Operators in the microfinance sector have said it is important to ensure sustainable finance in the sector as the world increasingly recognises the need to transition to a more sustainable economy.

They spoke during the 8th annual symposium of the Nigerian Microfinance Platform with the theme, Sustainable finance: the next big thing for microfinance institutions in Nigeria’.

The programme, which took place in Lagos and virtually, was attended by participants in the country and abroad.

Speaking at the event, the Managing Director, KWFT Microfinance Bank, Nairobi, kenya, Mwangi Githaiga, said the theme was timely.

He said, “This symposium is an important opportunity for us to come together and share our knowledge and expertise on sustainable finance.

“We are facing a number of challenges in this area, and I believe that by working together as stakeholders in the inclusive finance sector of the economy, we can make progress towards finding solutions.

“It is our expectations that a fallout from this year’s symposium should be the creation of a sustainable finance working group with aim of bridging the knowledge gap between the microfinance sector actors and SFPs both locally and internationally.”

This would also help contribute to Nigeria’s sustainable finance ‘taxonomies’ development as well as advice the platform on the implementation and usability of adopted sustainability principles, he said.

He said, “The WG can also help drive investment and capital into sustainable activities within the sector.

“There is a huge untapped resource and funds within EU for the purpose of sustainability and achieving the SDGs/ Paris agreement.”

The Head of Research, FS-UNEP Centre for Climate & Sustainable Energy Finance, Prof. Ulf Moslener, in is presentation on ‘Sustainable finance – Trends from European perspective’, said change required a lot at the level of smaller projects in roles of microfinance.

He urged corporates and financial institutions to take plausible long-term climate scenario (including narrative), thinkink about their business model and activities within the hypothetical world, and identify opportunities and risks.