Liberia Sets National Framework for Carbon Markets

By Mintesinot Nigussie  |  September 7, 2026

Liberia has adopted a national carbon policy to guide its participation in carbon markets and climate finance, seeking to ensure that revenue and other benefits from its forests reach the country and communities that depend on them.

The policy establishes a national framework for carbon-market activities, including the roles and responsibilities of government institutions involved in carbon trading and climate finance. It also sets out principles of transparency, national interest and stakeholder participation.

The policy was developed through a national consultation involving forest-dependent communities, civil society organisations, government institutions, the Environmental Protection Agency and members of the legislature.

President Joseph Boakai welcomed the policy, saying Liberia's forests, which absorb carbon and play a role in addressing climate change, should generate tangible economic benefits for the country and the communities that help protect them.

The framework could give Liberia a more structured basis for attracting climate finance, participating in carbon-market transactions and supporting conservation and climate-related development projects.

For Liberia, the policy comes as carbon markets become an increasingly important source of climate finance for countries with large natural carbon sinks. Forest-rich countries can generate revenue by reducing deforestation or preserving forests, although the value of such projects depends on carbon-market rules, the credibility of emissions reductions and the distribution of proceeds.

Boakai said forest communities should benefit from the country's participation in the carbon economy, noting that they have historically depended on and helped protect Liberia's forests.

The President also called for greater reliance on Liberian expertise in managing complex policy issues. He cautioned against allowing further consultations to delay implementation, arguing that the framework could be amended as experience accumulates.

"There are amendments we will make, but we have to have something done for now," Boakai said.

He credited the Environmental Protection Agency and the technical team involved in preparing the policy, describing the work as evidence of Liberia's growing capacity to address issues with international economic and environmental implications.

The policy is expected to provide the basis for Liberia's future participation in carbon markets and efforts to mobilise climate finance, while establishing a national framework for how those activities are managed and how their benefits are distributed.

Source: FSX Business News