The East Africa Carbon Markets Forum, held at Méstil Hotel and Residences this week, brought together key stakeholders to discuss the potential of carbon markets in driving climate resilience in agriculture.
Mona Muguma Ssebuliba, the Chief Executive Officer (CEO) of aBi Finance, delivered a keynote address during the forum, emphasising the need to place smallholder farmers and agribusinesses at the centre of carbon market development.
Risks and Opportunities of Climate Change
Mona revealed that climate change poses significant risks to Uganda’s agricultural sector, including reduced crop yields, changed growing seasons, and increased pest and disease pressure.
She explained, however, that there are untapped opportunities in carbon finance, which can help farmers adopt sustainable practices, improve their livelihoods, and contribute to a more resilient agricultural sector.
aBi Finance Roots for ESG and Green Finance
Speaking at the forum, Mona pointed out that aBi Finance has made significant strides in mainstreaming Environmental, Social, and Governance (ESG) principles and green finance in Uganda.
Some notable achievements by aBi Finance, which she highlighted, include:
Launch of a Shs120 billion Green Finance Fund to support sustainable agriculture and agribusinesses, plus
Development of Uganda’s first Green Agribusiness Taxonomy to guide investments in sustainable agriculture
Support for over 40 financial institutions to design green loan products
Training of 2,500+ financial professionals in ESG principles
Technical support to financial institutions for Management Information System (MIS) upgrades and environmental policy integration
Call to Action
Mona made a strong call to action to various stakeholders, including:
Farmers
She urged farmers across the country to adopt sustainable practices and join aggregation models to access carbon finance opportunities.
Investors
She called upon investors to support viable carbon agribusiness projects to drive climate resilience and economic growth
Policymakers
To the government and all policymakers, Mona urged them to simplify regulations and enable pilot funding to facilitate the development of carbon markets
Innovators
She also called upon innovators to develop cost-effective Monitoring, Reporting, and Verification (MRV) technologies to support carbon market development
Researchers
For purposes of sustainability and continuity, Mona urged researchers to help develop methodologies and generate evidence to inform carbon market development.
Business Development Service (BDS) Providers
She also urged all stakeholders to encourage capacity building at all levels by training the actors on eligibility, data, and access to support smallholder farmers and agribusinesses
Path to Inclusive and Impactful Carbon Markets
Mona noted that the path to inclusive and impactful carbon markets lies in connected efforts between the government, private sector and all stakeholders.
She explained that by working together, stakeholders can unlock finance for climate resilience in agriculture, improve the livelihoods of smallholder farmers, and contribute to a more sustainable agricultural sector.
The East Africa Carbon Markets Forum highlighted the potential of carbon markets in driving climate resilience in agriculture.
Reiterating Mona’s words, by placing smallholder farmers and agribusinesses at the centre of carbon market development, we can unlock finance for climate resilience, improve livelihoods, and contribute to a more sustainable agricultural sector.
It is thus time for stakeholders to come together and drive meaningful action towards a more climate-resilient future.