The Role of Sustainable Finance in the Achievement of Sustainable Development Goals in Nigeria: A Focus on Chinese Foreign Direct Investment

Abstract

Due to globalization, the great diversity that prevails requires more innovative concepts of businesses, Foreign Direct Investments (FDI), and ventures that consider economic and environmental aspects of sustainable development that facilitate the growth of communities, towns, cities, and countries at large. As such, for a country like Nigeria to attain sustainability and significantly achieve the 17nr. Sustainable development goals (SDGs): Complete diversification of the economy is needed through adequate infrastructure, planned and executed without harming the environment. In China, African countries like Nigeria found a partner whose FDI is directed towards infrastructural projects that is adequately financed between China (Financier) and Nigeria (Host). These affirm that Nigeria needs Chinese financing for its projects to achieve its SDGs while China needs resources from Nigeria for its manufacturing. However, despite these mutualisms, sustainable funding agreements for developments, it is impacted by factors that hinder or promote such arrangements. Hence, this study examined the role of Chinese FDI in infrastructures across various sectors that enable achieving SDGs in Nigeria. Desk research concept was adopted as the sole research method by reviewing secondary sources of data from existing and publicly available data, which enable identification of projects by sectors that Chinese finances are playing a development role in Nigeria. The results show that Chinese FDI in development projects in countries like Nigeria enable Chinese companies to function properly on one hand, while Nigeria benefits from projects that drive growth and sustainable development that rhymes with its SDGs.