Nigeria to Unlock $3bn Annually from Carbon Market, Says Tinubu
Nigeria is positioning itself to harness climate finance and become a key player in global carbon markets, President Bola Ahmed Tinubu announced on Tuesday at the 2026 Abu Dhabi Sustainability Week, signalling a major economic and environmental agenda for the coming decade.
Addressing world leaders at the summit themed “The Nexus of Next: All Systems Go,” Tinubu said Nigeria’s newly approved National Carbon Market Framework is expected to unlock between $2.5 billion and $3 billion in annual revenue through carbon trading and climate finance over the next ten years.
“Nigeria feels at the heart of development opportunity,” Tinubu told the audience, highlighting regulatory reforms and institutional frameworks the government has put in place to strengthen climate governance and attract global investment.
The framework, along with the operationalisation of the National Climate Change Fund and the reinstatement of the National Council on Climate Change (NCCC) in the federal budget, aims to establish a national system for monitoring, issuing and trading carbon credits tied to verified emissions reductions.
“Nigeria stands ready to take its rightful place as a global leader in climate action, ensuring that our voice and our reality are heard and respected in international negotiations,” Tinubu said, adding that climate action is “not only an environmental necessity but also a major economic opportunity to drive investment, innovation, and job creation.”
Experts have welcomed the move, noting its potential to catalyse decarbonisation across key sectors. Hon. Tamarankro Juliano Obriki, Managing Director of OXYTANE Africa Investment Limited, said the carbon market framework will “certainly attract and encourage oil industry players and manufacturers to voluntarily apply methodologies for decarbonization,” and pledged cooperation with the government to help realise the $3 billion annual target.
Nigeria’s participation in carbon markets comes amid broader efforts to drive energy transition and climate resilience.
The federal government has also announced initiatives such as a Climate Investment Platform and clean-energy financing mechanisms to support low-emission infrastructure.
The country’s move follows growing international interest in carbon finance and net-zero pathways, with emissions trading and carbon credits becoming key tools for lowering global greenhouse gas outputs.
If successfully implemented, Nigeria’s carbon market could unlock a significant new revenue stream while aligning with its climate goals, though experts say strong verification systems, transparent governance and sustained international partnerships will be crucial to long-term success.
