Pollination and the Asian Forest Cooperation Organization (AFoCO) have signed a memorandum of understanding (MOU) to drive the development of nature-based carbon projects across Asia. Pollination is a climate and nature-focused investment and advisory firm.
The MOU signing ceremony was held on 3 December at Pollination’s office in Sydney, Australia, and the agreement was signed between Chongho Park, Executive Director of AFoCO, and Martijn Wilder, Chief Executive Officer of Pollination.
The agreement, which includes but is not limited to countries such as Indonesia, Timor Leste, Malaysia, Lao PDR, Cambodia, Vietnam, the Philippines, Thailand, and Bhutan, will see AFoCO and Pollination collaborate to originate, design, and develop forest conservation and restoration projects.
“As the world continues to grapple with the devastating impacts of climate change and biodiversity loss, planting and protecting forests across Asia will be critical to achieve the world’s climate and nature targets,” said Martijn Wilder, Chief Executive Officer of Pollination.
“This partnership with AFoCO is another great example of the collaboration needed between public and private sectors to deliver reforestation projects and promote sustainable forest management and sustainable livelihoods for communities.”
In line with the United Nations’ global climate, biodiversity, and desertification goals, this agreement is designed to identify and ignite investment in forests across Asia.
“By working with Pollination and our member countries, our aim is to create a pipeline of bankable nature-based solutions (NbS) projects that catalyze future investment to scale project impact and size,” said Chongho Park, Executive Director of AFoCO.
“AFoCO member countries hold tremendous potential for reforestation and forest conservation initiatives, and we look forward to collaborating with them to turn that potential into high-quality, investable projects.”
The announcement follows the release of Pollination’s report, Financing for Forests: From Commitment to Action – Policymaking to Accelerate Forest Finance in Emerging Markets and Developing Economies. The report examines the role of government policy in expanding private finance for forest conservation, restoration, and sustainable management.
Forests provide essential ecosystem services, including global climate regulation, that underpin the global economy, businesses, and communities. Estimates by PwC indicate that 55% of global GDP, equivalent to approximately USD 58 trillion, is highly or moderately dependent on nature and the ecosystem services it provides.
“The ability for governments in emerging markets and developing economies to introduce the necessary policies to provide investor certainty and de-risk investment opportunities will be critical in protecting and developing the world’s forests and achieving global climate targets,” said Wilder.
“With many communities in developing economies reliant on forests for income, agreements like this help drive investment in afforestation projects which benefit local communities and the planet.”