Saudi Arabia has taken a significant step in its environmental commitments by selecting Xpansiv to provide the technological infrastructure for a new carbon credit exchange set to launch later this year. Xpansiv, a leader in the voluntary carbon market, will collaborate with the Regional Voluntary Carbon Market Company (RVCMC), established by Saudi Arabia’s sovereign wealth fund, the Public Investment Fund, and Saudi Tadawul Group Holding Company.
This initiative is part of a broader trend where countries are actively seeking advanced technology solutions to facilitate carbon market trading, aiming to support their net zero transitions. The upcoming exchange in Saudi Arabia is poised to become one of the largest of its kind globally, reflecting the scale and ambition of the project.
The technology infrastructure provided by Xpansiv includes an open-access market infrastructure with features like a fully automated, same-day settlement platform and a portfolio management system. These systems will be integrated with leading global registries to ensure a robust and transparent trading environment. Additionally, RVCMC plans to implement strict criteria for listing carbon credit projects, focusing on high integrity and alignment with best market practices and a gradual shift towards carbon removals.
The new exchange will build on the success of RVCMC’s two previous voluntary carbon market auctions, which collectively sold 3.6 million carbon offsets. By scaling up voluntary carbon market (VCM) trading within the kingdom and internationally, this initiative will significantly contribute to Saudi Arabia’s environmental goals under the Saudi Green Initiative and Vision 2030 by channeling climate funding to critical areas.
This strategic partnership between Xpansiv and RVCMC exemplifies how technology and market-based solutions can play a pivotal role in addressing climate change challenges, highlighting the increasing global momentum towards sustainable and responsible environmental stewardship.