World Bank chief to launch carbon market fund

* Zoellick travels to Cancun for climate talks

* World Bank fund to help set up carbon markets

* Developing nations to bear brunt of climate changes

WASHINGTON, Dec 7 (BestGrowthStock) – World Bank President Robert
Zoellick is set to launch a new multi-million dollar fund in
Mexico on Wednesday to help emerging market countries set up
their own carbon markets, the bank said on Tuesday.

While the list of participating countries is still being
finalized, they are expected to include China, Mexico, Chile and

Zoellick will launch the fund in Cancun on Wednesday where
countries are involved in global climate negotiations to toughen
existing pledges to cut carbon emissions.

The climate talks are supposed to agree in 2011 on a global
successor to the Kyoto Protocol, which expires in 2012.

One particular focus of the talks in Cancun is how to expand
the carbon markets. Kyoto capped emissions by industrialized
countries through 2012, driving them to invest in clean energy
projects in developing countries to earn carbon tradable offsets,
which would help them meet their limits.

“While (developing) countries would like to see a
comprehensive global accord on climate change, they are not
waiting for one,” Zoellick said in a statement.

“They are acting now and acting differently to shift from
being climate vulnerable to being climate smart,” he added.

“We are fully engaged and have been ramping up our efforts
with countries as they put in place practical, effective
solutions leading to low-carbon growth and inclusive efforts to
overcome poverty,” he added.

The fund, which could reach up to $100 million, will provide
technical and other support to developing countries to develop
their own carbon markets.

Zoellick noted that more World Bank member countries are
making climate change a priority in their development plans. In
1990, about 10 percent of countries included climate change in
such plans. That number has grown to over 80 percent.

“We know that the poorest countries will suffer the earliest
and the most from climate change,” Zoellick added. “They will
bear the brunt of changing weather patterns, water shortages, and
rising sea levels even though they are the least equipped to deal
with them.”

In Cancun, Zoellick will also meet with government leaders
and others to try to advance the climate talks, the Bank said.

As the globe’s largest poverty-fighting institution, the
World Bank is a major provider of loans to developing countries
to help them tackle climate changes.

(Reporting by Lesley Wroughton; Editing by Paul Simao)

World Bank chief to launch carbon market fund