30-day notice: Forest Carbon and DFCD

This ex‑ante disclosure outlines the Dutch Fund for Climate and Development (DFCD) support for Forest Carbon Pte Ltd, a leading environmental asset manager active in Southeast Asia since 2010. The company specialises in restoring degraded forests and wetlands through financeable models, such as the Sumatra Merang Peatland Project, which has secured top ratings from carbon credit agencies. Forest Carbon currently manages 187,000 hectares of ecosystems and aims to scale its impact to over 1 million hectares across Indonesia, the Philippines, Cambodia, and Bhutan.

The DFCD Origination Facility will provide €429,500 to de‑risk and prepare Forest Carbon’s green and biodiversity bond. The support includes financial product design, such as drafting investment-grade green bonds, risk analysis, and exploring biodiversity credit revenue streams. The funding also supports the establishment of a legal framework, including a dedicated Special Purpose Entity and underwriting documents. Forest Carbon’s Environmental and Social Management System (ESMS) and community benefit‑sharing frameworks will be enhanced to secure equitable outcomes for local and indigenous communities.

This initiative will enable Forest Carbon to access institutional funding for large‑scale forest conservation and wetland restoration. It addresses deforestation, biodiversity loss, and climate mitigation and adaptation by protecting peatlands, mangroves, and tropical forests. Communities will benefit through job creation, improved climate resilience, and inclusive development. The project supports DFCD’s goals of mobilising private capital, building sustainable landscapes, and supporting vulnerable populations in Southeast Asia.