Strategic Alliance Bolsters Voluntary Carbon Markets in Saudi Arabia
Riyadh, Saudi Arabia – A significant strategic partnership has been forged between the Global Carbon Council (GCC) and the Regional Voluntary Carbon Market Company (VCM), established by the Public Investment Fund (PIF) and Saudi Tadawul Group. Announced on January 27, 2026, this collaboration aims to scale voluntary carbon markets by integrating trusted standards with institutional-grade exchange infrastructure. As a direct result of this agreement, carbon credits certified by the GCC are now actively trading on Saudi Arabia's VCM exchange platform.
The partnership has already demonstrated strong market traction, with more than 600,000 tons of GCC-certified carbon credits traded within the first month of their integration onto the platform. This early activity highlights a growing regional demand for high-integrity, independently verified carbon credits and underscores the VCM's role in facilitating price discovery, liquidity, and transparent market access.
Key Players in the Partnership
The Regional Voluntary Carbon Market Company (VCM) was established in October 2022, with the Public Investment Fund (PIF) holding an 80% stake and the Saudi Tadawul Group holding the remaining 20%. The VCM launched its exchange platform in November 2024, designed to support a transparent, scalable, and liquid market through institutional-grade infrastructure. Fadi Saadeh, Acting CEO and Head of Technology of VCM, stated, 'This strategic partnership with the Global Carbon Council reflects our efforts to scale voluntary carbon markets through credible standards and real market activity.'
The Global Carbon Council (GCC), founded in 2016 by the Gulf Organization for Research and Development (GORD), is an international carbon crediting program based in the Global South. It is accredited by the International Civil Aviation Organization's (ICAO) CORSIA and the International Carbon Reduction and Offset Alliance (ICROA), positioning it as a critical gateway for channeling high-integrity climate finance into emerging markets. Dr. Yousef Alhorr, Founding Chairman of GCC, commented, 'Our partnership with the Regional Voluntary Carbon Market Company enables GCC-certified projects to access a transparent institutional marketplace, opening new avenues and sources of demand.'
Advancing Climate Ambitions
The collaboration is set to significantly contribute to the objective of the Paris Agreement to limit global warming to 1.5°C. GCC-certified credits can be utilized by governments and companies to meet and enhance their climate ambitions, including supporting Nationally Determined Contributions (NDCs) and enabling the trade of Internationally Transferred Mitigation Outcomes (ITMOs). This initiative underscores Saudi Arabia's commitment to developing a robust voluntary carbon market and its broader efforts towards achieving net-zero emissions by 2060.
5 Comments
Katchuka
Developing robust trading platforms for carbon credits can certainly help channel funds, but the focus must ultimately shift from offsetting to deep, structural emissions cuts at the source.
Loubianka
It's encouraging to see a major economy investing in carbon markets and the Global South's projects. However, the true measure will be a significant reduction in their own fossil fuel production.
BuggaBoom
Fantastic news! Real market infrastructure is key for effective carbon reduction.
Eugene Alta
Offsets don't stop emissions. This just allows polluters to continue business as usual.
Leonardo
Great to see the Global South leading on carbon crediting. More power to them!