Browsing: Carbon Market in Africa

Carbon Credit Market
  • Nigeria is pioneering the journey towards getting a strong foothold in the carbon credit market.
  • The nation is aligning as part of continental effort under the African Carbon Markets Initiative (ACMI) that aims to mobilize up to $100 billion carbon credits per year by 2050.
  • During the COP29 talks, Canada and Nigeria announced an alliance to create an innovative carbon credit model to support Abuja’s economic and ecological development. 

The African continent is facing increasing climate change impacts that are increasingly chocking the life of its struggling economies. With policymakers running out pf options to counter the economic slide, the emergence of the African Carbon Markets Initiative (ACMI) offers innovative options that could help unlock the continent’s carbon credit potential. A number of countries such as Nigeria are emeging as pioneers in tapping the gains that carbon markets present.

At this year’s United Nation Climate Change Conference of Parties …

Carbon credits market to steer economic growth in Africa in 2023

The carbon credits market is gaining momentum as one of the lifeline sectors in a depressed global economy. African nations have been exploring this novel market as one way to offset their bulging debts and raise loans by selling carbon credits, thereby unlocking billions for climate finance and economic development in the continent.

Climate change has had disastrous consequences especially for African countries but seemingly, nature now has the potential of providing developing nations with an economic boost.

Most African economies have been hanging on by a thread, in the wake of the myriad existential challenges that have bombarded the continent in the recent past. From climate induced natural disasters, food insecurity, political instability, civil unrest to heavy indebtedness as the aftermath of the Covid-19 pandemic and the Russian-Ukraine war.

As the deleterious effects continue to reverberate across the continent, inflation rates have gone through the roof in many nations …

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Climate change is hurting the world including Africa. The Intergovernmental Panel on Climate Change noted that Africa is the most vulnerable continent to climate change impacts, and it is weak on various angles including having less strong adaptation capacities, and high dependence on natural ecosystems for the livelihood of its populations.

As the world strives to set the greenhouse emissions to at least 1.5 centigrade –the United Nations Economic Commission for Africa (UNECA) argues that in all African regions, negative climate change impacts would progressively compound and lead to decreasing GDP per capita.

The warming scenarios entail losses by 2030 (as compared to a baseline GDP per capita scenario) that range from -0.6 per cent in Northern Africa in the low-warming scenario, to -3.6 per cent in Eastern African in the high-warming scenario.

However, in the current world where research and development as well as technological advancement simplifies life and…