Nigeria Launches National Carbon Market Framework to Unlock $3 Billion in Annual Climate Finance
President Bola Tinubu has approved the adoption of a National Carbon Market Framework (NCMF), alongside the operationalization of the Climate Change Fund and the restoration of the National Council on Climate Change (NCCC) budget line. The announcement, made by the Senior Special Assistant to the President on Media and Communications, Stanley Nkwocha, outlines Nigeria’s strategy to leverage carbon finance opportunities and strengthen its participation in global climate initiatives. The framework is expected to generate between $2.5 billion and $3 billion annually over the next decade.
The approval comes ahead of the 30th United Nations Climate Change Conference (COP30), scheduled to take place in Belem, Brazil, from November 10–21, 2025. Vice President Kashim Shettima, representing President Tinubu at a council meeting in Abuja, emphasized that the framework positions Nigeria to fully harness opportunities for financing climate-resilient projects from the global carbon market. Tinubu’s administration sees climate action not only as an environmental duty but also as a driver for new investments, jobs, and technological innovation across energy, agriculture, and industry.
According to Mrs. Omotenioye Majekodunmi, Director-General of the NCCC, the council’s deliberations are critical for shaping Nigeria’s global climate profile and attracting climate finance. She highlighted that Nigeria is now eligible to access new rounds of funding from multilateral climate funds. The council’s recommendations included the adoption of the NCMF, the immediate operationalization of the Climate Change Fund, and the inclusion of the NCCC in the federal budget to ensure financial stability and readiness.
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, backed the council’s recommendations, assuring strong coordination with the ministry to host a quarterly Climate Finance Tracking Dashboard. The NCMF establishes the rules, institutions, and procedures for generating, validating, and trading carbon credits domestically and with international partners. This framework will be a key tool in Nigeria’s bid to become a significant player in the global carbon market while advancing its climate adaptation and mitigation goals.
President Tinubu reiterated that climate action is a priority for his administration, stating that Nigeria is ready to take its rightful place as a global leader in climate negotiations. “We have demonstrated our commitment through active participation in UNFCCC processes, progress on nationally determined contributions, and mobilization of climate finance,” he said. As COP30 approaches, Nigeria aims to showcase its readiness to implement climate-resilient initiatives and attract green investment, further cementing its role in global environmental leadership.
source: punch