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The report finds that while carbon markets have the potential to generate social and economic benefits for LMIC communities, current impacts are often suboptimal or negative due to poor project design and governance. Agricultural and energy efficiency projects generally show higher potential for positive community impact than pure forest conservation projects, which often restrict access to vital resources. Key barriers include low carbon prices in voluntary markets, delayed payments, and the exclusion of women due to land tenure structures. Positive outcomes are linked to pro-poor design, inclusive governance, higher carbon prices for co-benefits, and adherence to stringent standards like the CCB Standard.