South Korea will extend participation in its emissions trading system and launch futures products under efforts to boost liquidity in the struggling market.

A wider group of financial firms, including asset managers, will be allowed to trade pollution allowances as soon as next year, the finance ministry said Wednesday in a statement. A futures market will be added by 2025 to help ease price volatility and to allow participants to reduce trading risks, the ministry said.

Permit prices have slumped more than 50% this year amid an oversupply of allowances, and the system is seen as having made little progress in encouraging polluters to reduce emissions. The market covers more than 70% of the nation’s emissions from almost 700 companies across sectors including utilities, construction, transport and aviation.

Rules limiting the volume of excess allowances that holders can carry over into the following year will also be loosened under the changes. Current arrangements have weighed on prices as they’ve prompted some holders to sell off excess permits before the end of annual compliance periods that run to the end of August.

To read more on South Korea’s carbon market, click here

South Korea will also allow financial firms to offer exchange-traded funds and exchange-traded notes linked to the market from next year.

The emissions system — currently open to seven market makers and 21 securities firms in addition to the polluters covered — could allow retail traders from 2025, according to the ministry.