KATHMANDU, November 16 — Nepal has received a $9.4 million (approximately NRs 1.3 billion) payment from the World Bank’s Forest Carbon Partnership Facility (FCPF), which will be invested in ongoing forest restoration, community enterprises, and climate-resilient livelihoods.
According to the World Bank, this payment represents the first installment for Nepal’s achievement in reducing approximately 1.88 million tons of carbon dioxide under the REDD+ Emission Reductions Program in the Terai Arc Landscape. This milestone marks a significant step in Nepal’s efforts to reduce emissions from deforestation and forest degradation, while promoting sustainable and inclusive forest management.
The FCPF program in Nepal is distinguished by its strong community-based approach to sustainable forestry. Implemented across the Terai Arc Landscape—an area known for its rich biodiversity and high population density—the program unites local communities, Indigenous Peoples, and civil society organizations to protect and restore forests while improving rural livelihoods.
“This milestone payment is a testament to Nepal’s success in reducing deforestation, strengthening forest governance, enhancing biodiversity conservation, and expanding sustainable livelihood opportunities for local communities,” said David Sislen, World Bank Division Director for the Maldives, Nepal, and Sri Lanka.
According to a press note issued by the World Bank today, the payment will be allocated according to Nepal’s Benefit Sharing Plan, which was developed through a participatory process involving consultations with local communities and key stakeholders. This plan ensures that forest-dependent communities and Indigenous Peoples will directly benefit from the outcomes of their conservation efforts. The funds will be used to further support forest restoration, community enterprises, and climate-resilient livelihoods—solidifying Nepal’s reputation as a global leader in community forestry and participatory resource management.
“This results-based payment reflects the tireless efforts and dedication of our forest-dependent communities, Indigenous Peoples, and the government in conserving and managing our forests. Nepal remains committed to advancing climate action through inclusive and community-led forest management,” said Dr. Rajendra Prasad Mishra, Secretary of Nepal’s Ministry of Forests and Environment.
