Dubai - Mubasher: The Abu Dhabi Global Market (ADGM) has partnered with AirCarbon Exchange (ACX) to establish the world’s first fully regulated carbon trading exchange and clearing house in Abu Dhabi.
ADGM will become the world’s first jurisdiction to regulate carbon credits and offsets as emission instruments and issue operation licences for spot and derivative markets, according to a press release on Tuesday.
The regulatory framework will enable companies to trade and finance carbon credits such as conventional financial assets.
Expected to launch this year, ACX seeks to create a regulated recognised clearing house (RCH) for custodising, clearing, and settling commodities and commodity derivatives.
The Chairman of ADGM, Ahmed Jasim Al Zaabi, said: "This initiative reinforces ADGM’s commitment and ongoing efforts to cement its position as a leading international financial centre and world-class global commodities and carbon trading hub."
Meanwhile, the Managing Director and Co-Founder of ACX, William Pazos, commented: "Our recent partnership with the Deutsche Börse Group, expansion into Brazil, and our already well advanced full exchange and clearing application in ADGM complement each other to deliver a truly global marketplace from the heart of the MENA region."
