RT Generic
T1 The Potentials for Debt-for-Climate and Nature Swaps in Latin America and the Caribbean: Working Paper 2025
A1 United Nations Environment Programme, 
SN 978-92-807-4262-6
YR 2025
FD 2025-12
LK https://wedocs.unep.org/handle/20.500.11822/49174
UL https://wedocs.unep.org/handle/20.500.11822/49174
NO Debt-for-climate and nature swaps (DFCNS) provide partial debt relief in exchange for commitments to invest in climate action and nature conservation. First used in the 1980s, they have gained renewed momentum in recent years, particularly in LatAm with countries such as Belize, Ecuador, Barbados, and Peru implementing increasingly large and complex deals. These swaps have reduced debt servicing costs and unlocked funding for climate projects. Constrained fiscal space make DFCNS an attractive option for many countries. LAC countries’ experience with swap mechanisms and their shared, biodiverse ecosystems further support this approach. The paper emphasizes the need for a coordinated strategies, recommending the creation of a knowledge centre, identification of shared climate and nature priorities, exploration of multi-country debt pooling, and consideration of a regional fund to enhance the effectiveness and scale of DFCNS
DS UN Environment Document Repository
RD Sep 19, 2026