By Ntokozo Nkambule
The government is putting its money where its mouth is, in as far as encouraging companies and the private sector to go green.
The Minister of Finance Neal Rijkenberg has disclosed that the government is developing an incentive framework for companies that will be going green.
“Government is committed to working with various stakeholders to develop an ideal incentive framework for companies that seek to go green. Government through the Ministry of Commerce, Industry and Trade is looking to provide incentives for companies that invest in projects that have a carbon positive impact on the environment,” the Minister noted.
Rijkenberg divulged this during the launch of the inaugural Eswatini Green Indaba, held at the Happy Valley Hotel.
The Indaba is organized by SNG Grant Thornton in collaboration with the Ministry of Tourism & Environmental Affairs, the United Nations Development Programme (UNPD Eswatini), Eswatini Stock Exchange, Financial Services Regulatory Authority (FSRA), Central Bank of Eswatini, among a number of other government and private sector entities.
The objective of the Indaba is to create awareness and understanding of the green opportunities available to mobilize private capital to finance climate action, promote a just transition, and meet Sustainable Development Goals.
The Minister of Finance further noted that the government is committing to further diversify the capital markets funding for green and sustainable projects.
“Government through the Ministry of Economic Planning & Development as custodians for all government capital projects cannot continue with business as usual, without taking into account climate change. The quantum of the need is quite overwhelming. It is against this backdrop that government is considering funding capital projects with the private sector playing a major role.”
Lastly, the Minister observed that the government in partnership with the Central Bank of Eswatini is highly determined to issue green and sustainable sovereign bonds.
“In an effort to invest in the country’s infrastructure, the government is looking at possible funding through the utilization of green and sustainable sovereign bonds. Government together with the Central Bank of Eswatini is exploring this avenue whereby the bank will advise accordingly,” he concluded.
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