Announcement

USAID provides USD 37.5m guarantee to Food Securities Fund

Clarmondial is pleased to confirm that the United States Agency for International Development (USAID), through the Bureau for Food Security (BFS) and the Development Credit Authority (DCA), will support the Food Securities Fund with a USD 37.5 million credit guarantee. The agreement covers a portfolio of up to USD 150 million.

After extensive due diligence, USAID approved significant support to the implementation of the Food Securities Fund. In addition to its investment objectives and strategy, the Fund was selected based on its alignment with USAID’s impact priorities, in particular on sustainable agriculture and food security in Feed the Future countries. USAID and Clarmondial are planning an invitation-only signing ceremony with key partners in Washington DC this November.

The Food Securities Fund combines an innovative investment strategy with a standard and liquid fixed-income fund structure in Luxembourg to deliver change at scale. The Fund addresses the gap in season-long loans for agriculture production in emerging markets, thereby contributing to the UN Sustainable Development Goals – notably SDGs 1, 2, 8, 12, 13 and 15 – by promoting climate smart agriculture and responsible, deforestation-free supply chains.

The fund offers investors access to growth markets. The use of blended finance significantly reduces risk, while partnerships with leading international companies grant access to an extensive pipeline at low transaction costs.

The Food Securities Fund is supported by the blended finance platform Convergence (announcement available here). It has also received support from Climate-KIC, as well as from leading companies in the agricultural sector.

M2PA Launches Request for Proposals

The Mediterranean Marine Protected Areas program (M2PA) launched a request for proposals (RFP) for a study on Mediterranean marine protected areas financial needs assessment and management effectiveness monitoring. This RFP is funded by the GEF as part of M2PA’s project “Long term financial mechanism to enhance Mediterranean MPA management effectiveness.” The results will inform, among others, the capitalization targets and the financial structure of the environmental fund and will be used to monitor the impact on the grants awarded to MPAs. 

The deadline for receiving proposals is November 16th 2018.  The request for proposals and terms of reference are available for download in French and English. Please share this request with your professional networks.

CFA at CAFÉ

IMG_2912.JPG

The Conservation Finance Alliance was pleased to participate in the CAFÉ Assembly held in Kasane, Botswana in early September, 2018, hosted by Forest Conservation Botswana.


Nearly 60 CFA members and potential members gathered for a CFA-hosted networking dinner on

the second day of the Assembly. Constance Corbier-Barthaux spoke about FFEM’s commitment to CFA and why the network plays a vital role in convening experts and fostering collaboration and innovation. Karen Price, President of CAFÉ, and Rosa Montanez, President of RedLAC, shared the history of the collaboration and partnership between CFA and their respective networks, including the CTIS, the Practice Standards for CTFs, and the original Conservation Finance Guide.
 
In addition, Kathy Mikitin and Katy Mathias gave a presentation on Innovative Finance for CTFs, organized by the CFA, as part of the Assembly. They presented on Biodiversity Offsets, PA Finance through Tourism, Impact Investing & Incubators, and Project Finance for Permanence. In addition, Katy presented the preliminary results of the CTIS for calendar year 2017.

North America CFA Members and Parters Event Held December 12th

The CFA held a Members and Partners meeting in North America at World Wildlife Fund’s offices in Washington DC on October 12th.  The meeting and networking event was a great opportunity to share the CFA’s activities and strategy as well as hear from a range of members and partners and build on the CFA’s outreach.  This event comes as part of our effort to energize the network and build momentum for the wide range of conservation finance initiatives we are all working on. 
 
In addition to a presentation from the CFA Executive Director (that can be found here) we heard from a range of partners including Melissa Moye who spoke about WWF’s many conservation finance initiatives including their Project Finance for Permanence (PFP) which recently closed on the Bhutan for Lifeproject.  Chris Stone and Romas Garbaliauskas from Conservation International respectively shared their efforts to support over 30 Conservation Trust Funds (CTFs) through the Global Conservation Fund and implement a range of innovative approaches to engage the private sector in conservation finance – in part through the Coalition for Private Investment in Conservation (CPIC). Frank Hawkins of IUCN presented a detailed overview of CPIC’s initiatives including work on blueprints to replicate and scale private investments in conservation.  Forest Trends and Ecosystem Marketplace were represented by Kelly Hamrick and Michael Jenkins who shared their work on tracking market mechanisms for conservation and a publication last year on The State of Private Investment in Conservation.  Katy Mathias of the Wildlife Conservation Society explained a range of activities being implemented by WCS including work on biodiversity offsets, coral reef finance, and the Conservation Trust Investment Survey(CTIS) that is a collaborative annual report on CTF investment strategies and results.  Active discussions and questions continued through a short networking session.  As well, the Protected Areas Finance Working Group was officially relaunched by Charles Besancon as Chair (see related news).

New IUCN Report Helps Choose the Right Tools to Assess How Key Natural Areas Benefit People

IUCN has just issued new guidance to help practitioners assess ecosystem services within important sites for biodiversity and nature conservation. The report reviews nine assessment tools, focussing on their application in Key Biodiversity Areas, natural World Heritage sites and protected areas. It includes a set of “decision trees” to save time on the complex process of selecting the most appropriate tool for one’s specific needs.

The report, "Tools for measuring, modelling, and valuing ecosystem services: Guidance for Key Biodiversity Areas, natural World Heritage sites, and protected areas", is part of the IUCN World Commission on Protected Areas’ Best Practice Guidelines series. READ MORE

The guidelines have been prepared by IUCN’s World Heritage Programme and the IUCN-WCPANatural Solutions Specialist Group, and the Ecosystem Services and Key Biodiversity Areas expert working group supported by Science for Nature and People Partnership (SNAPP), with funding and in-kind contributions provided by the German Federal Agency for Nature Conservation (BfN), Canadian Council on Ecological Areas (CCEA), Center for Biodiversity Outcomes at Arizona State University, Conservation International, SNAPP, and Wildlife Conservation Society.

New Book on Biodiversity Offsets

Biodiversity offsets and policies aimed at achieving no net loss or net gains of biodiversity are often promoted as innovative financing mechanisms for biodiversity. Numerous publications and analyses are based on the well-documented experiences of the USA or Australia. Europe has had biodiversity offset policies since the 1970s, but these are often only described in grey literature, and not always in English. A new book published by Springer contributes to filling this gap: it provides a comprehensive overview of the full range of offsetting principles in several European countries. Each country chapter gives the respective legal background, methods adopted as well as case studies. More information about the book is available on the Springer webpage

Launch of Environmental Impact Reporting in Agriculture (EIRA) with Clarmondial and Wageningen University

Clarmondial AG and Wageningen Environmental Research (WEnR), supported by EIT Climate-KIC’s Climate-Smart Agriculture (CSA) Booster, have joined forces on a new initiative to promote transparency and science-based approaches to monitoring environmental impacts in agricultural supply chains.

EIRA (Environmental Impact Reporting for Agriculture) is a new reporting initiative designed to boost environmental stewardship across complex agricultural supply chains by aggregating and synthesizing key environmental impact metrics for agriculture. EIRA is intended to result in a new, low-cost, science-based tool to help financiers and agri-businesses benchmark and compare their environmental impact performance to inform better decision-making, to aggregate existing data sources, and to highlight critical research gaps.

Further information is available in the full press release.

Note from the Executive Director

Members and Partners of the Conservation Finance Alliance,
 
It is a great pleasure and an honor to address you as the first Executive Director of the CFA.  As someone who has worked in this field for many years, I have greatly benefited from the rich array of resources the CFA has developed and made available over the years and if you are reading this note, I imagine you have as well.  This wealth of knowledge on the CFA website – searchable published and grey literature resources, the Environmental Funds Toolkit – and in targeted publications such as the CTF Practice StandardsConservation Trust Fund Investment SurveysCFA’s webinar series, and at various meetings, trainings and workshops held at global and regional conferences – provides essential nutrients to the growing ecosystem of global conservation finance practitioners.  As members and partners of the CFA, you are the source of this knowledge and information and hopefully the beneficiary of these efforts as well.
 
I have begun reaching out to partners and members to gather background information and to harness your insights into how the CFA can optimize its historical assets and advance our shared objectives.  A more formal process will be developed shortly and we will organize an online “general assembly” to share recent developments and collaboratively plan a path forward.  Please stay tuned for upcoming announcements and communications.
 
Warm Regards,

David Meyers Short.jpg
 

David Meyers
Executive Director, CFA

New Report on Innovation for Coral Finance

The 2018 International Year of the Reef is an opportunity for the world’s media to highlight the many threats faced by coral ecosystems and the need to protect them. One of the main challenges faced when implementing coral conservation activities is the financing of it; the funds currently needed to achieve effective and lasting conservation greatly exceed the available funds, generating a substantial financing gap.

To explore ways of reducing this gap, the International Coral Reef Initiative releases a study of opportunities offered by innovative financing mechanisms for coral conservation. The seven most promising notions are presented. The report prompts for more integrated models, notably using a business-model approach. It introduces four example business models addressing specific coral-context challenges and how they can be used by local conservationists and decision-makers as a tool to make coral conservation sustainable. These examples are paving the way for dozens of customised coral business models still to be designed. We hope this first report will help renew the approach of coral finance.

The report is available here for download.