Lagos launches Africa’s first carbon market, climate investment framework

By Adeola Ogunrinde –

The Lagos State Government has reaffirmed its leadership in climate action with the unveiling of two landmark initiatives — the Lagos Carbon Market, Africa’s first domestic environmental trading platform, and the Climate Investment Opportunities Diagnostic (CIOD). The CIOD, developed in partnership with the International Finance Corporation (IFC), connects environmental priorities with actionable investment pathways.

Both initiatives were launched at the 11th Lagos International Climate Change Summit (LICCS) held at the Lagos Continental Hotel, Victoria Island, with the theme: “Blue Economy, Green Money: Financing Africa’s Coastal Resilience and Ocean Innovation.”

Governor Babajide Sanwo-Olu, who declared the summit open, said the initiatives reflect Lagos’ commitment to financing a sustainable future through innovation, resilience, and global partnerships. “Investing in Lagos’ resilience is not philanthropy, it is smart economics,” he said.

According to the governor, the Lagos Carbon Market will attract international funding for verified decarbonization and regenerative projects, creating jobs, facilitating technology transfer, and driving long-term prosperity. He said the CIOD would guide investors toward sectors that will define Lagos’ next decade of growth, including clean energy, sustainable transport, and resilient infrastructure.

Sanwo-Olu added that the state’s climate strategy rests on three pillars — Resilience, Innovation, and Financing — to ensure Lagos remains future-ready amid global climate uncertainty. “Development and decarbonization are not opposites but twin engines of progress,” he noted.

Commissioner for the Environment and Water Resources, Tokunbo Wahab, said the summit reflects Lagos’ bold vision to transform its blue economy into an engine of inclusive growth. “Where others see risk, Lagos sees opportunity. We are unlocking sustainable financing and pioneering innovations that will safeguard our oceans and strengthen our coastal communities,” he said.

Wahab also announced that, in collaboration with the C40 Climate Leadership Group, Lagos will commission a biogas plant in December at the Ikosi-Isheri Fruit Market. The facility will convert 500 kilograms of fruit waste daily into clean energy — a model of circular economy and green innovation.

Minister of Marine and Blue Economy, Gboyega Oyetola, represented by NIMASA Director-General, Dr. Dayo Mobereola, commended Lagos’ pioneering role in blue finance and marine sustainability. He added that the federal government is implementing reforms to strengthen maritime security, reduce piracy, and promote waste-to-wealth initiatives.