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Home Meetings

Africa: African leaders “demand” to monetize their green capital

In the words of the President of the BDAC, "It is time to change this narrative; Africa cannot remain green and cash-poor".

Africanian
November 16, 2024
in Meetings, News
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Africa: African leaders "demand" to monetize their green capital
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At COP29 in Baku, African leaders raised their voices about the need to monetize the continent’s vast natural assets, valued at trillions of dollars. During the session “Measuring Africa’s Green Wealth”, the urgency of including natural capital in the Gross Domestic Product (GDP) of African countries was emphasized as a key tool to unlock investments and improve economic sustainability.

President Denis Sassou Nguesso highlighted that the continent’s natural resources have historically been undervalued“. Africa contributes to the planet’s well-being through its forests and ecosystems, but this wealth is not reflected in income for our economies”,  he stated. This perspective was echoed by President Paul Kagame, who stressed that far from charity, Africa “demands” to capitalize on its assets. “We are not asking for charity; we are demanding payment for the true value of what we contribute to the world”, he said.

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According to a report by the African Development Bank (AfDB), Africa’s natural capital is valued at over $6.2 trillion, more than twice its GDP in 2018. However, practices like “carbon grabbing” limit the economic benefits for the continent. Dr. Akinwumi Adesina, President of the AfDB, warned that Africa receives minimal payments for carbon credits while losing control over its lands “, It is time to change this narrative; Africa cannot remain green and cash-poor”, he emphasized.

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During the summit, innovative solutions were discussed to monetize ecosystem services, such as carbon sequestration and water management, which could generate significant income. Leaders like Emmerson Mnangagwa and Faure Essozimna Gnassingbé highlighted the importance of global partnerships that promote African sustainability while ensuring financial flows that strengthen local economies.

Aiming to set a global precedent, African leaders are preparing a report for the African Union Summit in 2025. This document seeks to establish a framework that transforms Africa’s green wealth into an economic engine, positioning the continent as a key player in the transition to a sustainable economy.

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