The Stock Exchange Holding Company for the development and development of financial markets has signed a framework agreement with the Agricultural Bank of Egypt and Libra Capital to establish a company concerned with developing, managing and issuing carbon certificates, certificates and environmental products of all kinds.
,The signing ceremony witnessed the presence of Dr. Mahmoud Mohieldin, the climate pioneer of the Egyptian presidency of the 27th edition of the Conference of the States Parties to the United Nations Framework Convention COP27, and Dr. Mohamed Farid, Chairman of the Board of Directors of the Financial Supervisory Authority, and in the presence of a group of representatives of major international companies in the field of renewable energy.
The agreement was signed by Ramy El-Dakany, Chairman of the Board of Directors of the Egyptian Stock Exchange, Sami Abdel-Sadek, Vice-Chairman of the Board of Directors of the Agricultural Bank, and Engineer Sherif Magdy El-Gabaly, Director of Libra Capital.
Dr. Mahmoud Mohieldin, climate leader for the Egyptian presidency of the Conference of the States Parties to the United Nations Framework Convention COP27, said that the African Carbon Market Initiative supports setting standards, rules and regulatory systems and adapting international rules in carbon markets to African needs, so that there is a possibility to acquire added value within African countries. .
Mohieldin explained that Europe is the best in standards and activity in the areas of carbon markets, and China has benefited from it and adapted it to its needs, and we hope that the market will be active in Africa and Egypt, noting that there are a number of international institutions in Europe, Asia and the Gulf trying to cooperate to set standards and rules. Disclosure, and its importance is not in seeing deals, but in supporting productive sectors.
In a related context, Dr. Mohamed Farid, Chairman of the Board of Directors of the Financial Regulatory Authority, expressed his happiness and appreciation for the progress being made by all actors and players in the file of developing a clear framework to be the core of announcing the birth of an organized market for the trading of carbon certificates, which includes all components Necessary and sufficient not only for circulation but also for issuance.
Farid stressed that countries’ response to climate change is no longer a luxury, but rather a necessity, in order to protect the world from the devastating effects of global warming on human life.
He pointed to the need for levels of awareness by spreading the idea of the necessity of achieving carbon neutrality among various economic entities, especially by introducing them to the advantages of commercial reduction, that the reduction enables them to issue certificates capable of being sold, traded and tradable, which motivates them to reduce, which is consistent with the objectives of the climate summit, namely mitigation and adaptation. and provision of funds for climate action.
Ramy El-Dakani, head of the Egyptian Stock Exchange, explained that the framework agreement to establish a leading company at the regional level aims to create new horizons for cooperation at the continental and regional levels to encourage green investment and diversify investment options for investors.
As well as enhancing Egypt’s competitiveness as a major financial center for African markets, and it comes within the context of the Egyptian Stock Exchange’s efforts to develop and establish an African voluntary platform for trading carbon certificates, which Al-Dukani considered one of the important financial tools to help emerging countries in financing their expansion plans in parallel with achieving their goals regarding climate change matters.
Alaa Farouk, Chairman of the Board of Directors of the Agricultural Bank, said that the Agricultural Bank is proud to join the Egyptian Stock Exchange alliance to establish “Libra Carbon” in conjunction with the launch of the Climate Summit in Sharm El-Sheikh.
He explained that trading carbon credits is an important thing to help agricultural land owners besides using modern irrigation methods, and the motive of the alliance in the company is to achieve agricultural sustainability and reduce carbon emissions, and sustainability is a very important thing for Egypt, and Libra Carbon will have an effective impact on Egypt in achieving the plan to reduce carbon emissions. .