Debt-for-Nature Swaps
In June, 2023, the Guardian asked the question; ‘Are debt-for-nature swaps the way forward for conservation?‘1. And given their proclivity in terms of accuracy of reporting I think it safe to conclusively state that no; no, it is not.
Of course, the answer entirely depends upon perspective, but as I’m not a member of the vulture class, I think I can authoritatively state that debt-for-nature swaps are a terrible idea, but before we get to detailing why, let’s go through the Guardian article because in typical form, it misrepresents the issues in the way you… entirely expect the mainstream media to do.
‘Agreements to reduce developing countries’ debt burden in exchange for spending on nature will be on the agenda at a finance summit in Paris this week‘
‘After decades in the wilderness, and familiar to only those in the know, “debt-for-nature swaps” are becoming one of the hottest things in conservation finance. Last month, Ecuador struck the biggest deal of its kind: refinancing $1.6bn (£1.3bn) of its commercial debt at a discount in exchange for a consistent revenue stream for conservation around the Galápagos Islands‘
It… sounds good, no?