REDD Financing: Different Approaches for Different National Circumstances

Recent analysis indicates that both market and non-market financial flows can play key roles in REDD. Market-based approaches can be important in compensating nations for reducing GHG emissions from
deforestation and degradation; non-market funds can create incentives for maintaining large stocks of existing forests and help with 'REDD Readiness,' when nations build capacities for robust and credible national-level market-based REDD programs.