between Access Bank and JICA in Lagos, yesterday.

Access Bank PLC (Access Bank), Nigeria’s largest commercial bank, has taken a significant stride towards environmental sustainability with the signing of a historic loan agreement with the Japan International Cooperation Agency (JICA). Valued at US$ 75 million, the agreement is JICA’s first private-sector investment finance in the banking sector in the Sub-Saharan African region. Citi acted as the sole coordinator and agent.

The ceremony – which was held on Monday, February 5, 2024 – underscores a commitment of Access Bank, JICA and Citi to support climate change measures in Nigeria. The use of proceeds of the loan are expected to be used to finance a wide range of sub-projects such as renewable-energy projects, energy-saving projects and agriculture-related projects that contribute to climate change measures.

Roosevelt Ogbonna, Managing Director/CEO of Access Bank PLC, commented on the significance of this partnership, stating:

“At Access Bank, we recognise the urgent need for sustainable solutions to combat climate change. This landmark agreement with JICA reaffirms our commitment to leveraging financial resources for impactful initiatives that promote environmental resilience and contribute to Nigeria’s climate action agenda.

By investing in renewable energy, energy-saving, and agriculture-related projects, we aim to create a positive ripple effect, not only mitigating the effects of climate change but also fostering economic growth and improving livelihoods within our communities. Indeed, this partnership represents a shared commitment to a greener, more sustainable future for Nigeria and beyond.”

The agreement has set ambitious targets to reduce greenhouse gas emissions, requiring substantial investments in climate change mitigation and adaptation measures.

Furthermore, the implementation of the deal aligns with Nigeria’s efforts to mobilise private sector funds for climate action, in line with Sustainable Development Goals 2 (Zero hunger), 7 (Affordable and clean energy), 13 (Climate action), and 17 (Partnerships for the goals).

Moreover, it resonates with Japanese Prime Minister Kishida Fumio’s vision for a more climate-resilient and sustainable society, as announced at the Partnership for Global Infrastructure and Investment, a side event of the G7 Summit in Hiroshima in May 2023.

L-R: Will Stevens, United States Consul General to Nigeria; Ireti Ogbu, Managing Director, Citibank Nigeria; Roosevelt Ogbonna, Managing Director/Chief Executive Officer, Access Bank Plc; Kazuyoshi Matsunaga, Ambassador of Japan to Nigeria, and Jin Wakabayashi, Senior Deputy Director General, Private Sector Partnership and Finance Department, Japan International Cooperation Agency (JICA), at the signing of a $75million credit facility between Access Bank and JICA in Lagos, yesterday.

Through strategic collaborations and innovative financing mechanisms, Access Bank and JICA together with Citi are pioneering efforts to address climate change challenges, setting a precedent for sustainable development in the region.