Nigeria’s Transition to Green Economy

Nigeria, a resource-rich nation, is at a pivotal moment in its economic and environmental development. The traditional linear economic model of 'make, consume, and discard' exerts immense pressure on natural capital, prompting a global shift towards Circular Economy (CE) and Natural Capital Accounting (NCA) as sustainable pathways to Green Growth (GG).

This scoping study, commissioned by the African Development Bank (AfDB) and supported by the Government of the Netherlands, explores Nigeria’s transition to a circular economy, focusing on key sectors such as agriculture, energy, waste management, and industrial processes.The study identifies untapped investment opportunities, sectoral challenges, and policy gaps that hinder CE implementation. It emphasizes the need for sustainable waste management, energy efficiency, and policy reforms to drive green initiatives.

Additionally, it highlights the importance of stakeholder collaboration, public-private partnerships, and robust data collection mechanisms to ensure effective CE adoption.With Nigeria’s commitment to the Paris Agreement and its revised Nationally Determined Contributions (NDCs), this report proposes a roadmap for integrating CE principles into national policies. It recommends establishing a Monitoring, Reporting, and Verification (MRV) framework, fostering innovation in circular business models, and leveraging Nigeria’s natural capital for economic resilience.

By transitioning to a circular economy, Nigeria can enhance resource efficiency, create jobs, and achieve long-term sustainable development.