World Bank President Ajay Banga emphasizes the importance of channeling funding to combat the climate crisis from developed nations to poorer regions through credible and transparent voluntary carbon markets. Banga aims to create reliable carbon credits, starting with a mechanism for the forestry sector that includes anti-logging safeguards to enhance the credibility of voluntary carbon markets. He believes that the World Bank's backing of certified green credits can improve carbon pricing and facilitate the flow of funds from developed countries to developing regions. Banga also advocates repurposing harmful environmental subsidies to address climate challenges. He highlights the role of multilateral development banks in absorbing the first wave of losses from climate-related projects, making them more attractive to private investors.

Source: Eco-business