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Opinion

Local farmer ploughing a field in Indonesia. Credit: Unsplash

RIO DE JANEIRO, Brazil, Nov 26 2025 (IPS) – The UN climate talks at COP30 once again brought the critical issue of climate finance to the forefront of global discussions.

However, while much of the debate revolved around traditional forms of aid directed at developing countries most vulnerable to the impacts of climate change, a faster, more transformative approach lies in expanding access to carbon markets.

When emerging and developing economies (EMDEs) are equipped with the tools and knowledge needed to engage in these markets on their own terms, carbon finance can be generated and harnessed in ways that reflect their unique natural assets, governance, social contexts, and national priorities.

Achieving global climate and sustainable development goals depends on ensuring that those worst affected by climate change can fully participate in and benefit from this growing flow of finance.

EMDEs are on the frontlines of climate change — from rising sea levels threatening Pacific island nations to intensifying droughts and fires in the Amazon and Horn of Africa, and increasingly intense and frequent hurricanes in the Caribbean. These crises often hit hardest in regions that have contributed least to global emissions and in the most difficult position to react to them.

Yet, these same nations face a climate finance shortfall of $1.3 trillion per year. Carbon markets present an opportunity for these countries to bridge this gap by turning their natural advantages into climate finance assets.

Despite successful initiatives aimed at bolstering both high-integrity supply and demand for carbon credits, significant barriers to access persist, particularly for EMDEs. From fragmented policy landscapes to weak governance structures, limited institutional capacity, and low investor confidence, various obstacles prevent the vast potential of EMDEs to engage fully.

The Access Strategies Program — led by the Voluntary Carbon Markets Integrity Initiative — is a direct response to these challenges. It helps governments design and implement their own pathways into high-integrity carbon markets, enabling them to build the policies, institutional capacity, and investor confidence needed to meet their climate finance needs and transform their potential into progress.

Each country’s natural capital — from Brazil’s vast rainforest and agricultural landscapes, to the Caribbean’s blue carbon ecosystems, or Kenya’s grasslands and renewable energy potential — represents a unique competitive advantage, ready to be realised.

Simultaneously, no two countries share the same development goals or governance contexts. In some, carbon markets can drive forest conservation and biodiversity protection; while in others, they deliver the most impact by strengthening rural livelihoods or financing clean energy transitions.

The Access Strategies model recognises this uniqueness, tailoring its support to help countries use carbon finance in ways that align with their own specific economic and environmental strategies and goals.

For example, the Partnership for Agricultural Carbon (PAC) — developed with the Inter-American Institute for Cooperation on Agriculture (IICA) — is building capacity across Latin American and Caribbean agriculture ministries to participate in high-integrity carbon markets. It provides training, policy guidance, and decision-making tools that help governments and farmers identify viable carbon projects aligning with national agricultural and sustainability goals.

The collaboration has given small and medium producers a clearer route to investment, while positioning agriculture as a central player in regional climate strategies. Another example of the Access Strategies work is the recently launched Amazon Best Practices Guide, which will help Amazon state governments design and implement carbon market frameworks made specifically for their unique ecological and governance realities.

Moreover, in countries such as Kenya, Peru, and Benin, the Program has provided tailored support to develop policy and regulatory frameworks, strengthen institutional capacity, and attract responsible investment for high-priority climate mitigation projects — all in line with country-led goals.

These examples show what’s possible when governments have the tools and expertise to engage in high-integrity carbon markets on their own terms. More countries should seize this opportunity to tap into the growing flow of finance from carbon markets.

While carbon markets are not a silver bullet, they are one of the few scalable and self-sustaining tools available when grounded in integrity and tailored to each country’s needs.

Programs like Access Strategies do more than transfer technical knowledge — they build the enabling conditions for locally led action, drawing on countries’ unique ecological, social, and institutional insights to shape solutions that work in practice.

The focus of global climate action should not only be on new funding pledges, but on ensuring funding that is already available is effectively redirected for EMDEs countries to harness their own natural capital and promote social inclusion, while meeting their climate goals and reshaping their development pathway.

Building this kind of capacity is how we turn global ambition into lasting, locally owned progress, and moreover how carbon finance can become a true instrument of sustainable development.

Ana Carolina Avzaradel Szklo, Technical Director, Markets and Standards, Voluntary Carbon Markets Integrity Initiative (VCMI)

IPS UN Bureau