Pakistan signed its first bilateral carbon market agreement under the Paris Agreement with Norway, marking a step towards attracting climate finance, according to an official statement issued on Wednesday.
The memorandum of understanding (MoU), signed under the Ministry of Climate Change and Environmental Coordination, will enable Pakistan to develop carbon credit projects and transfer emission reductions to Norway.
Minister for Climate Change and Environmental Coordination Musadik Malik described the agreement as a “historic milestone”, saying it marked Pakistan’s shift from carbon market preparedness to implementation.