Indonesia Opens Wider Forestry Carbon Market Investment Opportunities

JAKARTA, May 25 — Indonesia is opening wider investment opportunities in its forestry carbon market under a new regulation aimed at accelerating carbon trading and supporting the development of high-integrity carbon credits aligned with international standards.

Forestry Minister’s Senior Adviser Edo Mahendra said Indonesia had entered a new chapter in the carbon market era with the government having strengthened its regulatory framework for carbon trading.

“This time, our political will has been clearly translated into regulatory products,” he said on Monday, according to ANTARA News Agency.

The Forestry Ministerial Regulation No. 6 of 2026, issued in April, would help accelerate carbon trading in the forestry sector through clearer and simpler business processes, while responding to growing market demand for high-quality carbon credits with strong environmental integrity, said Edo.

“In this regard, the government is opening all mechanisms of carbon economic value instruments, including through the nesting scheme.

“The nesting approach is considered important to ensure environmental integrity, prevent double counting, and strengthen investor confidence,” he said.