Last year, Sri Lanka was plunged into economic crisis. As the country struggles in the aftermath of its sovereign debt default in April 2022, officials have said they are considering a debt-for-nature swap. If this happens, this would remove USD 1 billion from Sri Lankas outstanding USD 40 billion of debt.
With Ecuador having earlier this month completed the worlds biggest debt-for-nature swap to date, taking roughly USD 1.6 billion off its national debt, these deals look set to play a bigger role in dealing with both debt burdens and biodiversity conservation.
Being home to some of the worlds most important biodiversity hotspots, South Asian countries, several of which are struggling under the weight of their debt, could benefit from th…
Read the full article at: https://www.thehindu.com/sci-tech/energy-and-environment/how-debt-for-nature-swaps-can-help-create-a-more-resilient-south-asia/article66879949.ece