Economics & Development

The Standardized Crediting Framework (SCF), developed under the Carbon Initiative for Development (Ci-Dev) by the World Bank, is a tool that provides a streamlined and transparent approach to issuing carbon credits. After the Clean Development Mechanism (CDM) era (2000–2020), global carbon market mechanisms have continued to evolve under Article 6 of the Paris Agreement, bringing together the voluntary system (based on commercial carbon standards) and the regulatory system (based on the United Nations Framework Convention on Climate Change [UNFCCC]-recognized crediting mechanisms). Many Ci-Dev programs in partner countries originally started under the CDM, with the perspective of long-term financing through the emission of carbon credits over a long period (20 to 30 years). However, with the Paris Agreement entering into force and the CDM’s crediting period effectively ending at the end of 2020, these projects could no longer issue credits. While it will have been possible to move to commercial carbon standards, the World Bank took this opportunity to build the client countries’ institutional capacities and help them establish a transitional tool that enables the issuance of carbon credits for the existing programs. For that purpose, and in close collaboration with Ci-Dev partner countries, the World Bank developed the SCF. This report summarizes the benefits from having a nation al crediting system set up in Bangladesh, following the SCF approach and tools, as well as the lessons learned from this experience and an outlook on forward-looking actions

The Carbon Initiative for Development (Ci-Dev) is a World Bank trust fund that mobilizes private finance for clean energy access in low-income countries. The Ci-Dev carbon fund pays for verified and credited emission reductions (ERs) through Emission Reduction Purchase Agreements (ERPAs) while the Ci-Dev readiness fund supports capacity building associated with the ERPA. The Standardized Crediting Framework (SCF) is a World Bank-executed initiative by the Ci-Dev readiness fund to enhance carbon market support to energy access programs and, in most cases, except in Rwanda, to facilitate the transition of the project pipeline under the Clean Development Mechanism (CDM) to the new crediting options articulated under Article 6 of the Paris Agreement. The SCF in Rwanda developed national methodologies for ER quantification, tailored to the country’s specific context through stakeholder workshops, individual consultations, and technical expert feedback sessions. The SCF rollout began in September 2022, originally planned over an 18-month timeline. The SCF was included as a specific cooperative approach under Rwanda’s National Carbon Market Framework (NCMF), published in September 2023, which elaborated on the governance structure and roles of government entities under the SCF. The rollout schedule was extended to accommodate the operationalization of some aspects of the RCMF and to allow for deeper engagement with national stakeholders.

على المدى القصير: • إنشاء فريق تنسيق متعدد الأطراف معني بالجوانب البيئية والاجتماعية لتنفيذ خطة العمل الخاصة بالتقييم الشامل. • وضع مبادئ توجيهية لتقييم الأثر البيئي، بما في ذلك الجوانب الاجتماعية، وجمع البيانات المتعلقة بالمؤشرات ذات الصلة ورصدها. • تعزيز القدرات البيئة والمجتمعية للمارسيين وموظفي وزارة البيئة/ هيئة حماية وتحسين البيئة (بما في ذلك المفتشين وشرطة البيئة). • وضع مبادئ توجيهية للاستحواذ على الأراضي/إعادة التوطين تتماشى مع أفضل الممارسات، بما في ذلك دعم استخدام قيمة الاستبدال، ووظيفة وحدة التظلمات في دائرة تسجيل الأراضي. • بناء الوعي بحالات الاستغلال والاعتداء الجنسيين/التحرش الجنسي، وتوفير خدمات دعم الناجين. • تعزيز المشاركة المنهجية لأصحاب المصلحة في المشاريع العامة.

Somalia’s economy demonstrated notable resilience entering 2025, supported by continuous reform efforts to strengthen fiscal sustainability, institutions, and private sector resilience. Low debt levels following HIPC Completion, tax policy changes, and reforms to improve payments system, expand financial sector supervision and anti-money laundering, contributed to better macroeconomic management. Structural reforms in fisheries, telecommunications, and electricity, as well as ongoing harmonization of legal and institutional framework with East African Community (EAC) will improve private sector resilience despite a challenging external environment. These positive foundations underscore Somalia’s progress in strengthening macroeconomic credibility, even as vulnerabilities remain.