Nairobi, May 31 -- As Kenya enters another budget and Finance Bill cycle focused on revenue mobilisation, industrial growth and economic resilience, an important policy conversation is quietly emerging in the background: should Kenya begin preparing for carbon pricing?

For many policymakers, the debate around carbon tax has largely been viewed as an environmental issue. But globally, the conversation has moved far beyond climate policy. Carbon pricing is rapidly becoming a trade, competitiveness and industrial policy issue.

That shift is being driven largely by the European Union's Carbon Border Adjustment Mechanism (CBAM). CBAM is often described as a climate regulation, but in reality, it represents a major restructuring of how global...