- Osinbajo advocated for reforming the global financial system to ease borrowing conditions for developing countries
Former Vice President of Nigeria, Prof. Yemi Osinbajo, has emphasized the need for increased debt forgiveness for African nations to ease their financial burden and enable investment in climate-friendly initiatives.
Speaking at the 23rd Chief S.L. Edu Memorial Lecture organized by the Nigerian Conservation Foundation (NCF), Osinbajo highlighted that high borrowing costs have plunged countries, including Nigeria, into significant debt.
He stressed that sustainable development on the continent is hindered by the overwhelming financial obligations needed for debt servicing, which leaves limited resources for green investments.
“Africa’s high debt burden threatens its ability to champion sustainable and climate-positive actions,” he said, noting that between 2025 and 2033, African countries would require an average of $10 billion annually for debt refinancing.
Osinbajo advocated for reforming the global financial system to ease borrowing conditions for developing countries and promote climate-positive growth.
He cited initiatives such as the Bridgetown Initiative and the Capital Adequacy Framework, which propose strengthening multilateral development banks to better support emerging economies.
“There are technical solutions such as recycling special drawing rights, blended financing, and risk mitigation strategies that can help reduce borrowing costs.
These are crucial if we are to reform the global financial system and reduce Africa’s debt burden,” he added.
Osinbajo underscored Africa’s potential to lead a climate-friendly industrial revolution by processing raw materials and leveraging renewable energy sources to reduce emissions.
“Africa has the potential to lower carbon emissions by over 110 million tons annually while generating $25 trillion in additional revenue and creating thousands of direct and indirect jobs,” he stated.
The former Vice President also urged African leaders to advocate collectively for global policy changes, calling for stronger African financial institutions to support investments in renewable energy and climate initiatives.
Justice RIB Adebiyi, Chairman of NCF’s National Executive Council, praised the lecture series for preserving the legacy of Shafi Lawal Edu, an environmental conservation pioneer, and stressed the importance of building climate-resilient communities in Nigeria and across Africa.
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