Carbon markets and climate financing have taken centre stage at the inaugural Global REDD+ Summit in Nairobi, as governments, climate agencies and conservation experts push for new financing models to protect forests and accelerate the fight against climate change.

The summit has brought together representatives from 59 REDD+ countries, donor governments and 14 international organisations, including the Green Climate Fund (GCF), the United Nations Framework Convention on Climate Change (UNFCCC), the Food and Agriculture Organisation (FAO), the United Nations Environment Programme (UNEP) and the UN-REDD Programme.

At the heart of the discussions is how developing countries can unlock billions of dollars in climate financing through carbon markets and results-based forest conservation programmes.

Environment Cabinet Secretary Dr Deborah Barasa said the global REDD+ landscape is evolving rapidly amid rising demand for credible, transparent and accountable carbon trading systems.

“This Summit provides a timely platform for countries and stakeholders to exchange experiences, strengthen cooperation and identify practical solutions to challenges facing REDD+ implementation globally,” Barasa said.

REDD+, short for Reducing Emissions from Deforestation and Forest Degradation, is a global climate framework developed under the UNFCCC that rewards countries for protecting forests and reducing emissions linked to deforestation.

Delegates at the Nairobi summit are expected to deliberate on results-based financing models, transparency mechanisms, safeguard systems and the implementation of Articles 5 and 6 of the Paris Agreement, which govern forest conservation and international carbon trading frameworks.

Kenya used the summit to showcase its National REDD+ Registry, the first such system in Africa, aimed at improving transparency, accountability and traceability in carbon credit transactions.

The country also presented its REDD+ nesting guidelines, which align national and sub-national carbon projects to minimise duplication and strengthen integrity within emerging global carbon markets.

Barasa said financing remains one of the biggest obstacles facing countries seeking to meet the global target of halting and reversing deforestation by 2030.

“As we move closer to 2030, there is an urgent need to mobilise finance and scale up REDD+ implementation,” she said.

The summit is also exploring voluntary carbon credit systems and results-based payment mechanisms that financially reward countries, communities and projects that successfully reduce emissions from forest loss and land degradation.

Kenya further showcased its National Forest Monitoring System and Forest Reference Emission Level framework, both designed to strengthen scientific reporting, emissions tracking and independent verification of forest-related carbon reductions.

Climate experts attending the summit say the Nairobi meeting could significantly shape the future architecture of global forest carbon markets and climate financing systems, particularly as developing countries seek greater access to climate funds.

What Carbon Trading means

Carbon credits are tradable certificates representing one metric ton of carbon dioxide either removed from the atmosphere or prevented from being emitted through environmental projects such as forest conservation, mangrove restoration, renewable energy, rangeland rehabilitation and clean cooking initiatives.

The credits are purchased by high-emission industries including airlines, manufacturers, oil firms and transport companies seeking to offset their carbon footprints and meet global net-zero targets.

Major global emitters currently include China, the United States, India, the European Union, Russia and Japan, with China accounting for the largest share of global carbon emissions.

Although Africa contributes only about 3 per cent of global greenhouse gas emissions, the continent has become increasingly important in the global carbon economy due to its vast forests, wetlands and natural ecosystems capable of absorbing carbon dioxide.

This has positioned countries such as Kenya among emerging players in the fast-growing carbon trading market.

The carbon trading process typically involves project identification, government approval, independent verification, registration of carbon credits and eventual trading through international markets.

In Kenya, the National Environment Management Authority (NEMA) serves as the designated national authority responsible for approving carbon projects, while international verification bodies such as Verra and Gold Standard validate emission reductions before credits are issued.

Key players within Kenya’s carbon economy include community forest associations, landowners, renewable energy firms such as KenGen, wetland conservation initiatives and clean cooking organisations.

Carbon credits are then bought by global corporations seeking to offset emissions, with brokers and climate finance firms facilitating transactions between project developers and international buyers.

However, as carbon markets continue expanding globally, experts say concerns around transparency, fairness, land rights and community benefit-sharing remain critical.

Climate advocates argue that unless local communities directly benefit from conservation projects, carbon markets risk becoming extractive systems that primarily benefit foreign investors and large corporations rather than the populations protecting forests on the ground.