Carbon News
  • Members
    • Login
      Forgot Password?
    • Not a member? Subscribe
    • Forgot Password
      Back to Login
    • Not a member? Subscribe
  • Home
  • New Zealand
    • Politics
    • Energy
    • Agriculture
    • Carbon emissions
    • Transport
    • Forestry
    • Business
  • Markets
    • Analysis
    • NZ carbon price
  • International
    • Australia
    • United States
    • China
    • Europe
    • United Kingdom
    • Canada
    • Asia
    • Pacific
    • Antarctic/Arctic
    • Africa
    • South America
    • United Nations
  • News Direct
    • Media releases
    • Climate calendar
  • About Carbon News
    • Contact us
    • Advertising
    • Subscribe
    • Service
    • Policies

Carbon markets could boost climate action in least developed countries

6 Nov 2024

Photo by Towfiqu barbhuiya on Unsplash


Media release | UNCTAD’s Least Developed Countries Report 2024 highlighted on Monday that the group of 45 least developed countries (LDCs) could use carbon market projects to enhance climate action by offsetting the buyers’ emissions at improved rates which will allow more investment.

LDCs were among the first to join carbon markets – where carbon credits are bought and sold – but they face unique challenges in accessing the market due to their size and difficulties in attracting foreign investment.

 

Geographic and financing limitations

According to UNCTAD, six LDCs account for over 75 per cent of all carbon credits issued in voluntary markets and 80 per cent of those under the Clean Development Mechanism (CDM)which allows countries to fund emissions-reducing projects in other countries and claim the saved emissions as part of their own efforts to meet international targets. Though LDCs participate, they represent only 1.5 per cent of global CDM projects, highlighting the potential for more inclusive participation.

 

In 2023, the value of carbon credits from the poorest nations reached around $403 million, just a small fraction of the $1 trillion in annual investment needed for these countries to meet the Sustainable Development Goals by 2030.

 

This reflects the need for a stronger framework to make carbon markets a viable source of funding.

 

Opportunities abound

UNCTAD noted that land-based sectors like forestry and agriculture, where LDCs have considerable untapped potential, could provide significant carbon credits. The report estimates that emissions reductions from these sectors could equal 70 per cent of those from the global aviation industry in 2019, or around 2 per cent of global emissions.

 

However, this opportunity requires viable carbon prices and accessible projects. A rate of $100 per ton is needed to make such projects profitable. Currently, LDCs are utilising just 2 per cent of their land-based mitigation potential, and without higher carbon prices, up to 97 per cent may remain untapped by 2050.

 

Forging a path forward

UNCTAD’s report calls for targeted actions to help LDCs benefit more fully from carbon markets. It recommends bolstering domestic frameworks with stronger regulatory capacity and systems for monitoring and reporting to ensure that communities directly benefit from the projects.

 

The report also urges expanded international partnerships. Regional cooperation and South-South partnerships could help LDCs reduce costs and improve their positioning in carbon markets.

 

Finally, capacity-building is key, with the report calling on development partners to provide resources to help least developed countries align carbon market projects with broader economic goals.

 

These efforts could help least developed countries unlock significant climate potential, creating economic opportunities while advancing their climate goals, UNCTAD said.

print this story


Related Topics:   Carbon Credits Emissions trading Green finance Greenhouse Effect United Nations

More >
Media releases
More >

Biodiversity plan is ‘light on detail and heavy on vague intentions’

Tue 1 Jul 2025

Media Release - WWF New Zealand | The government’s plan to tackle Aotearoa New Zealand’s biodiversity crisis lacks ambition and fails to match the scale and urgency of the challenge.

Gas decline increases urgency for new electricity generation

Tue 1 Jul 2025

Media release – Transpower | Declining gas availability means New Zealand has to lift the pace at which it is delivering new electricity generation to reliably meet growing demand over the coming years, a new report from Transpower shows.

Hopeful new way to measure human progress

Mon 30 Jun 2025

Media release - University of Auckland, Waipapa Taumata Rau | In response to the climate crisis, a new way to measure how well people and nature are living together has been announced in the world's leading scientific journal Nature.

Sustainability rising in importance amid increasing strain on professionals

Thu 26 Jun 2025

Media release - Sustainable Business Council | Research released today into New Zealand’s sustainability profession reveals a compelling picture of a profession which is gaining strategic traction, while grappling with systemic challenges.

Most staple food crop production will face big losses due to climate change

25 Jun 2025

Media Release – Springer Nature | Most staple food crops are expected to experience substantial production losses due to climate change, even when mitigation measures to limit the impact of climate change are considered.

Latest trawl bycatch numbers 'a grim wake-up call'

24 Jun 2025

Media release – Greenpeace | The latest fisheries bycatch data paints a grim picture, with trawlers hauling up thousands of kilograms of coral and killing hundreds of fur seals and seabirds over a 12 month period.

Global survey finds 8 out of 10 people support taxing oil and gas corporations to pay for climate damages

23 Jun 2025

Media Release – Oxfam Aotearoa | Oxfam's research finds that 585 of the world's largest and most polluting fossil fuel companies made $583 billion in profits in 2024, a 68% increase since 2019.

Kiwi farmers unaware of positive public opinion on their environmental performance

19 Jun 2025

Media Release | Close to 90% of NZ's commercial farmers believe their environmental performance is good, according to a survey of almost 3000 farmers, while less than half that number think the public agrees.

Aviation sector’s climate claims unsupported by credible transition plans

18 Jun 2025

Media Release | New analysis finds over-reliance on Sustainable Aviation Fuel (SAF) and lack of investment in zero-emission tech, risking long-term decarbonisation failure.

Government undermines regional powers to protect coastal biodiversity

16 Jun 2025

Media Release | The Environmental Defence Society opposes the Government’s decision to press ahead with amendments to the Resource Management Act that severely curtail the ability of regional councils to manage the impacts of fishing on coastal marine biodiversity.

Carbon News

Subscriptions, Advertising & General

[email protected]

Editorial

[email protected]

We welcome comments, news tips and suggestions - please also use this address to submit all media releases for News Direct).

Useful Links
Home About Carbon News Contact us Advertising Subscribe Service Policies
New Zealand
Politics Energy Agriculture Carbon emissions Transport Forestry Business
International
Australia United States China Europe United Kingdom Canada Asia Pacific Antarctic/Arctic Africa South America United Nations
Home
Markets
Analysis NZ carbon price
News Direct
Media releases Climate calendar

© 2008-2025 Carbon News. All Rights Reserved. • Your IP Address: 216.73.216.119 • User account: Sign In

Please wait...
Audit log: