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How Nigeria Can Best Contribute to Climate Finance

Over time, man has altered nature’s ability to maintain earth’s climate through industrialisation, and over exploration of natural resources. As this continues, the need has arisen for mitigation in order to restore the earth to its original state of clemency. However, this will not be possible without a cost or price, which is described or called climate finance. Climate finance refers to the funding of activities and projects which aim to achieve progress against climate objectives such as mitigation and adaptation. This finance can come from both private and public sources and can flow either domestically or internationally.

Last year at the 16th Conference of the Parties (COP) to the UNFCCC, developed countries committed to mobilise USD100 billion per year by 2020 for climate finance for developing countries in the context of meaningful mitigation action and transparency on implementation. This commitment was reiterated in Decision 1/CP.21 (hereafter referred to as the Paris Decision), which indicates that funding will continue at this level until 2025, by which time a new target figure will be set (OECD: Paper No. 2016(3). According to current estimates, the negative effects of climate change are already reducing Africa’s GDP by about 1.4 per cent, and the costs arising from adaptation to climate change are set to reach an annual three per cent of GDP by 2030(ACCF 2017).

Nigeria is faced with the onerous task of stable economic development in pace with its growing population and with huge infrastructure gaps and inadequate finance. It is highly recognised that climate change presents one of the greatest challenges of the world and Nigeria’s huge infrastructure deficit in power, housing, roads, healthcare, port services, among others, have contributed to a large extent in retarding the growth and development of her economy.

Lily

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