Enviro News Asia, London – The Indonesian government has reaffirmed its commitment to developing a credible, transparent, and high-integrity carbon market as a key instrument for mobilizing global climate finance, with Minister of Forestry Raja Juli Antoni delivering closing remarks at the high-level session “From Fragile to Financeable – De-risking Carbon Credit Markets” during London Climate Action Week 2026.
The session, co-organized with The Coalition to Grow Carbon Markets, brought together government leaders, financial institutions, business actors, international organizations, and carbon market developers to discuss strategic steps for transforming fragmented, high-risk carbon markets into mature, trusted, and investment-ready ones.
Minister Raja Juli Antoni said the primary challenge in climate finance today is not a lack of ambition or capital, but the absence of enabling conditions for investment to flow safely and at scale into climate solutions.
“Carbon markets have enormous potential to channel investment for emission reductions, forest protection, ecosystem restoration, and sustainable development. But to realize that potential, carbon markets must be built on a foundation of integrity, transparency, regulatory certainty, and trust,” Raja Juli Antoni said.
He noted that Indonesia holds a strategic interest in strengthening global carbon markets given that it is home to one of the world’s largest tropical forest areas, playing a critical role in climate change mitigation.
The Indonesian government has been strengthening national carbon governance through a series of policy reforms and institutional instruments, including Presidential Regulation No. 110 of 2025 as the foundation for a more integrated and credible national carbon market. In the forestry sector, Ministerial Regulations No. 6 and No. 7 of 2026 govern carbon governance, transparency, environmental integrity, and investment certainty in forestry carbon activities.
As a further step in strengthening national carbon market infrastructure, Indonesia will launch its Carbon Unit Registry System (SRUK) on July 9, 2026, serving as the primary foundation of Indonesia’s carbon market governance through improved transparency, accountability, traceability, and certainty for business actors and investors. The launch will be accompanied by the registration of a number of forestry carbon projects under internationally recognized standards.
Additionally, on July 6, 2026, the Ministry of Forestry will issue ministerial approvals and facilitate the issuance of forestry carbon credits exceeding 30 million tonnes of CO₂ equivalent, representing one of the largest milestones in the history of Indonesia’s forestry carbon market development.
“This is proof that Indonesia is not only building a policy framework, but also presenting concrete, investor-credible market opportunities,” the Minister said.
He also stressed the importance of international collaboration to strengthen the global carbon market, saying that the world’s major financial centers have a vital role in building trusted market institutions, developing risk management instruments, and mobilizing the investment needed to support the transition to a low-carbon economy.
Ahead of COP31, Indonesia is advancing three key agendas in global carbon market development: strengthening market integrity and transparency to build greater trust in carbon credits; developing market infrastructure, liquidity mechanisms, and risk-sharing instruments to attract large-scale private and institutional investment; and ensuring that carbon finance delivers real benefits for local communities, indigenous peoples, and forest guardians who directly contribute to ecosystem protection.
Closing his remarks, the Minister affirmed that the future of carbon markets will be determined not only by the volume of credits traded, but by the level of trust built, the investment mobilized, and the climate and development benefits delivered. (*)
