Kenya launches a carbon registry to boost climate finance and credibility

Kenya Launches National Carbon Registry to Boost Climate Finance and Market Integrity

Kenya has unveiled a national carbon registry aimed at establishing the East African nation as a global center for high-quality carbon credits, as scrutiny of international climate offset markets continues to intensify.

The registry, launched in Nairobi by the Ministry of Environment and the National Environment Management Authority, will serve as the central platform for tracking carbon credit projects, verifying emissions reductions, and preventing double counting—a persistent issue that has undermined confidence in global carbon markets.

“This launch sends a clear signal to investors and the international community,” said Deborah Mlongo, Cabinet Secretary for Environment, Climate Change and Forestry. “Kenya is ready to participate in global carbon markets with transparency, integrity and strong governance.”

The initiative comes as developing countries seek to capture a greater share of climate financing through carbon trading under the Paris Climate Agreement. Africa, despite hosting vast carbon sinks including forests and grasslands, has historically received only a minimal portion of global carbon market investments.

Kenya, with its extensive forests, grasslands, and renewable energy resources, is strategically positioned to attract foreign investment while ensuring benefits flow to local communities. The country’s move represents a significant step in Africa’s efforts to build climate finance institutions that protect national and local interests.

Carbon markets allow countries and companies to offset their greenhouse gas emissions by purchasing credits generated through projects that reduce or remove carbon dioxide, such as forest conservation or renewable energy development. However, these markets have faced criticism for weak oversight, exaggerated claims, and poor benefit-sharing with local communities.

“We are building a system grounded in fairness, transparency, and inclusivity,” said Environment Principal Secretary Festus Ng’eno. “One that ensures communities, particularly those who conserve and protect our forests, are recognized and equitably benefit from carbon market participation.”

The new registry will provide a transparent national accounting system aligned with international standards. It will record project approvals, track emissions reductions, and authorize carbon credit transfers, helping Kenya comply with international carbon trading rules that govern how emissions reductions can be transferred between countries without being counted twice.

Market analysts note that centralized national registries are essential for addressing the integrity challenges that have plagued carbon markets globally. By implementing robust verification and tracking mechanisms, Kenya aims to build confidence in its carbon credits at a time when businesses and governments face increasing pressure to ensure their climate investments deliver real environmental benefits.

The registry will incorporate a forestry carbon registry launched last year to support Kenya’s national tree-growing program, one of Africa’s most ambitious reforestation efforts. This integration highlights Kenya’s comprehensive approach to natural climate solutions.

Developer and investor interest appears strong, with officials reporting that more than 80 carbon project concept notes have already been submitted. Ali Mohamed, Kenya’s special climate envoy, described the registry as “the backbone of an efficient market” that will strengthen trust in Kenya as “a serious and reliable carbon market jurisdiction.”

Germany has provided financial and technical support for the development of the registry through its development agency, GIZ, and has announced an additional €2.4 million ($2.6 million) to strengthen Kenya’s carbon market readiness. This international support underscores the global significance of Kenya’s initiative.

The registry is expected to become fully operational later this year, potentially positioning Kenya as a model for other African nations seeking to develop their own carbon market frameworks. If successful, Kenya’s approach could help address the persistent imbalance in global climate finance flows while creating economic opportunities through conservation and renewable energy development.

For Kenya, the stakes extend beyond environmental benefits. A well-functioning carbon market could generate significant investment while supporting conservation, job creation, and sustainable development in a country where climate change impacts—including drought and flooding—have intensified in recent years.