Kenya is aiming to get a share of Saudi Arabia’s petrol money in exchange for carbon credits, perhaps at a billion-dollar scale. That is according to a Business Daily Africa source accompanying the country’s President William Ruto for the Future Investment Initiative in Riyadh.
“Ideally, Saudi is to bring some cash to stabilize the economy,” the source told the news publication.
Over 6,000 delegates have registered for the three-day Future Investment Initiative in Saudi Arabia’s capital, which took place between Oct. 24 and Oct. 26, 2023.
1.4 million tons of CO2 offsets were auctioned during last year’s event. The world’s biggest oil producer Saudi Aramco was the lead buyer at the auction.
Kenya has obtained $13.79 million from 16 Saudi companies, such as Aramco and the Saudi Electricity Company, through an auction organized by Saudi Arabia’s Regional Voluntary Carbon Market Company.
Part of the proceeds from these CO2 credits have been invested in clean cooking and solar home systems, Ruto said at COP27. “The dividends of the emerging circularity exemplify the vision of the global conservation movement,” he also said.
Ruto’s journey to the Persian Gulf state follows Kenya’s recent payment of its initial installment to companies in the Gulf state as part of a government-to-government import credit initiative designed to manage exchange rate fluctuations.
According to Treasury Cabinet Secretary Njuguna Ndung’u, the African country had already paid $238,842,710 to Aramco, the Abu Dhabi National Oil Company, and the Emirates National Oil Company.