Egypt has established its first regulated voluntary carbon market for registering, issuing, and trading carbon reduction certificates, according to Rania Al-Mashat, Minister of Planning and Economic Development. This marks a significant step toward economic and environmental sustainability.
Speaking at a conference marking the completion of regulatory frameworks for carbon reduction projects at the Financial Regulatory Authority (FRA) headquarters in the Smart Village, Al-Mashat stated that the launch demonstrates Egypt’s commitment to creative climate change mitigation strategies.
“The establishment of this market is the result of collaboration between all relevant parties, including development partners,” Al-Mashat said. She highlighted the role of the Development Policy Financing Program, implemented by the Ministry with the World Bank, which has supported the launch through structural reforms and technical assistance for the FRA to issue three key decisions regarding local carbon markets, according to local media.
The minister emphasized the continuous execution of the Development Policy Financing Program, which works with the World Bank and other partners to advance structural changes that encourage a green transition.
Al-Mashat stated that the new carbon market will strengthen Egypt’s regional leadership in the green economy.
Carbon markets, she added, are powerful instruments that motivate corporations to decrease harmful emissions by offering “carbon credits,” which can be exchanged and sold to investors and companies attempting to reduce their emissions. This method not only lowers emissions but also offers funding for green transitions.
