The Carbon Fund for Europe (CFE) is designed to help European countries meet their commitments to the Kyoto Protocol and the European Union's Emissions Trading Scheme (EU ETS). The CFE is a trust fund established by the World Bank, in cooperation with the European Investment Bank (EIB). The Fund will purchase greenhouse gas emission reductions through the Kyoto Protocol’s Clean Development Mechanism and Joint Implementation from climate-friendly investment projects from either bank’s portfolio as well as self-standing projects. While the World Bank brings its expertise and experience of the carbon market to the CFE, the EIB brings its intimate knowledge of the European economy and a rich project pipeline in developing countries. Through the CFE, the two institutions will complement private sector development in the emerging carbon market and seek ways to support essential private carbon market development.