RVCMC selects Xpansiv to launch carbon credit exchange

25 April 2024 Riyadh, KSA
  • PIF and the Saudi Tadawul Group-backed RVCMC chooses Xpansiv to provide tech infrastructure for carbon credit exchange  
  • Collaboration set to maximize the role of carbon offsets in tackling climate change across the Global South
  • RVCMC aligns with PIF’s innovation focus and the Fund’s mandate to develop the country’s green economy
PIF and the Saudi Tadawul Group-backed Regional Voluntary Carbon Market Company (RVCMC) has announced it has chosen Xpansiv, the leading market infrastructure provider for the world’s energy transition, to offer tech infrastructure for RVCMC’s carbon credit exchange, set to launch later this year in Saudi Arabia.


Marking a milestone towards reaching RVCMC’s target to scale up global supply and demand to deliver vital climate finance to the Global South, the exchange follows the success of RVCMC’s voluntary carbon credit auctions held in October 2022 and June 2023, two events which set the record for the world’s largest-ever voluntary carbon credit auction.


Riham ElGizy, CEO of RVCMC, said:

“The world needs to use every tool at its disposal to tackle the devastating impacts climate change is already having. As our previous two auctions demonstrated, there is growing demand from leading businesses in Saudi Arabia to play their part. Developing a carbon credit trading exchange is the next step in RVCMC’s mission to become one of the largest voluntary carbon markets in the world by 2030. Our work with Xpansiv will help us build the infrastructure the market needs for a thriving, transparent and increasingly liquid market, one that can maximize the role of carbon offsets in tackling climate change across the Global South.”


John Melby, CEO of Xpansiv, said:
“We are honored to work with RVCMC to realize its vision of a new carbon market for the Middle East. We look forward to supporting the company’s mission to develop a marketplace that will channel carbon finance at scale, which is essential to realizing the global energy transition at an accelerated pace.”


The new exchange will offer buyers and sellers institutional-grade infrastructure, enabling fast and secure transactions. It will be built on Xpansiv’s open-access market infrastructure, including a fully automated, same-day settlement platform and a portfolio management system, both of which will be integrated with leading global registries.


RVCMC will set tight guiderails for the exchange to ensure the listing of high integrity carbon credit projects only, all backed by independent standard setters, to contribute to the global energy transition. Contracts will be developed to align with market best practices, including a gradual shift towards carbon removals.


With its ambition to help businesses and industries in the Global South support global net zero goals, RVCMC reflects PIF’s focus on innovation and the Fund’s strategy to contribute to developing the country’s green economy by providing significant investment opportunities for the private sector. It also aligns with Saudi Arabia’s commitment to net zero by 2060, and Vision 2030’s sustainable economic reform blueprint.