The World Bank has introduced a $120 million climate-focused bond to accelerate the restoration of spekboom across South Africa’s Eastern Cape. Known for its high carbon absorption capacity, the plant will play a key role in rehabilitating degraded landscapes. The initiative aims to restore tens of thousands of hectares while supporting broader climate mitigation goals.
Designed with an outcomes-based structure, the bond links investor returns to verified environmental results, marking a shift from traditional financing models. The project is also expected to create significant employment opportunities and support local communities. By blending ecological restoration with economic benefits, it highlights a growing emphasis on impact-driven climate finance.