Environment and Peace Project (AmPaz): Development of financing mechanisms for the sustainable management of natural resources

Field of Action 3 Development of financing mechanisms for the sustainable management of natural resources

With the signing of the peace agreement between the government and the Revolutionary Armed Forces of Colombia (FARC) in November 2016, Colombia has the opportunity to promote the protection and sustainable use of previously inaccessible ecosystems. The challenge now is to avoid uncontrolled settlements, coca cultivation, illegal mining and other unsustainable economic activities. At the same time, long-term income and employment opportunities must be created, for example in agriculture or tourism, and access to markets and infrastructure measures must be encouraged without destroying natural livelihoods.

The consultancy services of the GOPA/AFC consortium relate to the development of financing mechanisms for the sustainable management of natural resources. A key obstacle to local application of sustainable natural resource management approaches is limited access to loans and financing models. Many promising business models are currently being funded by international and national donors as part of programmes and projects. However, they are only sustainable if producers can implement and replicate these models independently of subsidies.

Services provided

Development of strategies and outlook for cooperation

  • Analysis of demand in selected municipalities
  • Prioritizing possible business models based on the sustainable use of natural resources
  • Market analysis and consultation with key partners
  • Identifying ways to reduce risks to financial institutions and best practices in green finance.

Development of financing mechanisms and capacity building

  • Elaboration of a baseline study on the level of knowledge of green finance
  • Identification of capacity building needs and preparation of technical assistance and comprehensive capacity building measures to selected financial institutions
  • Development and implementation of a financial literacy training programme and support to the target group in accessing funding

Implementation and sustainability of financial instruments

  • Implementation of technical assistance and capacity building measures to selected financial institutions
  • Development of a technical advisory programme with the financial sector or the public sector that supports small entrepreneurs
  • Review and dissemination of learning experiences at national / international level