Nearly USD 4.7 billion of results-based finance for forests have been committed by bilateral or multilateral sources since 2010.
Over the last two years, disbursement of results-based finance has seen significant growth, with between USD 230-260 million being disbursed annually. This means that 40 percent of commitments have now been disbursed.
Out of the 18 countries in the Forest Carbon Partnership Facility’s Carbon Fund, only four have advanced to signing Emission Reductions Payment Agreements (Democratic Republic of the Congo, Mozambique, Chile, and Ghana).
Finance channeled to forests through carbon markets is significant in volume; equal to USD 2.5 billion over the last 20 years.
Private-sector demand for forest carbon credits is gaining momentum; however, it is unclear how the COVID-19 outbreak will impact this demand.
Many domestic compliance schemes allow the use of carbon credits from forest projects or programs.