Establishment of the foundation as part of the ICI

As part of its International Climate Initiative (ICI), the Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) made 10 million euros available for the establishment of the Future of the Carbon Market Foundation. KfW Bankengruppe was responsible for implementing the ICI project and establishing the foundation in December 2011.

Since 2008, ICI has been financing climate projects in developing countries. It is funded by revenue raised from auctioning emission allowances. This is an innovative financing mechanism, which is used to support the climate change activities of partner countries. With this new form of cooperation, the Federal Environment Ministry is complementing the German government‘s existing development cooperation programme.