FG Approves National Carbon Market Framework, Targets $3bn in Annual Climate Finance

President Bola Tinubu has approved the adoption of a National Carbon Market Framework (NCMF), a policy initiative expected to position Nigeria as a key player in the global carbon economy and unlock up to $3 billion annually in climate finance.

The announcement was made on Friday by the Senior Special Assistant to the President on Media and Communications (Office of the Vice President), Stanley Nkwocha, following a presentation by the Director-General of the National Council on Climate Change (NCCC), Mrs. Omotenioye Majekodunmi, during a meeting at the Presidential Villa, Abuja.

According to Nkwocha, the framework will guide Nigeria’s participation in international carbon markets, allowing the country to generate, validate, and trade carbon credits through certified environmental projects across sectors such as energy, agriculture, and waste management.

President Kashim Shettima, who chaired the meeting on behalf of the President, said the approval aligns with Tinubu’s commitment to attract climate-related investments and create new green j pollution pobs. “Addressing climate change is not only an environmental priority but also an opportunity to unlock investments, foster innovation, and strengthen Nigeria’s economic resilience,” he said.

The Council also approved the operationalisation of the Climate Change Fund and the restoration of the NCCC budget line, both designed to ensure sustainable financing and accountability for climate-related programmes.

Majekodunmi disclosed that with the adoption of the framework, Nigeria becomes eligible to access new rounds of international climate finance and carbon credit schemes under the Paris Agreement. She added that the Council Secretariat will provide the technical coordination needed to implement measurable results across all sectors.

Minister of Finance and Coordinating Minister of the Economy, Wale Edun, assured that his ministry would collaborate with the NCCC to establish a quarterly Climate Finance Tracking Dashboard to monitor inflows and utilisation of carbon funds.

The move comes ahead of the 30th United Nations Climate Change Conference (COP30) scheduled to hold in Belem, Brazil, from November 10 to 21, 2025, where Nigeria is expected to present its updated carbon market strategy.

Market Framework is designed to attract private-sector participation and align the country with emerging global standards for carbon trading, potentially making it a regional leader in Africa’s green finance landscape.