The Tokyo Stock Exchange (TSE) has initiated a trial market maker mechanism in its newly-launched carbon credit market, aiming to enhance liquidity. The trial runs until Feb. 29, 2024, focusing on J-Credit classifications related to energy-saving and renewable energy. Designated market makers include Sumitomo Corp, Marubeni Corp, Mitsui & Co, Daiwa Securities, and Mizuho Bank. This move follows the TSE's recent introduction of carbon credit trading as part of Japan's strategy to address climate change. The market maker mechanism requires designated companies to quote specific buy and sell orders during a designated time window.

Source: Reuters