Ethiopia Says Carbon Credit System to Be Ready Within Four Months

Mintesinot Nigussie

Ethiopia expects to complete its national carbon credit management system within the next four months. The Ministry of Planning and Development is developing a centralised registry to oversee carbon credit transactions and monitoring activities.

Michael Hordofa, head of the ministry’s Carbon Market Development Desk, said the platform will modernise Ethiopia’s carbon trading framework and support transactions with international partners. The system is being built in partnership with the Ethiopian Artificial Intelligence Institute.

Ethiopia was the first African country to introduce a dedicated carbon trading strategy. The energy sector remains one of the key areas for generating carbon credits, with several foreign organisations expressing interest in projects.

The ministry has shortlisted five companies after assessing compliance with the Paris Agreement and national strategy. However, no company has yet received full approval as evaluations continue.

The new registry is expected to improve transparency, data management, and coordination in Ethiopia’s carbon market activities as the country positions itself to benefit from global carbon trading opportunities.

This development is part of broader efforts to strengthen environmental finance and sustainable development initiatives in Ethiopia.