Financial sector stakeholders have called for climate-finance models that better address the needs of women, smallholder farmers and micro, small and medium enterprises (MSMEs), rather than relying solely on conventional lending approaches. They made the call, on Thursday September 3, at the Africa Inclusive Climate Finance Conference organised by LAPO Microfinance Bank in partnership with the World Savings and Retail Banking Institute in Lagos.
LAPO MfB ESG Board Chairperson, Angela Omeiza, said financial inclusion should not only help people build businesses and livelihoods but also protect those investments from climate shocks. She called for gender-smart finance, climate-resilient agriculture, insurance and risk-sharing mechanisms that reflect the realities of vulnerable communities.
WSBI Chief Executive Officer, Peter Simon, said more than 80 per cent of Nigerian farmers were smallholders responsible for about 90 per cent of the country’s food production, while many remained financially vulnerable to climate change. He said climate-adaptation financing provided through partnerships with LAPO MfB had reached about 20,000 farmers and 5,000 MSMEs, supporting measures such as resilient seeds, irrigation, water management and renewable energy.
Other stakeholders urged financial institutions to develop locally relevant financing models, improve access to data and strengthen partnerships and risk-sharing mechanisms. They said climate finance should move beyond simply providing access to financial services to promoting economic inclusion, enabling underserved communities to adopt practical solutions that protect livelihoods and create sustainable economic opportunities.
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