The latest news from the World Bank’s trust funds supporting results-based climate finance in sustainable forestry and land use | |
Guatemala receives $24 million for verified carbon credits under the FCPF
Guatemala has received its first payment of $24.2 million from the Forest Carbon Partnership Facility (FCPF) for reducing 4.8 million tons of carbon dioxide equivalent.
The results come from Guatemala’s jurisdictional forest carbon program, which spans 92% of the national territory, and reflects years of collaboration among government institutions, community organizations, civil society, and technical partners.
The results-based payment will be distributed through an inclusive benefit-sharing plan that supports stakeholders involved in forest protection, reforestation, restoration, and agroforestry.
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Turning climate action into opportunity: ISFL launches new video series
The BioCarbon Fund Initiative for Sustainable Forest Landscapes (ISFL) has launched a three-part animated video series that brings its mission to life — showing how climate finance can drive both environmental protection and inclusive, sustainable growth.
Across Colombia, Ethiopia, Indonesia, Mexico, and Zambia, ISFL supports programs that reduce emissions by protecting forests, restoring degraded land, and promoting sustainable agriculture. Each country designs and leads its own approach, guided by rigorous systems that measure, verify, and reward real results.
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Indonesia completes delivery of contracted emission reductions under the FCPF
Indonesia has delivered a total of 26.2 million tons of verified emissions reductions under the East Kalimantan Emission Reductions Program. Of these, 22 million emissions reductions were contracted and paid for by the FCPF.
In line with Indonesia’s Emissions Reductions Payment Agreement, the use and distribution of FCPF’s $110 million payment are governed by Indonesia’s consulted and publicly disclosed benefit-sharing plan.
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SCALE achieves capitalization of $346 million
The World Bank's trust fund Scaling Climate Action by Lowering Emissions (SCALE) signed nearly $80 million in contributions from Switzerland (SECO), Germany (BMZ and BMUKN) and Norway (NICFI), joining the UK (DESNZ) and USA (DoS) as donors, achieving its FY26 target and bringing its initial capitalization to $346 million.
These contributions will help client countries leverage World Bank Group operations with high-emissions reductions potential.
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Integrity first: Why carbon registries matter for carbon markets
Carbon markets can be a powerful tool for mobilizing climate finance — but only if the underlying systems are credible, transparent, and trusted.
The World Bank’s pioneering Carbon Assets Tracking System (CATS) is enabling countries to issue, transfer, retire and track emissions reductions, while laying the groundwork for the development of country-owned registries.
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Innovative digital tools expand access to carbon benefits for ethnic minorities in Viet Nam
In Viet Nam, the World Bank's Enhancing Access to Benefits while Lowering Emissions (EnABLE) trust fund has financed the development of innovative digital tools to expand access to emissions reduction program benefits for the country’s most marginalized groups.
Using AI translation assistance — Katu2Vi and Pako2Vi are now the world’s first AI models capable of accurately translating Katu and Pako into Vietnamese — ethnic minorities are able to record decision-making processes, manage funds, and disclose progress to enable more inclusive, efficient and transparent community benefit sharing.
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Costa Rica hosts South-South exchange on sustainable forest management
With support from the FCPF, Costa Rica recently hosted a South-South exchange on sustainable forest management that brought together delegations from Chile, Ghana, and Guatemala.
The event created a unique space for learning, strengthening alliances, and promoting innovative solutions.
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Côte d'Ivoire receives $5 million for additional emission reductions
In January, the FCPF made a $5 million payment to Côte d’Ivoire for the delivery of additional emissions reductions beyond its contracted volume.
FCPF donors agreed on a payment price of $8 per ton, recognizing both the country’s significant progress and the need to adjust the policy price for results-based climate finance.
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Viet Nam hosts FCPF's 31st Carbon Fund meeting
Discussions at the FCPF's 31st Carbon Fund meeting (CF31) in Da Nang, Viet Nam focused on excess credit monetization, the transition to other market standards to ensure long-term access to carbon markets, and the carbon rights legal toolkit.
Valuable inputs were provided by five forest countries — Côte d’Ivoire, Guatemala, Indonesia, Lao PDR, and Viet Nam — as well as a diverse group of observers, including Indigenous Peoples. Viet Nam also facilitated a field visit to Bach Ma National Park within the Program area, where the delegation met beneficiary communities, 77% of whom are ethnic minorities.
On the margins of CF31, Viet Nam also hosted a South-South knowledge exchange with Côte d’Ivoire. Both countries are trailblazers in the FCPF Carbon Fund, having fulfilled their respective contract volumes and generated excess carbon credits eligible for monetization in the carbon market.
| | Colombia hosts ISFL's 2025 annual meeting | |
In December, ISFL convened its annual meeting in Bogotá and Villavicencio, Colombia, bringing together ISFL contributors, country partners, and stakeholders to take stock of progress across the initiative’s five emissions reductions programs.
Discussions covered financial performance, private sector and agribusiness engagement, progress toward carbon market transactions, and the future of the ISFL standard. A field visit to Villavicencio highlighted on-the-ground impacts, with livestock, cocoa, and palm oil producers sharing how ISFL support has advanced climate-smart and sustainable production models.
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Beyond Forests
Updates from World Bank results-based climate finance and carbon markets initiatives
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Innovate4Climate 2026 comes to Asia
As governments advance carbon pricing and carbon markets, the focus is turning to delivery: making systems work at scale and linking them to finance.
Against this backdrop, Innovate4Climate (I4C) 2026 will take place in Singapore, May 20-22 2026, providing a platform for policymakers, investors and market participants focused on practical implementation and concrete market opportunities.
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All dollars are U.S. dollars unless otherwise indicated.
Newsletter photo credits: All photos courtesy of World Bank or partners and used with permission or purchased stock.
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