DEWA and MyCarbon will supply carbon credits; 17 UAE firms will sign up; trading will be available from December 4-8.
DFM’s Climate Action Initiative
Dubai Financial Market (DFM) is poised to lead the charge in climate action by establishing itself as a regulated platform for various environmental initiatives.
Their upcoming pilot program aims to delve into project capital raising, carbon credit trading, and secure asset storage, marking a significant step toward environmental sustainability.
Debut at COP28
The platform’s unveiling is set to coincide with COP28, underscoring DFM’s commitment to supporting the UAE Government’s ambitious target of achieving net-zero emissions by 2050. This move aligns with global efforts to combat climate change and signifies the region’s dedication to environmental responsibility.
Pilot Programme Details
Scheduled to commence from December 4 to December 8, 2023, the pilot program targets institutional investors. The trading of carbon credits will be the focal point, with the offsetting period concluding on January 10, 2024.
This initiative aims to provide a controlled environment for testing and exploring the potential of carbon credit trading within a regulated financial market.
Supporting Green Finance
DFM’s foray into carbon credit trading signifies a progressive shift in the financial sector towards green finance. By fostering a platform for trading carbon credits, DFM aims to facilitate environmentally conscious investment avenues and contribute to global climate objectives.
Conclusion
DFM’s launch of a pilot program for carbon credit trading symbolizes a proactive stance towards climate change mitigation. This initiative not only supports the UAE’s commitment to net-zero emissions but also positions DFM as a pioneer in integrating environmental sustainability into the financial market.
