Why analysing land-use finance can help countries meet their climate and forest goals
Protecting and regenerating forests, combined with sustainable agricultural practices and efficient land-use planning, could deliver up to 37% of emission reductions needed by 2030 to comply cost-effectively with the Paris Agreement on climate change.
The private sector and domestic budgets will have to provide most of the investment required for countries to achieve their climate and forest goals.
International public finance sources have provided an estimated USD 20 billion to support these goals since 2010. However, while these sources can be a key support, they cannot meet the scale of investment required.
In addition, investments from international public finance have made major contributions to activities that could be driving deforestation and increasing emissions.
Tropical forest countries can struggle to mainstream climate objectives within sectoral policies and balance competing development priorities. When this is the case, investments that impact forests and land use are often uncoordinated or incoherent. This is a barrier to the implementation of climate and sustainability objectives.
Countries can help attract private finance and make the case for more international support by presenting a transparent analysis of land-use investments, as well as plans to increase the coherence of spending.
Our Land-use Finance Tool can help!