Online Reporter
Business Reporter
Insurance companies and pension funds have been urged to explore carbon credit trading as a source of climate finance, with the Government offering capacity building support to help financial institutions generate credits from their operations and investment portfolios.
Speaking at the Insurance and Pensions Symposium in Victoria Falls, organised by the Insurance and Pensions Commission of Zimbabwe, Mr Tatenda Mutasa, Acting Deputy Director for Climate Change Adaptation in the Ministry of Environment, Climate and Wildlife, said carbon credits represent a significant opportunity for both the financial sector and the country at large.
“A lot of objects can qualify to benefit from carbon credit trading,” Mr Mutasa told delegates. “It is very, very important, and it is also a source of finance for us as a country.”
Mr Mutasa outlined several key sectors where carbon credit generation is already feasible, including forestry, agriculture, energy, and labour-intensive projects. He noted that foreign-funded projects operating within these sectors could also qualify, presenting an additional avenue for international investment to contribute to Zimbabwe’s climate goals.
The Acting Deputy Director specifically called on insurance companies and pension funds to consider how their own platforms, activities, and investment portfolios could be restructured to generate carbon credits.
“If you want capacity building from us as a ministry, we are ready to come on board,” Mr Mutasa said. “We usually assist with capacity on how best to generate carbon credits for your institution.”
Mr Mutasa cited a recent example of the ministry’s engagement with local authorities late last year, where the Government worked with rural district councils to help them benefit from carbon credit schemes. He suggested similar technical assistance would be extended to the insurance and pensions sectors.
Mr Mutasa framed the initiative within the broader context of climate finance, noting that climate change remains a defining challenge requiring innovative funding mechanisms beyond traditional financing streams.
