The World Bank, through its leading arm, International Bank for Reconstruction and Development (IBRD), has issued a 9-year bond worth USD 225 million. This bond supports carbon removal by funding reforestation in Brazil’s Amazon rainforest.
Unlocking the World Bank’s Carbon Removal Bond
Jorge Familiar, Vice President and Treasurer, World Bank, noted,
“A variety of partners and financing tools are needed to support the Amazon and help the people there pursue better livelihoods, protect its incredible biodiversity, and safeguard its global role in mitigating climate change.”
Notably, this is the largest bond issued by the World Bank to date, directly linked to reforestation efforts in the Amazon and promising fantastic returns. As mentioned in the press release, investors will earn a return through a fixed coupon and a variable component tied to Carbon Removal Units (CRUs). Additionally, the reforestation projects in Brazil will generate these credits.
Furthermore, investors hail this bond as unique. This means it connects their financial returns to actual carbon removal, unlike previous bonds tied to carbon credit sales from emission avoidance.
The key feature of this bond is that ~ USD 36 million will support Mombak, a Brazilian company. Mombak will use the funds to reforest land in the Amazon with native trees, boosting biodiversity and supporting local communities. This bond introduces an innovative approach to mobilizing private capital for reforestation finance.
Their Carbon Credits Boost Global Markets
Last year, the World Bank unveiled its plans to expand high-integrity global carbon markets, helping 15 countries generate income by preserving their forests. To name a few, Chile, Costa Rica, Ghana, and Indonesia were the participating countries. The bank expects these nations to generate over 24 million carbon credits in a year, potentially earning up to $2.5 billion by 2028.
The initiative is led by the World Bank’s Forest Carbon Partnership Facility (FCPF), focusing on environmental and social integrity. Since 2018, the FCPF has pioneered carbon-crediting systems, ensuring credits are unique, measurable, and permanent. Third parties rigorously monitor and verify these credits based on World Bank standard.
Can this Bond Bring High Returns and Save the Amazon Rainforest?
Jorge Familiar has been assertive of this historic transaction. He believes it demonstrates eagerness of private investors to link their financial returns to positive outcomes in the Amazon. Additionally, the promising returns signal rising interest in this structure and the growth of supported sectors.
Essentially, the bond is 100% protected, ensuring investors’ money is safe. The USD 225 million raised will fund the World Bank’s global sustainable development efforts. Instead of receiving full regular interest payments, investors will allow a portion to support Mombak’s reforestation projects through a deal with its hedge partner HSBC. Moreover, these projects align with the World Bank’s goals in the Amazon but are not funded by IBRD loans.
The Carbon Removal Units (CRUs) generated by these projects will be sold, and a share of the revenue will be paid to bondholders as CRU Linked Interest. In addition, investors will receive a guaranteed minimum interest payment. If the projects succeed as expected, bondholders could earn more compared to similar World Bank bonds.
Greg Guyett, CEO of Global Banking & Markets, HSBC commented,
“We are pleased to work alongside the World Bank on this innovative bond which aims to support the reforestation of thousands of hectares of the Brazilian Amazon rainforest. We are committed to helping our clients fund sustainable development projects that make a difference in the climate challenge. It was a privilege for HSBC to structure the transaction and act as sole lead manager on the World Bank’s largest-ever outcome bond issuance to date.”
Bolstering Investors’ Confidence
Prominent investment partners include Mackenzie Investments. T Rowe Price, Nuveen, Rathbone Ethical Bond Fund, and Velliv.
Investors consider this bond to have the potential for attractive financial returns with measurable positive impacts. They expect significant benefits through carbon removal, biodiversity enhancement, and job creation.
Hadiza Djataou, Vice President, Portfolio Manager, Fixed Income, Mackenzie Investments has significantly remarked,
“This transaction, in partnership with Mombak, offers a landmark opportunity in nature positive investment while supporting land stewardship principles. We believe the bond’s unique structure will prove to be both a strong investment and a catalyst for further innovation in the sustainable fixed-income market.“
Decoding World Bank’s Interest in Brazil
GHG emissions in Brazil surpassed 2.3 billion MtCO₂e in 2022, a decline of over 8% in comparison to the previous year. The country’s climate-aligned investments are expected to total $2-3 trillion by 2050. Brazil’s latest climate report predicted this.
Source: Brazil 2024 Climate Report
Interestingly, AP news revealed that in 2022, Amazon trees held 56.8 billion MtCO₂e, making the Amazon a huge carbon sink. However, climate experts have shown a red flag over the ongoing deforestation that could shift the Amazon from a carbon sink to a carbon source. This is one of the reasons why Brazil has become a hot spot for environment preservation activities, particularly the Amazon rainforest.
Speaking of Brazil, the World Bank’s connection with the country is not something new. In 2022, it analyzed how Brazil could meet its climate goals and backed innovative projects. It included a whopping US$ 500 million Climate Finance Solution. This initiative aimed to expand sustainability-linked finance and help the private sector access the carbon credit market.
The World Bank announced the Amazon reforestation bond on June 14. They initially left the exact principal value undecided but have now confirmed it.
- FURTHER READING: World Bank Pays Vietnam Over $51 Million in Carbon Credits
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Carbon Footprint
Climate Impact Partners Unveils High-Quality Carbon Credits from Sabah Rainforest in Malaysia
The voluntary carbon market is changing. Buyers are no longer focused only on large volumes of cheap credits. Instead, they want projects with strong science, long-term monitoring, and clear proof that carbon has truly been removed from the atmosphere. That shift is drawing more attention to high-integrity, nature-based projects.
One project now gaining that spotlight is the Sabah INFAPRO rainforest rehabilitation project in Malaysia. Climate Impact Partners announced that the project is now issuing verified carbon removal credits, opening access to one of the highest-quality nature-based removals currently available in the global market.
Restoring One of the World’s Richest Rainforest Ecosystems
The project is located in Sabah, Malaysia, on the island of Borneo. This region is home to tropical dipterocarp rainforest, one of the richest forest ecosystems on Earth. These forests store huge amounts of carbon and support extraordinary biodiversity. Some dipterocarp trees can grow up to 70 meters tall, creating habitat for orangutans, pygmy elephants, gibbons, sun bears, and the critically endangered Sumatran rhino.
However, the forest within the INFAPRO project area was not intact. In the 1980s, selective logging removed many of the most valuable tree species, especially large dipterocarps. That caused serious ecological damage. Once the key mother trees were gone, natural regeneration became much harder. Young seedlings also had to compete with dense vines and shrubs, which slowed the forest’s recovery.
To repair that damage, the INFAPRO project was launched in the Ulu-Segama forestry management unit in eastern Sabah.
- The project has restored more than 25,000 hectares of logged-over rainforest.
- It was developed by Face the Future in cooperation with Yayasan Sabah, while Climate Impact Partners has supported the project and helped bring its credits to market.
Why Sabah’s Carbon Removals are Attracting Attention
What makes Sabah INFAPRO different is not only the size of the restoration effort. It is also the way the project measured carbon gains.

Many forest carbon projects issue credits in annual vintages based on year-by-year growth estimates. Sabah INFAPRO followed a different path. It used a landscape-scale monitoring system and waited until the forest moved through its strongest natural growth period before issuing removal credits.
- This approach gives the credits more weight. Rather than relying mainly on short-term annual estimates, the project measured carbon sequestration over a longer period. That helps show that the forest delivered real, sustained, and measurable carbon removal.
The scientific backing is also unusually strong. Since 2007, the project has maintained nearly 400 permanent monitoring plots. These plots have allowed researchers, independent auditors, and technical specialists to observe the full growth cycle of dipterocarp forest recovery. The result is a large body of field data that supports carbon calculations and strengthens confidence in the credits.
In simple terms, buyers are not just being asked to trust a model. They are being shown years of direct forest monitoring across the project landscape.
Strong Ratings Support Market Confidence
Independent assessment has also lifted the project’s profile. BeZero awarded Sabah INFAPRO an A.pre overall rating and an AA score for permanence. That places the project among the highest-rated Improved Forest Management, or IFM, projects in the world.
The rating reflects several important strengths. First, the project has very low exposure to reversal risk. Second, it has a long and stable operating history. Third, its measured carbon gains align well with peer-reviewed ecological research and independent analysis.
These points matter in today’s market. Buyers have become more cautious after years of debate over the quality of some forest carbon credits. As a result, they now look more closely at durability, transparency, and third-party validation. Sabah INFAPRO’s rating helps answer those concerns and makes the project more attractive to companies looking for credible carbon removal.
The project is also registered with Verra’s Verified Carbon Standard under the name INFAPRO Rehabilitation of Logged-over Dipterocarp Forest in Sabah, Malaysia. That adds another level of market recognition and verification.
A Wider Model for Rainforest Recovery
Sabah INFAPRO also shows why high-quality nature-based projects are about more than carbon alone. The restoration effort supports broader ecological recovery in one of the world’s most important rainforest regions.
Climate Impact Partners said it has worked with project partners to restore degraded areas, run local training programs, carry out monthly forest patrols, and distribute seedlings to support rainforest recovery beyond the project boundary. These efforts help strengthen the wider landscape and expand the project’s environmental impact.
That broader value is becoming more important for buyers. Companies increasingly want projects that support biodiversity, ecosystem health, and local engagement, along with carbon removal. Sabah INFAPRO offers that mix, making it a stronger fit for the market’s shift toward higher-integrity credits.

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Carbon Footprint
Bitcoin Falls as Energy Prices Rise: Why Crypto Is Now an Energy Market Story
Bitcoin’s recent drop below $70,000 reflects more than short-term market pressure. It signals a deeper shift. The world’s largest cryptocurrency is becoming increasingly tied to global energy markets.
For years, Bitcoin has moved mainly on investor sentiment, adoption trends, and regulation. Today, another force is shaping its direction: the cost of energy.
As oil prices rise and electricity markets tighten, Bitcoin is starting to behave less like a tech asset and more like an energy-dependent system. This shift is changing how investors, analysts, and policymakers understand crypto.
A Global Power Consumer: Inside Bitcoin’s Energy Use
Bitcoin depends on mining, a process that uses powerful computers to verify transactions. These machines run continuously and consume large amounts of electricity.
Data from the U.S. Energy Information Administration shows Bitcoin mining used between 67 and 240 terawatt-hours (TWh) of electricity in 2023, with a midpoint estimate of about 120 TWh.

Other estimates place consumption closer to 170 TWh per year in 2025. This accounts for roughly 0.5% of global electricity demand. Recently, as of February 2026, estimates see Bitcoin’s energy use reaching over 200 TWh per year.
That level of energy use is significant. Global electricity demand reached about 27,400 TWh in 2023. Bitcoin’s share may seem small, but it is comparable to the power use of mid-sized countries.
The network also requires steady power. Estimates suggest it draws around 10 gigawatts continuously, similar to several large power plants operating at full capacity. This constant demand makes energy costs central to Bitcoin’s economics.
When Oil Rises, Bitcoin Falls
Bitcoin mining is highly sensitive to electricity prices. Energy is the highest operating cost for miners. When power becomes more expensive, profit margins shrink.
Recent market movements show this link clearly. As oil prices rise and inflation concerns persist, energy costs have increased. At the same time, Bitcoin prices have weakened, falling below the $70,000 level.

This is not a coincidence. Studies show a direct relationship between Bitcoin prices, mining activity, and electricity use. When Bitcoin prices rise, more miners join the network, increasing energy demand. When energy costs rise, less efficient miners may shut down, reducing activity and adding selling pressure.
This creates a feedback loop between crypto and energy markets. Bitcoin is no longer driven only by demand and speculation. It is now influenced by the same forces that affect oil, gas, and power prices.
Cleaner Energy Use Is Growing, but Fossil Fuels Still Matter
Bitcoin’s environmental impact depends on its energy mix. This mix is improving, but it remains uneven.
A 2025 study from the Cambridge Centre for Alternative Finance found that 52.4% of Bitcoin mining now uses sustainable energy. This includes both renewable sources (42.6%) and nuclear power (9.8%). The share has risen significantly from about 37.6% in 2022.
Despite this progress, fossil fuels still account for a large portion of mining energy. Natural gas alone makes up about 38.2%, while coal continues to contribute a smaller share.

This reliance on fossil fuels keeps emissions high. Current estimates suggest Bitcoin produces more than 114 million tons of carbon dioxide each year. That puts it in line with emissions from some industrial sectors.
The shift toward cleaner energy is real, but it is not complete. The pace of change will play a key role in how Bitcoin fits into global climate goals.
Bitcoin’s Climate Debate Intensifies
Bitcoin’s growing energy demand has placed it at the center of ESG discussions. Its impact is often measured through three key areas:
- Total electricity use, which rivals that of entire countries.
- Carbon emissions are estimated at over 100 million tons of CO₂ annually.
- Energy intensity, with a single transaction using large amounts of power.

At the same time, the industry is evolving. Mining companies are adopting more efficient hardware and exploring new energy sources. Some operations use excess renewable power or capture waste energy, such as flare gas from oil fields.
These efforts show progress, but they do not fully address the concerns. The gap between Bitcoin’s energy use and its environmental impact remains a key issue for investors and regulators.
- MUST READ: Bitcoin Price Hits All-Time High Above $126K: ETFs, Market Drivers, and the Future of Digital Gold
Bitcoin Is Becoming Part of the Energy System
Bitcoin mining is now closely integrated with the broader energy system. Operators often choose locations based on access to cheap or excess electricity. This includes areas with strong renewable generation or underused energy resources.
This integration creates both opportunities and challenges. On one hand, mining can support energy systems by using power that might otherwise go to waste. It can also provide flexible demand that helps stabilize grids.
On the other hand, it can increase pressure on local electricity supplies and extend the use of fossil fuels if cleaner options are not available.
In the United States, Bitcoin mining could account for up to 2.3% of total electricity demand in certain scenarios. This highlights how quickly the sector is scaling and how closely it is tied to national energy systems.
Energy Markets Are Now Key to Bitcoin’s Future
Looking ahead, the connection between Bitcoin and energy is expected to grow stronger. The network’s computing power, or hash rate, continues to reach new highs, which typically leads to higher energy use.
Electricity will remain the main cost for miners. This means Bitcoin will continue to respond to changes in energy prices and supply conditions. At the same time, governments are starting to pay closer attention to crypto’s environmental impact, which could shape future regulations.

Some forecasts suggest Bitcoin’s energy use could rise sharply if adoption increases, potentially reaching up to 400 TWh in extreme scenarios. However, cleaner energy systems could reduce the carbon impact over time.
Bitcoin is no longer just a financial asset. It is also a large-scale energy consumer and a growing part of the global power system.
As a result, understanding Bitcoin now requires a broader view. Energy prices, electricity markets, and carbon trends are becoming just as important as market demand and investor sentiment.
The message is clear. As energy markets move, Bitcoin is likely to move with them.
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Carbon Footprint
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