COP29 Summit: Green Light for Global Carbon Market

At the COP29 summit in Baku, countries approved carbon credit quality standards, paving the way for a U.N.-backed global carbon market to reduce greenhouse gas emissions. The move aims to operationalize the carbon market, allowing countries and companies to offset emissions through global environmental projects.

The COP29 climate summit in Baku saw nations approve crucial carbon credit quality standards, marking a significant step towards launching a U.N.-backed global carbon market. This move could potentially fund projects aimed at reducing greenhouse gas emissions, a pressing global concern.

The approval, coming on the summit's first day, sets the stage for formalizing the carbon market, an initiative central to the Paris climate agreement. Despite uncertainties following Donald Trump's election victory and his pledge to exit the Paris accord, the endorsement is seen as a major stride in climate initiatives.

Critics, however, have raised concerns over procedural fairness and the human rights impact of such projects. While negotiators work on finalizing market rules, the International Emissions Trading Association predicts significant financial and environmental benefits by 2030.

(With inputs from agencies.)