The recently launched Nigeria’s energy transition bold and ambitious plan indicates that Nigeria needs a minimum investment of $10 billion annually until 2060 to achieve SDG7 goal by 2030 and achieve its net-zero target by 2060. With the multiplicity of other macroeconomic issues Nigeria is grappling with such as high debt burden, high borrowing costs from external sources, COVID-19 pandemic, and adverse effects of other external shocks, there is a need to understand the climate finance landscape in Nigeria. This paper provides an expository outlook into the climate finance options that Nigeria can take advantage of to mobilise resources domestically for climate action, without overbearing dependence on international loans and grants. Some of the options for domestic climate finance mobilization are green bonds such as sukuk green bonds and diaspora green bonds, emission trading, carbon taxes, budgetary allocations, tax exemptions and import waivers, among others. Reviewing the successes of other countries in sourcing climate finance through these instruments, Nigeria can leverage on the learnings from these countries to set up a more resilient framework for domestic climate finance mobilization to meet the climate change goals.

This study investigates the effect of public debt on expected years of schooling in Nigeria and Ghana using annual time series data from 1990 to 2019 sourced from World Bank, and United Nations Development Programme. Trend analysis was done for external debt stock and expected years of schooling variables. Other variables in the study are external debt servicing stock and real effective exchange rate. Pre-econometric test for unit root was undertaken using Phillips-Perron and Augmented Dickey-Fuller unit root test methods. Econometric test for long run cointegration was undertaken using long run form and bounds test method within the ARDL framework. The long run cointegration test showed absence of long run cointegration among the variables for Nigeria, but there was long run cointegration among the variables for Ghana. The test for causality using Granger causality showed unidirectional causality from expected years of schooling to external debt stock for Ghana. In both countries, borrowing for infrastructural projects is prioritized over borrowing for investment in social sectors. Even where there is an investment in the social sector using external debt, it is not enough to create a significant effect. As recommendation from the findings, external debt should be used to improve expected years of schooling as much as it is used for infrastructural investment. This is because of the importance of developing the manpower that will manage the infrastructure that is financed by external debt.

This study examines the impact of public debt on economic growth in Nigeria using annual time series data from 1990 to 2019 collected from Central of Nigeria statistical bulletin. The variables are Real GDP, public debt, Inflation, debt to GDP ratio, debt servicing to GDP ratio, and exchange rate. Empirical analysis was conducted using Augmented Dickey Fuller unit root test to check for stationarity. Johansen Cointegration test was used to determine long run relationship and Vector Error Correction Model to check for short run and long run impact of public debt on economic growth. Empirical results showed that the impact of public debt on economic growth was negative and significant in the long run. The impact of public debt on economic growth was negative but insignificant in the short run. In addition, the impact of ratio of debt servicing to GDP was significant and negative in the short and long run. There was no causality between public debt and economic growth. The study recommends that public authorities in Nigeria should reduce reliance on public debt and instead move towards increasing revenues through diversification of the export base of the economy and expanding the tax net. The study also recommends strengthening public institutions so that revenues collected, in the form of debt or other means can be adequately utilized on investments that are efficient.

This study investigates the effect of financial inclusion on external debt in Nigeria, South Africa, Kenya, and Egypt, using annual time series data from 1990 to 2020. The data was sourced from the World Bank. The variables used in the study are market capitalization of listed domestic companies as a percentage of GDP, external debt stock, current account balance as a percentage of GDP, broad money (M3) as a percentage of GDP, and gross fixed capital formation as a percentage of GDP. The unit root test for stationarity was done using Augmented Dickey Fuller unit root test. The result of the unit root test informed the choice of Long Run Form and Bounds test, and Johansen Cointegration techniques for investigating long run relationships. The result showed the presence of a long run relationship between financial inclusion and external debt for Nigeria, South Africa, Kenya, and Egypt. The result also showed a positive relationship between financial inclusion and external debt. This is because a strong financial system will increase access to external debt because of good credit ratings. Granger causality results showed unidirectional causality from financial inclusion to external debt for only Nigeria and South Africa. More success in economic development can be achieved by focusing on financial inclusion strategies in Africa which would translate into numerous outcomes which include increasing domestic resources and increasing access to external debt with market competitive interest rates.