REDD+ projects 30
Other readiness initiatives 45
Forest cover High
Deforestation rate High


Last updated:

Approximately USD$ 4.4 billion is currently being provided by the international community for climate change and REDD+-related activities in Indonesia over the next several years. Of this, almost USD$ 3 billion is through concessional loans, and USD$ 1.4 billion in grants and technical assistance; about USD$ 3.5 billion is in bilateral assistance, with USD$ 0.9 billion from the multilateral sector. Further pledges are expected over the next few years, which could be in the multiple billions of dollars (Brown & Peskett, 2011).

A substantial part of current funding for REDD+ is in the form of performance-based payments of up to USD$ 1 billion, pledged by the Government of Norway through the bilateral Letter of Intent to help Indonesia make reductions in greenhouse gas emissions from deforestation, forest degradation and peatland conversion. However, only USD$ 30 million of this funding has been provided in upfront support (disbursed to the UNDP Trust Fund in August 2010) (Norad, 2010).

UN-REDD have provided USD$ 5.6 million in funding for Indonesia and the World Bank’s Forest Carbon Partnership Facility (FCPF) has provided USD$ 3.6 million. Other bilateral funding to Indonesia includes more than USD$ 100 million from Australia (PwC, 2011) and funding from the German Government’s International Climate Initiative, which has committed part of its global USD$ 92.6 million in REDD+ funding to Indonesia (Climate Funds Update, 2011).


BROWN, J., & PESKETT, L. 2011. Climate Finance in Indonesia: Lessons for the Future of Public Finance for Climate Change Mitigation. Overseas Development Institute.

CLIMATE FUNDS UPDATE. 2011. [Online] Climate funds profiles > International Climate Initiative. Available here. [Accessed September 2012]

PRICE WATERHOUSE COOPER. [Online] 2011. Funding for Forests: UK Government Support for REDD+. Available here. [Accessed September 2012]