Conservation Finance
Conservation Finance refers to the financial strategies and mechanisms used to support environmental conservation efforts. It involves funding projects that protect natural resources, restore ecosystems, and promote sustainable practices. This can include investments from governments, private sectors, and non-profit organizations aimed at preserving biodiversity and combating climate change.
One common approach in Conservation Finance is the use of green bonds, which are debt instruments specifically earmarked for environmental projects. Other methods include impact investing, where investors seek both financial returns and positive environmental outcomes, and payment for ecosystem services, which compensates landowners for maintaining healthy ecosystems that provide essential services like clean water and carbon storage.