Riyadh: The Global Carbon Council (GCC) and the Regional Voluntary Carbon Market Company (VCM), established by the Public Investment Fund and Saudi Tadawul Group, have signed a strategic partnership to scale voluntary carbon markets through trusted standards and institutional-grade trading infrastructure.
According to Qatar News Agency, the two entities announced that, under this partnership, carbon credits certified by GCC are now being traded on the Regional Voluntary Carbon Market Company's platform in Saudi Arabia. The partnership has shown strong market momentum, with over 600,000 tons of GCC-certified carbon credits traded during the first month of their inclusion on the platform.
The statement highlighted the growing regional demand for high-integrity, independently verified carbon credits, emphasizing VCM's role in enabling price discovery, enhancing liquidity, and providing transparent market access. GCC has developed an international carbon credit certification program that issues tradable credits to registered projects based on verified greenhouse gas emission reductions and removals.
The GCC program is the first international carbon market initiative in the Global South to receive accreditation from the International Civil Aviation Organization (ICAO) under the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), along with accreditation from the International Carbon Reduction and Offset Alliance (ICROA). This positions the GCC program as a key gateway for channeling climate finance into emerging markets. Governments and companies can use GCC-certified credits to meet and enhance their climate ambitions, including supporting Nationally Determined Contributions (NDCs) and enabling the trade of Internationally Transferred Mitigation Outcomes (ITMOs).
The availability of GCC credits on the Regional Voluntary Carbon Market Company's platform also expands access to globally recognized credits for buyers in Saudi Arabia and the wider region. Dr. Yousef Alhorr, Founding Chairman of GCC, stated that the partnership provides GCC-certified projects access to a transparent institutional marketplace, opening new avenues and sources of demand. The early trading volumes demonstrate the potential of exchange-based platforms to accelerate climate finance and reflect the strong standing of the Global Carbon Council.
Fadi Saadeh, Acting Chief Executive Officer and Head of Technology of VCM, noted that the strategic partnership with GCC reflects efforts to scale voluntary carbon markets through credible standards and real market activity. The trading volumes in the first month since launch indicate growing confidence in the Saudi carbon market and the role of VCM's platform in connecting high-quality supply with regional and global demand.
VCM launched Saudi Arabia's first voluntary carbon credit trading platform in November 2024, designed to support a transparent, scalable, and increasingly liquid market by providing institutional-grade infrastructure, effective price and data discovery mechanisms, open connectivity with global registries, and multiple trading mechanisms, including auctions and request-for-quote services.