<
https://www.afrik21.africa/en/gabon-when-marine-biodiversity-reduces-foreign-debt-by-450-million/>
"Gabon's debts will be reduced by $450 million thanks to an innovative
debt-for-nature mechanism. Piloted on Gabon's behalf by Bank of America (BofA),
the debt-for-nature mechanism enables developing countries to reduce their
external debt in return for funding for their biodiversity. In return, Gabon is
protecting part of its marine ecosystem. This is the second case in Africa
after the Seychelles.
After the Seychelles, Gabon is paying for its biodiversity through the
debt-for-nature mechanism. The operation, for which tenders were launched on
the London Stock Exchange on 25 July 2023, will enable Gabon to reduce its
external debt by up to 450 million dollars (267.1 billion CFA francs). In
return, the country is committed to protecting its marine environment, with the
support of the US-based non-governmental organisation (NGO) The Nature
Conservancy.
Financially, the operation is being led by Bank of America (BofA), the second
largest US bank in terms of deposits. A debt-for-nature swap is a debt relief
technique for developing countries. It involves extending payment terms,
reducing interest rates, granting new loans at low rates and writing off debts.
This technique, invented by the American biologist Thomas Lovejoy, considered
to be the godfather of biodiversity, involves exchanging part of the foreign
debt for local investment in environmental protection measures."
Via
Future Crunch:
<
https://futurecrunch.com/good-news-breastfeeding-trachoma-iraq-golden-lion-tamarin-brazil/>
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
