Africa has an untapped carbon market, yet captures less than 1% of the global revenue.
But with reforms and African-led governance, the market could generate up to $100 billion annually and create five million green jobs by 2030.
This emerged at a side event held by representatives from African countries at COP30 in Belem, Brazil, on Thursday, themed “At the Forefront of Climate Action: Sustainable Financing for Inclusive and Resilient Green Growth.”
It was held by ministers, development partners, the African Union Commission (AUC), the United Nations Economic Commission for Africa (ECA), the African Development Bank Group (AfDB), Afreximbank, civil society and youth representatives.
Moses Vilakati, AUC Commissioner for Agriculture, Rural Development, Blue Economy and Sustainable Environment, said Africa is home to 20% of the world’s carbon sinks, responsible for less than 4% of global greenhouse gas emissions, yet receiving under 10% of adaptation finance and only 3% of total climate funding.
Vilakati also said Africa is not a passive recipient of the global transition but active architects of fair, inclusive, and African led climate solutions that shall shape a fair and green global future.
Discussions focused on mobilising sustainable, equitable, and innovative finance to accelerate Africa’s green industrialization.
Dr Kevin Kariuki, Vice President for Power, Energy, Climate and Green Growth of the African Development Bank Group, said “Africa already stands at the forefront of global climate action, shaping solutions that are both locally grounded and globally relevant.”
Africa is among the world’s leading producers of key minerals such as cobalt, manganese, and other critical raw materials, yet it captures only a small share of their final value. By investing in local beneficiation, battery manufacturing, and regional value chains, the continent aims to shift from exporting raw materials to becoming a global hub for innovation and green industrial production.