When Richard Attias asked some of the world’s leading media voices to describe this year’s Future Investment Initiative (FII) in a single word, two of them chose “optimism.”
And indeed, that word captured the essence of FII 2025, optimism wasn’t just a mood in the room; it was a strategy shaping the conversations, commitments, and collaborations that defined the event.
While much of the world is retreating from environmental priorities, Saudi Arabia stands as a remarkable outlier. Our workforce is among the most optimistic globally, driven by a conviction that economic growth and sustainability are not opposing forces but mutually reinforcing ones.
Yet, as we enter 2025, the tension between progress and preservation is growing sharper. Last year was the warmest on record; the first in human history to surpass an annual average of 1.5°C. From floods in Pakistan to fires across continents, climate risks are no longer distant concerns. The Gulf region, where temperatures are rising faster than the global average, faces particularly high exposure.
At the same time, the global focus has shifted toward energy security, cost of living, and the transformative power of AI. These are legitimate priorities, but they are also sources of accelerated emissions.
We must therefore address a central paradox of our time: the same innovation and growth we celebrate are expanding our carbon footprint. The task ahead is not to stop progress, but to mitigate it intelligently. And this is where carbon markets offer a pragmatic, immediate, and scalable solution.
Carbon markets channel finance directly into projects that reduce or remove CO₂, from reforestation and mangrove restoration to carbon capture and renewable energy. By setting a real price on carbon, they turn climate ambition into market value. Companies that voluntarily offset their emissions are proven to decarbonize faster than their peers; not because credits replace action, but because they reinforce it.
This vision underpins the establishment of the Voluntary Carbon Market (VCM) — launched by the Public Investment Fund and the Saudi Tadawul Group following the Crown Prince’s 2021 announcement. In fewer than 1,000 days, we have built one of the world’s most dynamic carbon ecosystems from the ground up. More than 10 million credits have already been traded, and the Kingdom now ranks among the top three voluntary carbon markets globally.
What makes this progress remarkable is the role of the private sector. Today, Saudi companies representing over 65% of national corporate emissions are actively participating in carbon trading, signaling a collective commitment to climate leadership. From cement to chemicals, and utilities to aviation, the Kingdom’s businesses are proving that decarbonization can drive competitiveness, resilience, and reputation.
The path forward demands both innovation and regulation, but it will be the private sector that defines the pace. Those who act early will not only meet future compliance requirements, they will shape the standards themselves.
FII reminded us that optimism is not a passive emotion. It is a leadership mindset. As Saudi Arabia continues to innovate at the “edge”, in direct air capture (DAC), water- saving technologies, e-waste management, and circular solutions, we have an opportunity to lead the world in pragmatic climate action. By scaling voluntary carbon markets and harnessing our private sector’s ambition, we can turn optimism into measurable impact, and ensure that the Kingdom’s growth story is also a sustainability story.
