Adapted from a seminar with the IMF and climate experts that CGD co-sponsored with the European Climate Foundation, this note looks at the role that the IMF can take to help tackle climate change.
Creating a Multilateral Wealth Fund for a Global Public Good: Proposed Financing Strategy for a Tropical Forest Finance Facility
This paper outlines the proposed financing strategy for the pay-for-performance financing facility. The performance payments would be distributed as part of a global offer, available to all countries with extensive tropical forests.
Creating a Multilateral Wealth Fund for a Global Public Good: Proposed Approach to Assessing Performance and Awarding Returns for a Tropical Forest Finance Facility
This paper explains proposed options for assessing performance and allocating returns to the TFFF to achieve these objectives.
Creating a Multilateral Wealth Fund for a Global Public Good: A Proposal for a Tropical Forest Finance Facility
The Tropical Forest Finance Facility is an attempt to generate significant new finance to fund pay-for-performance incentives for tropical forest conservation. The TFFF proposal includes two key innovations: 1) the way it will raise funds, by converting low-cost sovereign credit from mission-driven investor countries and companies into cash that can be used to drive change in developing countries, through an instrument similar to a sovereign wealth fund; and 2) the way it will distribute funds, using the Cash-On-Delivery aid approach that supports country ownership and only pays for results as they are achieved and verified.
Creating a Multilateral Wealth Fund for a Global Public Good: Proposed Governance Arrangements for a Tropical Forest Finance Facility
This paper outlines the proposed governance arrangements for the TFFF. The performance payments would be allocated as part of a global offer, available to all countries with extensive tropical forests that meet the performance standards.
A proposal for a pay-for-performance mechanism to finance sustainable development goals and global public goods that maximizes the efficient use of public credit and builds on major technology breakthroughs for measuring results.
Guyana’s REDD+ Agreement with Norway: Perceptions of and Impacts on Indigenous Communities - Working Paper 476
This report examines the impact of the REDD+ agreement between Guyana and Norway on indigenous communities in the country. It aims to understand the concerns, hopes, and fears of indigenous communities at the start of the agreement, and the effects, if any, that communities have faced from REDD+.
Encouraging State Governments to Protect and Restore Forests Using Ecological Fiscal Transfers: India’s Tax Revenue Distribution Reform - Working Paper 473
India’s tax revenue distribution reform creates the world’s first ecological fiscal transfers (EFTs) for forest cover, and a potential model for other countries. In this paper we discuss the origin of India’s EFTs and their potential effects. In a simple preliminary analysis, we do not yet observe that the EFTs have increased forest cover across states, consistent with our hypothesis that one to two years of operation is too soon for the reform to have had an effect. This means there remains substantial scope for state governments to protect and restore forests as an investment in future state revenues.
This paper covers qualitative case studies from Iran, Nigeria, and India to illustrate a series of lessons for governments implementing subsidy reform policies. From these three country experiences, we find that fostering public support to implement lasting reform may depend on four measures: (1) forming a public engagement plan and a comprehensive reform policy that are then clearly communicated to the public in advance of price increases; (2) phasing in price adjustments over a period of time to ease absorption; (3) providing a targeted compensatory cash transfer to alleviate financial impacts on low- to middle-income households; and (4) capitalizing on favorable global macroeconomic conditions.
Todd Moss testified before the Senate Foreign Relations Subcommittee on Multilateral International Development, Multilateral Institutions, and International Economic, Energy, and Environmental Policy at a hearing titled “Energy and International Development” on November 1, 2017. During his appearance before the Committee, Todd detailed how US efforts to expand meaningful—modern—energy access in sub-Saharan Africa serve US interests and offered recommendations for strengthening Power Africa.
The Climate Investment Funds (CIF) are a pair of multilateral trust funds that provide funding to 48 developing and middle income countries in support of low carbon and climate resilient development.
In the past decade, Ghana has experienced severe electricity supply challenges even though installed generation capacity has more than doubled over the period. The electricity supply challenges can be attributed to a number of factors, including a high level of losses in the distribution system as well as non-payment of revenue by consumers. Solving Ghana’s electricity challenges would require a range of measures.
Five Key Findings from Why Forests? Why Now? The Science, Economics, and Politics of Tropical Forests and Climate Change
1. Achieving climate stability requires conservation of tropical forests. 2. Protecting tropical forests could lower the overall costs and accelerate the achievement of global climate stability. 3. Forests generate many non-climate goods and services that are essential to meeting sustainable development goals. 4. Advances in technology have made stopping forest loss feasible. 5. Rich countries and international organizations should act now to scale up REDD+ payment-for-performance agreements.
This annual report marks two milestones in 2016: CGD’s 15th anniversary and, at the end of the year, its first leadership transition, with founding president Nancy Birdsall being succeeded by Masood Ahmed.
The Amazon Rainforest has been on fire for three weeks. Explore our book Why Forests? Why Now? to learn why protecting forests is one of our best defenses against climate change.
Power Africa has the potential to be transformative for millions of poor people and be the single biggest legacy in Africa for President Barack Obama. Observers now have roughly three years to reflect on the initiative: on what’s progressing well, what’s not, and where future risks may lie. While it is still too early to provide a complete analysis of outcomes, this report card provides a timely assessment at the close of this administration and an input to the next one. While the judgments of Power Africa are largely positive, the coming months will be crucial to keeping the effort on a positive trajectory.