Minister of Solid Minerals Development, Dr. Dele Alake, has called for stronger international collaboration to close development financing gaps in Nigeria and other emerging economies, stressing that innovative financial instruments are critical to unlocking sustainable growth.
Speaking virtually at the Green Guarantee Group (GGG) High-Level Stakeholders’ Roundtable on Mainstreaming Financial Guarantees in Nigeria, in Abuja, Dr. Alake said partnerships among governments, development institutions, private investors and international organizations are essential to mobilizing investments for climate-resilient development.
The Minister noted that sectors such as renewable energy, mining, agriculture and infrastructure require substantial long-term financing, which remains difficult to attract because of perceived investment risks and market uncertainties.
According to him, guarantee instruments can help de-risk investments, mobilize private capital and accelerate economic transformation while supporting climate adaptation and green industrialization.
Dr. Alake said the Federal Government is implementing policies aimed at promoting climate action, expanding participation in global value chains and attracting investments that support sustainable economic growth.
He emphasized that Micro, Small and Medium Enterprises (MSMEs), which are key drivers of innovation, employment and economic expansion, require improved access to financing to unlock their full potential.
The Minister described the roundtable as an important platform for policymakers, financial institutions, development partners and private sector players to identify practical solutions to Nigeria’s financing challenges.
Chair of the Green Guarantee Group, Lars-Hendrik Roeller, said guarantees have become globally recognized tools for reducing investment risks, boosting investor confidence and unlocking private capital for climate and development projects.
Roeller disclosed that the GGG is working to establish a stronger global guarantee architecture capable of supporting sustainable investments, particularly in developing countries, while positioning Nigeria to lead green financing initiatives in Africa.
He noted that Nigeria’s role as Co-Chair of the GGG reflects its strategic importance as Africa’s largest economy and a key driver of green industrialization and sustainable development.
Permanent Secretary of the Ministry of Solid Minerals Development and Co-Chair of the GGG, Mr. Faruk Yabo, said the roundtable seeks to deepen understanding of guarantee mechanisms, assess Nigeria’s existing risk-sharing institutions and explore practical investment opportunities across priority sectors.
Yabo highlighted institutions such as InfraCredit, NIRSAL, the Nigeria Credit Guarantee Company, the Nigeria Sovereign Investment Authority and the Infrastructure Bank as critical components of Nigeria’s evolving guarantee ecosystem.
He explained that guarantees serve as a bridge between global investors seeking secure returns and viable development projects that often struggle to attract funding due to perceived risks.
German Ambassador to Nigeria and ECOWAS, Annett Günther, stressed that African-European partnerships are vital for addressing climate and development challenges, adding that guarantees can mobilize significantly more private financing than conventional development instruments.
Also speaking, Minister of Budget and Economic Planning, Senator Abubakar Bagudu, and UNDP Resident Representative in Nigeria, Elsie Attafuah, described guarantees as powerful tools for accelerating Nigeria’s energy transition, industrialization, infrastructure development and achievement of the Sustainable Development Goals.
The President of the Africa Finance Corporation (AFC), Samaila Zubairu, represented by Dr. Musa Salwara, urged stakeholders to move beyond discussions to implementation, emphasizing that Africa’s challenge is not a lack of opportunities but the need for bankable projects, stronger institutions and strategic partnerships to attract investment.
