• Chile received $5.1 million from the World Bank’s Forest Carbon Partnership Facility (FCPF) for cutting 1.03 million tons of carbon emissions through sustainable forest management.
• The Emission Reductions Program covers six climate-vulnerable regions and prioritizes support for women, Indigenous Peoples, and small property owners.
• The initiative could unlock up to $26 million for 5.2 million tons of emissions reductions, with additional backing from the Green Climate Fund.

Tangible Climate Action in Chile

Chile received its first $5.1 million payment under the Emission Reductions Payment Agreement (ERPA) with the Forest Carbon Partnership Facility (FCPF) for reducing 1.03 million tons of carbon emissions from deforestation and forest degradation.

“This milestone underscores Chile’s leadership in tackling the complex challenges of climate change, desertification, and forest degradation,” said Jean-Marc Arbogast, World Bank Group Country Manager for Chile.

The program spans six key regions—Maule, Ñuble, Biobío, La Araucanía, Los Ríos, and Los Lagos—covering nearly half of Chile’s forests. These areas face increasing threats from wildfires, droughts, and desertification.

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Supporting Forest Conservation and Communities

Chile’s initiative promotes sustainable forestry practices and includes an inclusive benefit-sharing model aimed at ensuring that vulnerable groups share in the rewards of climate action.

“This payment validates our commitment to the fight against the climate crisis,” said Aida Baldini, executive director of Chile’s National Forestry Corporation. “It strengthens conservation efforts while supporting the communities most affected by climate change.”

The program is backed by over $60 million in complementary financing from the Green Climate Fund, which supports broader conservation and resilience efforts.

A Global Model for Climate Resilience

Chile’s forest management efforts serve as an example of how integrated approaches can combat climate change while addressing social vulnerabilities.

“Our commitment to decarbonization means adopting sustainable agricultural practices, protecting forests, and promoting efficient technologies,” said Esteban Valenzuela, Chile’s Minister of Agriculture.

The Forest Carbon Partnership Facility has helped 15 countries achieve jurisdictional-scale emissions reductions. To date, its programs have delivered over 105 million tons of emission reductions and distributed more than $164 million in results-based payments.

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